Retirement 401(k) Plan

The Universal Music Group 401(k) Plan, through Vanguard, is an ideal way to save for retirement. Eligible employees may enroll in the Plan immediately upon hire once information has been updated with Vanguard, which is usually within a week following hire date.

This plan provides an easy way to save for retirement, save on current taxes, and receive a Company match on your contributions. The plan provides you with a choice on how your money is invested and offers a diversified lineup of investment options.

UMG also provides a non-elective 3% company contribution for eligible employees (vested after 3 years), in addition to any matching contributions and regardless of any contributions you make to the 401(k) plan.

How to contribute

  • New hires will be automatically enrolled with a pre-tax contribution of 3%. Contributions will be invested in a Target Retirement Trust based on your age.
  • You can make changes and/or opt out of the auto enrollment at any time—see instructions on UMG Central.
  • Elect pre-tax or Roth after-tax contributions.
  • Choose from 1% to 75% of your eligible compensation (subject to IRS limits).
  • For 2025, contribute a maximum of $23,500 annually on a pre-tax basis, Roth, or combination of the two.

Contribution options

Company match

UMG matches $1 for every $1 you contribute on the first 5% of your eligible compensation, and this is completely vested.

Pre-tax: These contributions are deducted from your taxable income before taxes are calculated so your taxable income is reduced. This means you’ll save on taxes at the same time you’re saving for retirement.

Roth after-tax: These contributions allow you to contribute on an after-tax basis so that your earnings grow tax-free and you do not pay taxes on the earnings upon distribution (as long as it has been 5 years since your initial Roth contribution).

Catch up contribution

If you are or will be age 50 by the end of the calendar year, you may make an annual catch-up contribution of $7,500 in addition to the IRS annual contribution maximum (limits subject to change annually). This additional contribution does not require a separate election and will be automatically included with your regular 401(k) contribution.