Minnesota Employer Benefits Series
Boston Scientific 401(k) Match, Rollover, and Retirement Timing: A Planning Guide for Arden Hills and Maple Grove Professionals
Boston Scientific's 401(k) match, as described in the company's 2023 Form 10-K, is 200% of your contributions on the first 2% of eligible pay plus 50% of contributions from 2% through 6%. Deferring 6% would earn the maximum match of 6% of eligible pay. The 2025 proxy states matching contributions vest immediately. Confirm the current terms in your SPD.
This guide covers how that match fits with the 2026 IRS limits, the Boston Scientific ESPP and RSUs, rollover choices when you change roles or retire, and how Minnesota taxes 401(k) withdrawals. It is written for corporate, R&D, clinical, and commercial professionals who want a clear strategy before making any product decisions.
Prepared by Lars Engman, MBA; Alec Engman, B.S. Economics, University of Minnesota; and Garrett Engman, AIF®, New Horizons Boutique Financial Services. Plan and tax facts reviewed November 8, 2026.
The Match
How the Boston Scientific 401(k) Match Works
Boston Scientific puts more match on your first dollars than on later ones. According to the company's 2023 Form 10-K, the first 2% of eligible pay you defer is matched at 200%. Deferrals above 2% through 6% are matched at 50%. Deferring less than 6% means you get less of the company contribution described in that filing.
The 2025 proxy statement says matching contributions are fully vested when contributed. Leaving the company would not, under that description, cause you to forfeit matched dollars. The proxy also listed a 2024 eligible salary cap for the match calculation. That figure was specific to 2024, so check the current plan year's limit before assuming it applies to you.
Plan terms can change, and SEC filings summarize the plan rather than replace it. Your Summary Plan Description (SPD) and benefits portal are the controlling sources. Ask two questions there: how "eligible compensation" is defined (for example, whether bonuses or commissions count) and whether the match is calculated each pay period or includes a year-end true-up. The second answer matters if you plan to hit the IRS limit early in the year.
The Match Formula as Described in the 2023 Form 10-K
| Your Deferral | Match Rate | Company Match |
|---|---|---|
| First 2% of pay | 200% | Up to 4% of pay |
| Next 4% (above 2% through 6%) | 50% | Up to 2% of pay |
| Total at a 6% deferral | Up to 6% of pay |
This shows how the published formula works and does not project account values. The match is subject to plan eligibility, the plan's definition of compensation, IRS compensation limits, and future plan amendments. Sources: Boston Scientific 2023 Form 10-K; 2025 Proxy Statement. Reviewed November 8, 2026.
2026 IRS Limits
2026 401(k) Contribution Limits and the Age 60 to 63 Catch-Up
The IRS sets the 2026 elective deferral limit at $24,500. The higher catch-up for ages 60 to 63 is available only if the plan allows it.
$24,500
2026 employee elective deferral limit
$8,000
Additional catch-up, age 50 and over
$11,250
Higher catch-up if you turn 60, 61, 62, or 63 in 2026
$72,000
Section 415(c) limit on total annual additions, excluding catch-ups
The Roth Catch-Up Rule for Higher Earners
Starting in 2026, if your prior-year FICA wages from the plan sponsor were over $150,000, your catch-up contributions must go in as designated Roth. For 2026 contributions, 2025 wages are the measuring year. The rule applies to catch-up dollars only, not your regular deferrals. Many senior Boston Scientific professionals may be over this threshold, which changes the tax treatment of catch-up dollars: Roth contributions get no current-year deduction, and whether that helps depends on your future tax rates.
Why the Total Limit Matters
Your deferrals and Boston Scientific's match both count toward the 415(c) annual additions limit. The IRS notes combined totals can reach $80,000 with the standard catch-up, or $83,250 for ages 60 to 63, and the limit is capped at 100% of compensation. Most participants will not reach it. Higher earners may still want to check how deferral timing interacts with the plan's match calculation.
Sources: IRS 401(k) contribution limits; IRS 2026 limit announcement; IRS catch-up contributions; IRS Notice 2025-67. Reviewed November 8, 2026.
Equity Compensation
Coordinating the Boston Scientific ESPP and RSUs With Your 401(k)
The 401(k), ESPP, and RSUs all draw on the same paycheck, and two of them can add to the same employer stock exposure. Planning them together lets you weigh cash flow, taxes, and concentration risk at the same time instead of deciding each election alone.
ESPP Terms as Published
The amended and restated ESPP, effective July 1, 2026, uses six-month offering periods that usually start January 1 and July 1. You can elect payroll deductions of 1% to 10% of pay. Unless the Committee decides otherwise, the price is 85% of the lower of the stock's fair market value at the start of the offering or on the purchase date. A $25,000-per-year Section 423 limit applies. The discount does not protect you if the share price falls after you buy.
