Retirement Savings Plan at a Glance
  • The Retirement Savings Plan for Union-Represented Employees, sometimes referred to as the 401(k) plan, offers a tax-advantaged way for you to save for retirement. You may contribute a portion of your salary to the Plan on a pre-tax basis, an after-tax basis, or a combination of both.
  • Beginning January 1, 2013, certain aspects of participation in the Plan will depend on the form of pension benefit that you earning under the Pacific Gas and Electric Company Retirement Plan (the Retirement Plan), or your date of hire or rehire. If you are participating in the Cash Balance Pension, or generally were hired or rehired after 2012 into an eligible position, you will be automatically enrolled in the Plan when you have completed one year of service, and you will be eligible for a higher employer match. Please see the Retirement Plan — Cash Balance Pension Benefit section for more information about your pension benefits.
  • After an eligible employee has completed one year of service and makes contributions to the Plan, certain participant contributions are eligible for matching employer contributions. These matching employer contributions are invested in units of the PG&E Corporation Stock Fund, but you may transfer company matching contributions to other Plan investment options at any time.
  • You are fully vested in your contributions to the Plan and in all employer contributions credited to your account, together with any earnings.
  • Contributions made on a pre-tax basis are made before income taxes are withheld, reducing your taxable income. Income taxes on pre-tax contributions and any earnings are deferred (postponed) until you withdraw the money from the Plan. Although after-tax contributions are deducted after income taxes are withheld, taxes on earnings are deferred so long as the amounts remain in the Plan. The Plan does not offer a Roth 401(k).
  • The Plan offers three tiers of investment options for you to choose from. Your individual investment strategy should reflect your personal savings goals and tolerance for financial risk. Ultimately, your investment choice is an individual decision.
  • If you need professional advice on how to invest contributions to the Plan, you should seek assistance from a financial consultant or tax advisor. You may also obtain investment advisory assistance through the services provided by Financial Engines (see "Investment and Advisory Services" for more information).