PSCA said it developed the program to “recognize plan sponsors who demonstrate a special effort to deliver innovative and extraordinary commitment to employer-sponsored defined contribution plans” and that McDonald’s has been a defined contribution “thought leader” for a number of years.
McDonald’s permits workers to contribute up to 50% of their pay and matches each $1 of the first 1% of their contributions with $3. For the next 4% of their salary that they contribute to the 401(k), McDonald’s matches each $1 with a $1.
Eligible employees also receive a match for profit-sharing, of up to 4% of their salary for the first 1% of pay they contribute. In addition, the plan has a money market fund specifically designed for it, Mc$ave, managed by T. Rowe Price, and a direct McDonald’s stock-purchase plan called MCDirect Shares.
Richard Floersch, EVP and chief human resources officer, accepted the award on behalf of the company.
The Profit Sharing/401(k) Council also honored TIAA-CREF with two awards, an Education Award, and, along with Rice University, whose plan TIAA-CREF manages, a Language and Cultural Diversity Award for providing Spanish language financial education materials, seminars and consultations.
In accepting the award, James Nichols, vice president of enterprise advice at TIAA-CREF, said: “We believe the personalized, non-commissioned, objective advice we offer individuals throughout every phase of their career and into retirement is unique in our industry.”