Dansko Update 9.11.2020

 

Dansko 401k Transition to Vanguard Complete:

The Dansko 401k Plan transition to Vanguard from Transamerica has been completed. You can now manage your retirement account at Vanguard:

·         You can log on to your account via the website (please see attachment) to check your balance, conduct transactions, and direct investments.

·         You can contact Vanguard by phone by calling 800-523-1188. Vanguard offers  24 hour a day / 7 days per week automated service, or you can speak with a Vanguard Account Representative Monday through Friday 8:30am-9pm.

·         You can also speak with a licensed Vanguard representative for investment advice 800-523-1188. 

·         Dansko 401k Participants also have access to the CAP TRUST advice desk, who can be reached at 800.967.9948

 

 

Update: Payroll Tax Deferral Status

Dansko will NOT be offering the temporary payroll tax deferral and there will be no change to employees’ payroll tax withholding.

 

As noted last week, the President signed an executive order which allows employers to temporarily defer withholding the 6.2% employee portion of the Social Security payroll tax for pay periods starting September 1, 2020 through December 31, 2020. The deferred taxes would still need to be repaid by April 30, 2021.

 

After reviewing the initial guidance and gathering feedback following last week’s update, we have determined that the potential risks and additional administration outweigh any potential benefits from offering the deferral. Several individuals expressed specific concerns about the reduction to take-home pay that would occur during the first four months of 2021. We will continue to monitor the status of relevant legislation and IRS guidance and communicate any changes that would  require a reevaluation of this decision.