Retirement

Recreational Equipment, Inc. Retirement and Profit Sharing Plan (the “Plan”)

REI believes in helping you save consistently for retirement. What’s great about REI’s Plan is that you can contribute your own money right away through pre- tax and post-tax payroll deductions, and we provide one of the most generous employer contributions in our industry. You also have access to retirement tools and financial advisors to support you in your financial planning—whether you’re just getting started or getting ready for retirement.

 

Enroll or Access Your Account

You are eligible to begin saving in the Plan 30 days following your date of hire. Once eligible, you will receive enrollment information from Schwab, and you may enroll at any time through workplace.schwab.com or by contacting Schwab directly toll free at 1-800-724-7526.

Automatic Enrollment and Opting Out

You will be automatically enrolled after 90 days from your date of hire or rehire if you do not make an active election. REI will automatically deduct 3% of your eligible compensation every pay period and will increase the deduction by 1% each year (up to 15%). You may opt out or change your contribution rate at any time through the Schwab website.

 

Enrolling in the Plan

Step 1: Register and enroll

Enroll at workplace.schwab.com or via the Schwab Workplace Retirement app (download the app at workplace.schwab.com/mobile). Use the Register Now link to establish your login ID and password. Once you have successfully created your login credentials, you will be able to log in and follow the prompts to enroll.

Step 2: Choose your contribution rate

You may contribute up to 75% of your eligible compensation (up to the IRS annual dollar limit) in pre-tax and/or Roth 401(k) contributions. You may change your contribution rate at any time.

Step 3: Select your investments

The default investment fund is a target date fund based on your age. However, the Plan offers you multiple investment strategies, including a managed account service through Morningstar®. Choose the approach that works for you. You can change your investments at any time.

Step 4: Name your beneficiary

Designating your beneficiary allows your vested account balance to be distributed according to your wishes in the event of your death. Remember to update your beneficiary designation if you experience a life-changing event such as a marriage, divorce, birth, or adoption. While you’re logged in to workplace.schwab.com, go to the My Profile tab, and select Beneficiaries.

Step 5: Review your profile

Verify that your profile information is correct. Incorrect information may affect your ability to request certain transactions. While you’re logged in to workplace.schwab.com, go to the My Profile > Personal Data.

Stay up to date on important Plan information and announcements. Sign up to receive Plan communication electronically through My Profile > Communication Preferences > Edit Delivery Options.

REI Employer Contribution (Profit Sharing)

Once you have reached your first anniversary with REI, the co-op guarantees a 5% profit sharing contribution to your retirement account in each year that you work at least 1,000 hours and you remain an active employee on December 31st. REI employer contributions are subject to a vesting schedule.

Retirement Planning and Financial Wellness

Whether it’s figuring out how much to contribute to your retirement account, creating a monthly budget, estate planning or paying off your credit card, Schwab offers a suite of resources. Once you log in to your Schwab account at workplace.schwab.com, go to the Learning Center tab to access webcasts, calculators and the interactive My Financial Guide that customizes a plan with clear steps towards your specific financial goal.

Retirement and Investment Advice

Get real-time advice to help you with savings and investment planning. Point-in-time advice—provided by Morningstar®—is free to REI employees. For a monthly fee, you may also sign up for managed account services (also through Morningstar®). To schedule a consultation, log in to workplace.schwab.com and go to Advice > Retirement Plan Advice > Schedule an Appointment with an Advice Consultant.

Managing Your Investments

While some people enjoy a hands-on approach (actively selecting and managing their own investments), others don’t have the time or inclination to actively manage their accounts. REI offers solutions for both these approaches.

Target Date Retirement Funds


What’s Offered

These funds are designed and professionally managed based on your expected retirement date. The investment allocation becomes more conservative as you near your retirement age (age 65). This is also the Plan’s default fund if you don’t choose your own investments. 

What It Means For You

If you don’t have the time or desire to manage your retirement plan savings options, these funds may be right for you.

Plan-Selected Funds

 

What’s Offered

A pre-screened group of diverse investment funds to choose from if you like making your own investment decisions.

What It Means For You

You can create and manage your own investment portfolio using the available funds in the Plan.

Retirement Advice


What’s Offered

Personalized investment recommendations through Morningstar®, available at no additional cost, that can help select investments from the Plan’s fund line-up, and how much to invest in each. If you’re age 50 or older, you can receive a spending strategy that outlines how to optimize your income sources in retirement.

