IBEW Local 40-NECA 401k Plan (3E)

Your Plan is known as the IBEW Local 40-NECA 401(k) Plan.
The Plan is a defined contribution individual account retirement plan, qualified under Section 401(a) and 401(k) of the Internal Revenue Code and as such no current federal or state income tax is payable on your employer contributions made to the Plan.
An advantage of this Plan is that all the money contributed to your account earns interest or other investment gains tax free while in the Plan. You pay taxes on this money only when you take a distribution. Distributions are available to you upon retirement, death, disability, or termination of employment in the electrical industry for a period of one year.

Eligibility to Participate

You are eligible to participate because your employer is subject to a collective bargaining agreement between IBEW Local 40 and the Los Angeles Chapter of NECA requiring contributions to this Plan.


The contributions on your behalf are based on a negotiated hourly contribution under the collective bargaining agreement between NECA and Local 40. In addition, voluntary contributions to the Plan are permitted. Under the terms of the collective bargaining agreement, your employer is bound to transmit the amount of our contributions to the Trust Fund by the 15th day of the month following the month in which you performed the work for which contributions are due.

Wage Deferral Form

In addition to the employer contribution provided for under the collective bargaining agreement, you have the option to make voluntary wage deferrals to your 401k Plan. You may download and fill out the Wage Deferral Enrollment Form. Return this form to Coast Benefits, not to your employer.

Annual Contribution Limits

The IRS allows employees to contribute up to $23,000 in 2024 (adjusted periodically for cost-of-living increases) to a 401(k) Plan.

"Catch Up" Contributions

Participants age 50 and over will be allowed to make annual “catch up” contributions of $7,500 a year in 2024. If you intend to take advantage of this “catch up” provision, contact the administrator to coordinate the contribution through your employer’s payroll office.

Accessing Your Account

Transamerica is the recordkeeper for your 401(k) Plan. Upon receipt of your first employer contributions, you will receive login information to access your account online or via telephone. You may access your 401(k) account by logging onto Transamerica.com or call 888-976-8171.
For more information on the 401(k) Plan, download the Summary Plan Description.

Eligibility for Benefits

You will be eligible for a distribution of benefits when you satisfy one of the following conditions:
  • You have retired from work in the electrical industry and have attained the retirement age of 55.
  • You become disabled.
  • You terminate employment for any reason from the electrical industry and have been separated from such employment for at least one year
  • Any time after the age of 59 1/2 (59 years and six months), whether or not you have retired.
Your contributions and investment earnings are available for distribution following satisfaction of any of these conditions and receipt of an application for benefits but may be subject to early withdrawal penalties. Distributions received prior to early retirement age will result in a taxable consequence to the Participant in the year of the distribution, plus a 10% penalty tax, unless the distribution is rolled over into an IRA or tax-qualified plan.
A written application for benefits is required to be completed and submitted to Coast Benefits before any benefits are payable under this Plan.

Distribution Form

This form authorizes a distribution from the IBEW Local 40 NECA 401(k) Plan. The form is not valid without your signature and the Coast Benefit’s countersignature. You can obtain the distribution form by logging into your account on Transamerica and selecting Forms from the menu or by contacting Coast Benefits.


Loans may be obtained used to pay costs directly related to the purchase of a principal residence, excluding mortgage payments.

The minimum loan available is $1,000 and loans may not exceed $50,000 or 50% of vested benefits in the participant’s individual account, whichever is less. Qualified loans may be paid over a maximum period of fifteen (15) years.

Other and additional details apply.

Loan Set-up Fee – A one-time set-up fee of $75.00 will be deducted from your account. The amount deducted from your account, as well as a description of the services to which the fee relates, will be reported on your quarterly benefit statement, identified as a Loan Set-up Fee.

Loan Maintenance Fee – When you borrow from the Plan, a quarterly loan maintenance fee of $6.25 ($25.00 annually) will be deducted from your account, except in the Plan quarter in which the loan is issued and in the Plan quarter in which the loan is paid off. The amount deducted from your account will be reported on your quarterly benefit statement. The fee and the related services will be identified as a Loan Maintenance Fee.

You may obtain a loan application by logging into your Transamerica account and accessing forms or by contacting Coast Benefits.