What Are the Features of the Phillips 66 Savings Plan?

The Phillips 66 Savings Plan is a defined contribution plan, which includes components of a 401(k) plan, a stock bonus plan, and an employee stock ownership plan (ESOP).

The plan is administered by Phillips 66, with Vanguard serving as the trustee for most purposes.

• • An active employee on the U.S. dollar payroll of Phillips 66 Company or Phillips 66 Pipeline LLC. Individuals who are leased employees, union employees not covered by an agreement providing for participation, or those not on a direct U.S. dollar payroll are not eligible.

• • New employees are automatically enrolled in the plan as soon as administratively possible.

Vesting: Participants are immediately 100% vested in both their employee contributions and the company matching contributions.

Contributions

• The initial contribution rate is 8% of pay, contributed on a before-tax basis.
  • This initial rate includes an automatic annual increase election of 1%, which occurs every July until the before-tax contribution reaches 10%.
• Participants can contribute up to 75% of their pay, up to annual IRS limits. Contributions can be made using any combination of:
  • Roth 401(k) after-tax contributions
  • Traditional after-tax contributions
• The maximum annual contribution limit (total of employee and company contributions, excluding rollovers) is set by the IRS every year ($70,000 for 2025).
• Catch-up Contributions: Participants who are age 50 or older by December 31 can contribute an additional amount ($7,500 for 2025).

Company Matching Contributions: The company matches 100% of employee contributions on the first 8% of pay that the participant contributes each pay period. To receive the maximum company match, the participant must contribute at least 8% of pay.

Rollovers: The plan accepts eligible rollover contributions from various tax-qualified retirement plans, such as IRAs or former employer 401(k)s, and rollover-eligible distributions from the Phillips 66 Retirement Plan (pension). Rollovers must typically occur directly from the other plan or within 60 days of distribution.

Investment Features

• Participants are responsible for selecting their investments and can change their investment elections at any time.
• If a participant does not make an investment election, their contributions are automatically invested in the Vanguard Target Retirement Trust with a target date closest to the participant’s 65th birthday.
• Investment options are classified into three tiers:
  • Target Retirement Investments
  • Index Investments
  • Actively Managed Investments.
• Participants can invest in the Phillips 66 Stock Fund, although funds holding the common stock of a single company are considered a higher risk investment than diversified funds.

Real Wealth Questions

Would reaching the maximum contribution limit every year be a top use of your resources?
Which investment option tier best complements the rest of your Real Wealth plan?

Questions? Visit the Philips 66 Benefits Glossary.