You must satisfy one (1) year of employment with at least 1,000 work hours in a previous year to be eligible for the Plan. You must be of benefit-eligible status (part time I, part time II, or full time). You will be notified once you become eligible for the 401(a) Money Purchase Pension Plan.

Once eligible, you will need to establish your investment choices in NetBenefits. If you do not select investment options, your contributions will be invested in a based on the year closest to normal retirement age as directed by the plan - age 65.

Contributions to this plan are made by Palomar Health, although after-tax contributions may be made in this plan if you choose.

Once you are eligible for the 401(a) Money Purchase Pension Plan, the Plan is funded by Palomar Health. However, you may make your own after-tax contributions to the Plan on a percentage (%) basis, up to a maximum of 12%. Your after-tax contributions to this plan do not change the employer contribution. Employee after-tax contributions can begin at any time after you have met the initial eligibility requirements.

The IRS contribution limit for 2025 is $23,500.

Palomar Health will automatically contribute 6% of your gross wages each pay period. After 15 years of service Palomar Health will increase the employer contribution to 6.5%. As long as you remain in a benefit eligible position (full-time, part-time II, or part-time I) and have worked the required 1,000 hours in an anniversary year prior to your most recent anniversary, your employer contributions will begin the pay period following.

Vesting is a term used to describe the portion of your account balance that you are currently entitled to under the Palomar Health Retirement Program. You are always 100% vested in all contributions you make to your plan, as well as any earnings on them. You acquire the right to a “vested interest” in the value of Palomar Health matching contributions for the 457(b) Deferred Compensation Plan and Palomar Health contributions to the 401(a) Money Purchase Pension Plan, based on your years of service. You’re vesting interest increases with each anniversary year you work 1,000 hours as follows:

Years of Service	Vested Percentage
Less than 2 years	0%
2 but less than 3 years	20%
3 but less than 4 years	40%
4 but less than 5 years	60%
5 but less than 6 years	80%
6 years or more	100%

To help you meet your investment goals, the Plan offers you a range of options. You can select a mix of investment options that best suits your goals, time horizon, and risk tolerance. The many investment options available through the Plan include conservative, moderately conservative, and aggressive funds. A complete description of the Plan’s investment options and their performance, as well as planning tools to help you choose an appropriate mix, are available online.

We encourage you to take an active role in the Palomar Health MPP Plan and choose investment options that best suit your goals, time horizon, and risk tolerance. If you do not select specific investment options in the Plan, your contributions will be invested in the Fidelity Freedom Index Commingled Pool Class T with the target retirement date closest to the year you might retire, based on your current age and assuming a retirement age of 65, at the direction of Palomar Health.

If no date of birth or an invalid date of birth is on file at Fidelity, your contributions may be invested in the Fidelity Freedom Index Income Commingled Pool Class T. More information about the Fidelity Freedom Index Commingled Pool Class T options can be found online.

Target Date Funds are an asset mix of stocks, bonds and other investments that automatically becomes more conservative as the fund approaches its target retirement date and beyond. Principal invested is not guaranteed.

If the idea of getting professional help to manage your investments appeals to you, your plan offers Target Date Funds. With Target Date Funds, the investment mix of stocks and bonds automatically becomes more conservative as the target retirement date approaches. Principal invested is not guaranteed at any time, including at or after the fund’s target date. Choose the fund that represents your anticipated year of retirement.

Fidelity^® Personalized Planning & Advice ("The Service")
Fidelity^® Personalized Planning & Advice is a retirement goal based managed account service with a team of portfolio managers who manage the investments in your workplace savings plan account. Based on your unique needs and goals, our team of professionals will create a plan that considers your total financial situation, put the plan into action, and work for you putting in the time, resources, and knowledge needed to keep you on track for retirement.

This includes:

• Regularly monitoring and rebalancing of your account
  
• Strategy refinement that supports you as your financial situation evolves
  
• Quarterly check-ins, which include your progress toward key milestones
  
• Personal planning dashboard that includes progress to retirement and other profile details

For those desiring the most investment flexibility and choice, the Plan offers Fidelity BrokerageLink^®, a self-directed brokerage account, which provides you with the opportunity to select from thousands of mutual funds beyond those offered in the standard plan lineup. More information about BrokerageLink^®, including an overview, the commission schedule, and a fact sheet that outlines the Plan-level restrictions and other settings, is available online at NetBenefits. Click on "Quick Links," then select "BrokerageLink."

Loans are not available in this Plan.

Funds are available only at the time of separation of service from Palomar Health. You may request a withdrawal from your employee after-tax contributions, once a year from your previous withdrawal, with a minimum distribution of $250. When you terminate your employment with Palomar Health, you will be given several options for distribution of your employer contributions.

The Palomar Health Retirement Program accepts rollovers from other eligible workplace savings plans. If you have other workplace savings plan accounts, or if you have IRA’s, you may be able to transfer your balances directly into your Palomar Health 457(b) Deferred Compensation Plan account or 401(a) Money Purchase Pension Plan account. Please note that after-tax rollovers are not allowed in the Palomar Health 457(b) Deferred Compensation Plan.

Consolidating your accounts can make your savings easier to manage – while retaining all the tax advantages you currently enjoy. In addition, consolidating your retirement assets into a single account offers streamlined account management.

Be sure to consider all your available options and the applicable fees and features of each before moving your retirement assets.

If you have not already selected your beneficiaries, or if you have experienced a life-changing event such as a marriage, divorce, birth of a child, or a death in the family, it’s time to consider your beneficiary designations. Fidelity’s Online Beneficiaries Service, offers a straightforward, convenient process that takes just minutes. To make your elections, click on the “Profile & Settings” icon in the upper right-hand corner, then select “Beneficiaries” and follow the online instructions.

Learn about exchanges, withdrawals, and more online. In particular, you can access a withdrawal modeling tool, which shows the amount of federal income taxes and early withdrawal penalties you might pay, along with the amount of earnings you could potentially lose by taking a withdrawal. Additional information can be obtained by calling the Fidelity Retirement Benefits Line at 1-800-343-0860.