Vertex Pharmaceuticals Incorporated 401(k) Review & Grade
Vertex Pharmaceuticals Incorporated 401(k) Plan
Boston, MAProfessional, Scientific & Technical Services4,740 active participantsPlan year 2024
Estimate from the plan's Form 5500 filing · How we grade
$8,532Employer $ per active participant
$17,037Employee $ saved per active participant
0.00%Direct admin cost, % of plan assets
$1.3BNet plan assets, end of year
$202,355Average balance per account
Score breakdown
- Employer generosity45.0 / 5090th percentile for employer $ per participant
- Low cost24.7 / 2599th percentile for low admin cost vs. same-size plans
- Employee saving13.3 / 1589th percentile for employee $ per participant
- Plan features3 / 10Default investment
- Red-flag deductions-3 pts1 issue reported on the filing
Total score83 / 100 · Grade A
This plan vs. peers
Peers: Professional, Scientific & Technical Services plans with 2,500–9,999 active participants (231 plans).
| Measure | Percentile |
|---|---|
| Employer $ per participant | 90th |
| Lower admin cost | 99th |
| Employee saving | 89th |
| Peers that auto-enroll | 47% |
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Red flags from the filing
Corrective distributions: the plan refunded $50,606 in contributions, which usually means it failed annual nondiscrimination testing.
What to do if you're in this plan
- Vertex Pharmaceuticals Incorporated put in about $8,532 per active participant, more than the typical peer ($2,951). Contribute at least enough to collect the full match. Skipping it leaves part of your pay on the table.
- The filing shows total dollars, not the match formula. Ask HR for the Summary Plan Description so you know the exact match and vesting schedule.
- Fund expense ratios aren't in the filing. Look them up in your 404(a)(5) fee disclosure and favor low-cost index or target-date funds.
- Changing jobs? You can usually leave the money in the plan, move it to your new employer's plan, or roll it into an IRA. Don't cash out: you'd owe taxes and possibly a 10% penalty.
The raw numbers from the filing
| Employer contributions | $40,435,954 |
| Participant (employee) contributions | $80,746,088 |
| Other contributions (incl. rollovers in) | $30,846,936 |
| Administrative expenses paid from the plan | $57,201 |
| Contract administrator fees | $300 |
| Other admin expenses | $30,000 |
| Benefits paid out | $85,112,241 |
| Net assets, start / end of year | $1.1B / $1.3B |
| Active participants, start / end of year | 4,388 / 5,091 |
| Participants with account balances | 6,483 |
| Auto-enrollment (feature code 2S) | Not reported |
| Auditor | Caron & Bletzer, PLLC |
| Employer stock held by plan | $126,458,556 |
Largest service providers (Schedule C)
| Capfinancial Partners, LLC | $30,000 reported compensation |
| Fidelity Investments Institutional | $17,337 reported compensation |
Source: DOL EFAST2 Form 5500 filing, acknowledgment ID 20251013115037NAL0000564915001, received 2025-10-13, EIN 04-3039129, plan #001, plan year 2024-01-01 to 2024-12-31. Verify at efast.dol.gov.