What is the minimum age requirement for Carvel employees to participate in the company's 401(k) Plan?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
h graded vesting on a straight-line basis over the requisite service period for each separately vesting portion of the award. The total compensation expense related to unvested awards not yet recognized in the financial statements is $5,059. This amount will be recognized as expense through 2029.
The Company administers substantially all operational activities on behalf of the Parent, and as a result, stockbased compensation expense is recorded in the consolidated financial statements
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 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.
Carvel's contributions to the 401(k) plan are a percentage of the employee's contributions and are immediately vested, meaning the employee has full ownership of these contributions right away. For the fiscal years ending December 29, 2024, and December 31, 2023, Carvel's employer contributions to the 401(k) Plan were $3,126 and $3,205, respectively.
For a prospective franchisee, this means that when hiring employees, they must ensure that only those 21 and older are enrolled in the 401(k) plan. The franchisee should also be aware of the employer contribution amounts, as these can impact the overall financial planning and budgeting for the Carvel franchise. The immediate vesting of employer contributions is a notable benefit for employees, which could aid in attracting and retaining staff.