Packaging Corporation of America 401(k) Review & Grade
Packaging Corporation of America Thrift Plan for Hourly Employees
Lake Forest, ILManufacturing11,166 active participantsPlan year 2024✓ Auto-enroll
Estimate from the plan's Form 5500 filing · How we grade
$5,196Employer $ per active participant
$5,121Employee $ saved per active participant
0.14%Direct admin cost, % of plan assets
$1.3BNet plan assets, end of year
$87,430Average balance per account
Score breakdown
- Employer generosity24.0 / 5048th percentile for employer $ per participant
- Low cost7.8 / 2531th percentile for low admin cost vs. same-size plans
- Employee saving3.1 / 1521th percentile for employee $ per participant
- Plan features10 / 10Auto-enrollment, Default investment
- Red-flag deductions-3 pts1 issue reported on the filing
Total score42 / 100 · Grade D
This plan vs. peers
Peers: Manufacturing plans with 10,000+ active participants (151 plans).
| Measure | Percentile |
|---|---|
| Employer $ per participant | 48th |
| Lower admin cost | 31th |
| Employee saving | 21th |
| Peers that auto-enroll | 69% |
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Red flags from the filing
Corrective distributions: the plan refunded $38,003 in contributions, which usually means it failed annual nondiscrimination testing.
What to do if you're in this plan
- Packaging Corporation of America put in about $5,196 per active participant, below the typical peer ($5,480). Any match is still an instant return, so contribute enough to get all of it.
- 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.
- Direct plan expenses (0.14% of assets) are well above similar-size plans (0.09%). Check your annual fee disclosure, choose low-cost index funds if you can, and think about whether savings beyond the match belong in an IRA.
- The plan auto-enrolls employees. Check your default contribution rate. Defaults are often lower than what it takes to get the full match.
- 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 | $58,016,278 |
| Participant (employee) contributions | $57,183,107 |
| Other contributions (incl. rollovers in) | $637,238 |
| Administrative expenses paid from the plan | $1,658,433 |
| Contract administrator fees | $740,646 |
| Investment advisory & management fees | $115,011 |
| Benefits paid out | $130,209,418 |
| Net assets, start / end of year | $1.1B / $1.3B |
| Active participants, start / end of year | 10,538 / 11,794 |
| Participants with account balances | 14,902 |
| Auto-enrollment (feature code 2S) | Yes |
| Auditor | Grant Thornton LLP |
Largest service providers (Schedule C)
| Alight Financial Solutions, LLC | $780,408 reported compensation |
| Packaging Corporation of America | $740,646 reported compensation |
| State Street Bank & Trust Co. | $104,885 reported compensation |
Source: DOL EFAST2 Form 5500 filing, acknowledgment ID 20250714115248NAL0000847427001, received 2025-07-14, EIN 36-4277050, plan #001, plan year 2024-01-01 to 2024-12-31. Verify at efast.dol.gov.