Retirement
How does profit sharing work?
Giving you a piece of the pie
From the current benefits site; confirm for 2027. Last updated there 2025-01-08.
This page differs by plan. Open the one that applies to you; your plan documents say which.
Hormel Foods Corporation Joint Earnings Profit-Sharing Trust
- Enrollment is automatic
- Funded entirely by Hormel Foods
- Employee contributions not allowed
- Fully vested after 6 years of service
Plan
Hormel Foods Corporation Joint Earnings Profit-Sharing Trust
Enrollment
Eligible employees are automatically enrolled on their hire date.
Eligibility, Contributions, Vesting, Withdrawal Options
Eligibility
You must have 12 months of continuous service with at least 1,000 hours in the fiscal year and be employed on the last day of the fiscal year to be eligible for a contribution.
Contributions
Employee contributions are not allowed. Employer contributions are discretionary and therefore not guaranteed. If a contribution is given, it will be deposited into an account at Empower each November/December.
Vesting
All funds in the plan become vested at a rate of 20% per year beginning at your second year of service, becoming 100% vested after 6 years of service.
Withdrawal Options
Money may be withdrawn from the Plan at the earliest of your termination of employment, retirement, or death.
When can I participate in the plan?
Enrollment into the 401(a) plan is automatic. You are eligible to participate in the plan when hired into a group that is eligible for the benefit. When you receive your first contribution, you will see an additional account with Empower. To be eligible for a contribution, you must complete 12 months of continuous service with at least 1000 hours each year. In addition, you must be employed on the last day of the fiscal year to receive a contribution (unless you retired from the organization). Contact Empower at 844-465-4455 weekdays from 7 AM to 9 PM Central Time and Saturdays from 8 AM to 4:30 PM Central Time if you have questions about the plan.
Can I contribute to the plan?
No, you cannot contribute to the plan. Only Hormel Foods is allowed to contribute to the plan. The benefit is a discretionary contribution which means although the contribution is made annually, it is not a guaranteed annual contribution. Historically, Hormel Foods has contributed each year without fail.
What does vesting mean?
Vesting is the amount of time you must work before you are entitled to receive the full value of the employer contribution. You are vested after 6 years of service. You vest 20% per year beginning with the start of your second year of employment.
Joint Earnings Profit-Sharing Payment
- Participation is automatic
- Must complete 12 months of continuous service with 1000 hours
- Must be employed on the last day of the fiscal year
- Cash payment or deferral to your 401(k) account allowed
Plan
Joint Earnings Profit-Sharing Payment
Participation
Your participation is automatic.
Eligibility, Contributions
Eligibility
You must have 12 months of continuous service with at least 1,000 hours in the fiscal year and be employed on the last day of the fiscal year to be eligible for a payment.
Contributions
If a payment is given, you may elect to have all or a percentage of your payment go into your 401(k) account at Empower. Hormel Foods will match your contribution at a rate of 50% up to $200. For example, if you elect to defer $400 of your cash payment into your 401(k), the company will match $200.
When can I participate in the Joint Earnings compensation benefit?
Participation in the benefit is automatic. To be eligible for a cash payment, you must complete 12 months of continuous service with at least 1000 hours for the fiscal year. In addition, you must be employed on the last day of the fiscal year to receive a payment. Remember, this is taxable income to you in the year that it was issued.
When will I receive a payment?
If eligible and Hormel Foods determines the benefit will be paid, payments are made the end of November.
Can I have my cash payment deposited to my 401(k) account?
Prior to the benefit being paid as cash, you will have an opportunity to elect a percentage of the cash payment to go into your 401(k) account. It is a separate election from your 401(k) deferral and is called Founder’s Fund. To elect a Founder’s Fund percentage for your cash payment, contact Empower at 844-465-4455 weekdays from 7 AM to 9 PM Central Time and Saturdays from 8 AM to 4:30 PM Central Time or register at empowermyretirement.com. In addition, you may download the Empower app to your phone. If you elect $400 of your cash payment as a Founder’s Fund deferral, Hormel Foods will match your contribution at 50% (up to $200) and add an additional $200 to your account. Watch for information on the Founder’s Fund deferral as we will send reminders out to make your deferral elections!
I didn’t make a Founder's Fund election, what happens?
You will receive the full amount of your cash payment and none of it will go into your 401(k) account.
Call Empower: 844-465-4455 Or visit EmpowerMyRetirement.com