RSU Vesting and Taxes
RSUs are generally taxed as ordinary income when they vest. Default withholding may not cover your full federal and Minnesota liability. Each vest adds to your employer stock unless you decide to sell. A large vest in the same year as a bonus, a Roth conversion, or a sale of ESPP shares can push income into a higher bracket. Our guide for professionals with stock options and RSUs covers these timing decisions in more detail.
Concentration and Cash Flow
Your salary, bonus, unvested RSUs, ESPP shares, and possibly part of your 401(k) all depend on one company. Owning more stock may raise portfolio risk even if you are confident in the business. Before raising ESPP deductions, check that take-home pay still lets you defer at least 6% to the 401(k). Our concentrated stock position guide covers ways to evaluate single-stock exposure.
If you work in medtech, our Medtronic benefits planning guide covers similar equity and deferral decisions at another major Minnesota employer. The tax result of an ESPP sale depends on whether it is a qualifying or disqualifying disposition, and results vary by individual situation.
Setting 2027 elections during open enrollment?
We will review your 401(k) deferral, catch-up status, ESPP percentage, and RSU schedule together before the new plan year starts.
Rollover Decisions
In-Service and Separation Rollover Options for Your Boston Scientific 401(k)
When you leave Boston Scientific, you can usually keep the 401(k) where it is, roll it to an IRA, or move it to a new employer's plan. While you are still employed, whether you can take an in-service withdrawal or rollover, and at what age, depends on the plan document. Check the SPD before you assume either option is available.
Confirm What the Plan Allows
Check the SPD for in-service distribution rules, installment or partial withdrawal options after separation, and how any company stock fund holdings would be distributed.
Match the Decision to Your Timeline
If you might need money before the usual retirement-account age, an IRS exception for people who leave an employer at or after a set age applies to employer plans but not to IRAs. Rolling money out too early could mean losing that access.
Look at the Tax Picture
Pre-tax IRA balances can complicate backdoor Roth contributions. Employer stock in the plan may qualify for net unrealized appreciation (NUA) treatment, which can be lost if the shares are rolled into an IRA. Both deserve analysis before any money moves.
| Factor | Stay in the Boston Scientific Plan | Roll to an IRA | Roll to a New Employer Plan |
|---|---|---|---|
| Investment menu | Limited to the plan's lineup | Broader choice, which also means more decisions | Limited to the new plan's lineup |
| Costs | Plan-level fees; may benefit from institutional pricing | Depends on the account, investments, and any advisory fee | Depends on the new plan |
| Creditor protection | Federal ERISA protection generally applies | Protection depends on federal and state law and may differ | Federal ERISA protection generally applies |
| Early access after separation | IRS separation-age exception may apply | That employer-plan exception does not apply | Governed by the new plan's rules |
| Backdoor Roth impact | Generally does not count in the IRA pro-rata calculation | Pre-tax IRA balances may make Roth conversions taxable | Generally does not count in the IRA pro-rata calculation |
| Employer stock and NUA | NUA option generally preserved until a qualifying distribution | NUA treatment is generally lost on rolled shares | NUA treatment is generally lost on rolled shares |
| Withdrawal flexibility | Set by the plan; may be restrictive | Usually flexible timing and amounts | Set by the new plan |
This table is a general educational comparison, not a recommendation. Which option fits depends on your age, tax situation, plan terms, and goals, and each involves trade-offs.
A note on our own incentives: if you roll assets into an account we manage, we earn an asset-based fee. That is a conflict of interest, and we disclose it. Leaving assets in the Boston Scientific plan or moving them to a new employer's plan may be the more suitable choice in some situations, and we will tell you when we think that is the case. For how withdrawals from different account types can be sequenced, see our retirement withdrawal order guide.
Minnesota Taxes
How Minnesota Taxes 401(k) Distributions in 2026
Minnesota counts taxable 401(k) and IRA distributions as income on your state return. The 2026 Form M1 instructions start from the taxable IRA, pension, and annuity amounts on your federal return. The Department of Revenue's 2026 rate schedule has four brackets: 5.35%, 6.80%, 7.85%, and 9.85%.
Minnesota withholding may apply to 401(k) and IRA distributions, and you can set it on Form W-4MNP. Withholding too little can leave you with a balance due in April.
The years between leaving Boston Scientific and starting Social Security or required distributions often have lower income. That window may allow partial Roth conversions or planned withdrawals at lower combined federal and Minnesota rates. A conversion is taxed in the year you make it, and whether it pays off depends on future tax rates that no one can know. Our guides to Minnesota state taxes on retirement income and RMD and Roth conversion planning go into more detail.