What It Means For You

You can be involved in managing your retirement plan, but you want the benefit of expert retirement advice. To get started, log in to workplace.schwab.com and go to Advice > Retirement Plan Advice > Get Advice.

Managed Account


What’s Offered

Under the fee-based managed account service through Morningstar, you can choose to receive ongoing professional management of your retirement account and automatic adjustments to your investments as your retirement needs change and as you get closer to retirement.

What It Means For You

You leave the management of your retirement account to investment professionals for a fee. To schedule a consultation, log in to workplace.schwab.com and go to Advice > Retirement Plan Advice > Schedule an appointment with an advice consultant.

Brokerage Account


What’s Offered

A self-directed brokerage account designed for knowledgeable investors who have a good understanding of the stock market and the risk associated with the investments available through Schwab’s Personal Choice Retirement Account (PCRA). 

What It Means For You

You can choose from a broader range of investment choices outside the pre-selected fund lineup. To open a PCRA account, log in to workplace.schwab.com and go to Mangage Account > PCRA Account Open

Frequently Asked Questions

You may start contributing 30 days after your date of hire.

You will be automatically enrolled after 90 days from your date of hire or rehire if you do not make an active election. REI will automatically deduct 3% of your eligible compensation every pay period and will increase the amount by 1% each year (up to 15%). You may opt out or change your contribution rate at any time through Schwab.

You will receive an enrollment packet from Schwab. Then, you may enroll through workplace.schwab.com or by contacting Schwab directly at 1-800-724-7526.

You will be automatically enrolled after 90 days from your date of hire or rehire if you do not make an active election. REI will automatically deduct 3% of your eligible compensation every pay period and will increase the amount by 1% each year (up to 15%). You may opt out or change your contribution rate at any time through Schwab.

You can contribute up to 75% of your eligible compensation, subject to certain annual dollar limits by the Internal Revenue Service (IRS). You can increase, decrease or stop payroll contributions effective as of any future pay period.

You can contribute post-tax pay to a Roth 401(k) account in the Plan. Distributions of Roth 401(k) contributions are tax-free. Distributions of earnings are also tax-free, provided that the distribution is qualified—your Roth 401(k) account is held for at least 5 years and withdrawn after reaching age 59½, or because of disability or death.

You are eligible to receive the annual REI profit sharing contribution in any calendar year following your original year of hire if you also meet the following requirements:

  • You complete at least 1,000 hours of service during the calendar year, and
  • You are employed on December 31 of that year.

You are not required to contribute from your own pay, so when you meet the annual eligibility requirements, your retirement fund grows—thanks to the guaranteed annual company contribution of 5% of your eligible base compensation. Your profit sharing contribution is deposited into your retirement account in March of the following year.

Vesting refers to a portion of your account that you own when you leave REI. Depending on how long you worked for REI, you may be partially or fully vested in your Plan accounts. Years of service are counted from your original date of hire.

You are always 100% vested in your contributions from your eligible compensation.

For the profit sharing or REI contributions contributed beginning 2022, you gradually become vested based on your years of service.

 
YEARS OF SERVICE FOR VESTING PERCENT VESTED IN REI CONTRIBUTIONS
Less than 1 0%
1 33%
2 66%
3 100%

For the profit sharing or REI contributions contributed to your account before 2022, you gradually become vested based on a 5-year schedule.

 
YEARS OF SERVICE FOR VESTING PERCENT VESTED IN REI CONTRIBUTIONS
Less than 1 0%
1 20%
2 40%
3 60%
4 80%
5 or more 100%

Employees who meet any of the following become immediately 100% vested: reach age 60, become fully disabled, or die while employed at REI.

Yes. The Plan includes a point-in-time advice service to help you with savings and investment planning. The service is provided by Morningstar, an independent registered investment advisor. This service is free to REI employees, but you may also sign up for managed account service for a fee.

Schedule a consultation online or call Participant Services at 1-800-724-7526.

Want More Information?

Read more about REI’s retirement program in the Frequently Asked Questions.

Check out the Summary Plan Description for an overview of the Plan features and choices, or contact the REI Employee Service Center at hrhr@rei.com or 1-800-999-4734.