What are the age requirements for Auntie Annes employees to participate in the 401(k) Plan?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
ed on evaluations of historical and expected future employee exercise behavior. The risk-free interest rate is based on the U.S. Treasury rates at the date of grant with maturity dates approximately equal to the expected life at the grant date. Volatility is based on the historical volatility of several public entities similar to the Parent as the Parent does not have sufficient historical transactions of its own shares on which to base expected volatility. Future decisions to pay dis
Source: Item 23 — RECEIPTS (FDD pages 106–366)
What This Means (2024 FDD)
According to Auntie Annes's 2024 Franchise Disclosure Document, employees must be at least 21 years old to participate in the company's 401(k) plan. Employees are eligible to join the 401(k) plan on the first day of the month following their hire date.
Auntie Annes's contributions to the 401(k) plan are determined as a percentage of the employee's contributions, and these employer contributions are immediately vested, meaning the employee has full ownership of them right away. For the fiscal years ending December 31, 2023, and December 25, 2022, the employer contributions to the 401(k) plan were $3,205 and $2,568, respectively.
For a prospective Auntie Annes franchisee, this information is useful for understanding the employee benefits that are offered, which can aid in attracting and retaining employees. Offering a 401(k) plan can be a significant benefit for employees, and the immediate vesting of employer contributions is an attractive feature. Franchisees should factor in these costs when projecting their operating expenses and consider how these benefits can contribute to employee satisfaction and retention.