2026 Minnesota Income Tax Brackets
| Rate | Single | Married Filing Jointly |
|---|---|---|
| 5.35% | Up to $33,310 | Up to $48,700 |
| 6.80% | $33,311 to $109,430 | $48,701 to $193,480 |
| 7.85% | $109,431 to $203,150 | $193,481 to $337,930 |
| 9.85% | $203,151 and over | $337,931 and over |
Source: Minnesota Department of Revenue, income tax rates and brackets, reviewed November 8, 2026. Brackets apply to Minnesota taxable income, not gross distributions.
Request a Boston Scientific 401(k) and Equity Review
A complimentary first conversation with our team about your match, catch-up eligibility, ESPP and RSU exposure, and rollover timing. There is no obligation to continue.
Avoidable Missteps
Common Boston Scientific 401(k) Mistakes to Avoid
Local Planning
Planning for Boston Scientific Professionals in Arden Hills, Maple Grove, and Across Minnesota
Arden Hills is one of our home markets. Boston Scientific's Minnesota operations include sites in Arden Hills and Maple Grove. We work with professionals in this area who want to know where they stand and what to do next, both before and after they leave the company. Our financial independence planning for Arden Hills professionals starts with one question: can you afford to work by choice?
New Horizons Boutique Financial Services is boutique by design. We limit how many clients we take on so each relationship gets enough time. You work directly with your advisor. We build the strategy (investments, taxes, income, cash flow, insurance, and estate coordination) before recommending any product, then review it with you every quarter as your situation changes. This approach takes time and does not remove market or tax risk.
On fees: we charge 0.5% of assets under management, which is not an all-in cost because additional costs may apply depending on investment selections. We also charge a fixed monthly planning fee of $200 to $500, billed to your bank or investment account.
About the Authors
Lars Engman, MBA · Financial Advisor, New Horizons Boutique Financial Services
Alec Engman, B.S. Economics, University of Minnesota · Financial Advisor, New Horizons Boutique Financial Services
Garrett Engman, AIF® · Financial Advisor, New Horizons Boutique Financial Services
Registrations and licenses listed above are held across the New Horizons team.
FAQ
Boston Scientific 401(k) Frequently Asked Questions
How much does Boston Scientific match on the 401(k)?
According to Boston Scientific's 2023 Form 10-K, the company matches 200% of deferrals on the first 2% of eligible pay and 50% of deferrals from 2% through 6%. That makes the maximum match 6% of eligible pay at a 6% deferral. Check your current SPD, since plan terms can change.
Is the Boston Scientific 401(k) match vested immediately?
Boston Scientific's 2025 proxy statement says matching contributions are fully vested when contributed. Investment returns on those dollars are not guaranteed, and the account can lose value.
Can I use the age 60 to 63 catch-up in 2026?
If you turn 60, 61, 62, or 63 in 2026 and the plan allows it, the IRS permits an $11,250 catch-up instead of the standard $8,000. If your 2025 FICA wages from Boston Scientific were over $150,000, catch-up contributions must go in as Roth.
Should I roll my Boston Scientific 401(k) into an IRA when I leave?
It depends on your situation. An IRA usually offers wider investment choice and more flexible withdrawals. Staying in the plan may keep early-access rules for employer plans, ERISA creditor protection, NUA treatment of company stock, and simpler backdoor Roth math. Compare costs and plan terms before deciding.
Does Minnesota tax 401(k) withdrawals?
Yes. Minnesota includes taxable 401(k) and IRA distributions in income on your state return. For 2026, the Department of Revenue lists rates of 5.35%, 6.80%, 7.85%, and 9.85%. You can request state withholding on distributions with Form W-4MNP.
Am I too early in my career to need a financial plan?
Not necessarily. Decisions about deferral rates, ESPP participation, and how RSUs vest add up over years, and they are easier to coordinate before they become complicated. A first conversation with our team costs nothing and does not commit you to anything.
Keep reading
Next Step
Build Your Boston Scientific Benefits Strategy Before You Choose Products
Bring your benefits statements, latest ESPP and RSU summaries, and any separation or retirement dates you are considering. We will look at how your 401(k), equity, and taxes fit together and outline options for you to weigh. The first meeting is complimentary and there is no obligation to continue.
(763) 401-1035 · info@newhorizonsbfs.com · 8647 Eagle Point Blvd. Suite #1, Minnesota
Sources reviewed November 8, 2026: Boston Scientific 2023 Form 10-K; 2025 Proxy Statement; Boston Scientific ESPP (restated July 1, 2026); Boston Scientific careers benefits; IRS contribution limits; IRS Notice 2025-67; Minnesota Department of Revenue.