2025 Status of CSX Corp 401K Retirement Plan

(Status as of December 31^st, 2024)

In this comprehensive guide, we cover the CSX Corp 401k Plan. As a CSX salaried employee and certain non-union hourly employees and retirees, understanding the status of your 401k plan is key.

2025 status of CSX Corp 401K retirement plan information was just released on 6/23/2025 for year 2024.

Are you a union employee at CSX participating to the 401K plan? Then, check out this guide for the 2025 Status of CSX CAPITAL BUILDER 401K Retirement Plan.

Let’s uncover the details, shed light on the plan’s current status, and empower you with actionable insights. Let’s understand the health check of the 401K plan at CSX.

Unveiling the CSX Corp 401k Plan

CSX Corp provides their salaried employee and certain non-union hourly employees with an additional way to save for retirement, outside of Railroad retirement income (tier 1 and Teir 2 benefits). What is 401(K)? 401(K) allows employees the ability to save for retirement through pre-tax contributions from their pay to the 401(K).

CSX Corp employees are eligible to participate after one year of service, and beginning the first day of the month following the one year of service requirement.

• Asset Growth: Plan assets grew from $1.47 billion to $1.54 billion, representing a $66 million increase (4.5% growth) despite market volatility.
• Investment Assets: Generated $141 million in net investment gains from the Master Trust, the primary driver of plan asset growth.
• Employee Participation: Employees contributed $36.5 million while CSX provided $15.7 million in matching contributions, demonstrating strong engagement.
• Matching Structure: CSX offers up to 3.5% matching (100% of first 1% plus 50% of next 5%), maintaining market-competitive benefits.
• Enhanced New Hire Benefits: Provides additional 3% base contribution for employees hired after January 1, 2020, subject to 3-year vesting to attract talent.
• Diversified $3B Master Trust: Plan participates in a large Master Trust with investments across CSX stock ($852.6M), mutual funds ($746.3M), and collective trusts ($644.5M).
• Active Loan Program: Outstanding participant loans grew to $17.8 million with flexible terms (up to 25 years for home purchases) and competitive rates.
• Modern Plan Features: Includes automatic IRA rollovers for small balances, flexible distribution options, and efficient Master Trust structure for potential cost savings.
• Strategic Positioning employee talent and retention: Plan structure reflects industry trends toward enhanced contributions beyond traditional matching to compete effectively for talent in today’s market.

Overall, the report highlights a robust financial position for the CSX Corporation 401(k) Plan, with strong investment performance and compliance with regulatory requirements.

The Blueprint of the CSX Corp 401k Plan

The CSX Corp employee 401(k) Retirement Plan is a cornerstone of retirement planning. Here’s a snapshot of how it operates:

Facts about CSX agreement 401(K):

• Your contributions to the 401K are 100% vested. Meaning every dollar, you contribute are yours and if you decide to leave CSX you can take your 401K account balance with you to your new job (or leave at CSX Corp), cash out, or rollover to an individual IRA/Roth. 
• CSX Corp contribution, matches the first 1% you contribute, and for the next 2% to 6% of contributions CSX will match 50%. Therefore, if you contribute at least 1% you will receive the 1% match and essentially doubled the investment with 2% of your eligible earnings going into the 401K retirement account.  Total potential match could be 3.5%. Also, CSX can make an enhanced contribution equal to 3% of base pay and bonus pay each year to employees who have an initial date of hire on or after January 1^st, 2020. The 3% enhanced contribution does require a 3 year of service requirement before those contributions are 100% yours.
• Investment risk is on you as the employee; meaning, you pick the investments and if those investments underperform the 401K/CSX Corp is not responsible. However, CSX and the plan sponsor (Empower Retirement http://www.empower-retirement.com/participant) that manages the investments does have the responsibility to offers suitable investments for the greater employee base. This may be more conservative and at times more aggressive than your individual goals and needs, but you have options.
• Loans, the CSX 401K plan does allow loans from your 401K account balance. The loan time frame can range from 1 year to 5 years. The loans can extend to 25 years if its for the purchase of a home. The interest rate is determined by the prime rate in the Wall Street Journal on the first business day on the month plus 1%. For example, the current prime rate is 7.50% as of 6/25/2025 and your loan rate would be 8.50%.

CSX offers an employee stock ownership plan, where you can invest in CSX common stock. You have the option to invest 100% in ticker symbol CSX.

Also, CSX quarterly dividend; is auto reinvested in CSX stock. For example, the most recent dividend was .13 cents per share, and if you retire with 1000 shares of CSX those shares would pay you $130 during the quarter dividend.

Depending on your situation those dividends can be reinvested, and buy more shares of CSX and continue the compounding process.

Taking a closer look at compounding with CSX stock in retirement (or before):

Let’s say that you have 1000 shares of CSX stock in your individual investment account or at computer shares. Also, let’s assume it’s time for the quarterly dividend.

CSX recently closed at $32.49 a share (on 6/25/2025) and if you decided to reinvest the .13 cent dividend per share into CSX you could buy the equivalent of 4 whole shares. The reinvestment of the dividends would earn more money later than taking the cash now and placing in a checking or savings account.

Let’s dive into the status of the CSX Corp 401k Plan and what it means for you.

A Closer Look at the Plan’s Status

To provide you with the most accurate insights, we’ve explored the official source: the Securities and Exchange Commission (SEC) filing for CSX Corp – 2025 Status of CSX Corp 401K Retirement Plan. As of the filing date, the plan remains active and operational, serving as a vehicle to help you prepare for retirement.

• Total 401K Plan Assets: $1.54 billion as of Dec. 31^st, 2024. Balance was $1.47 billion as of Dec. 31^st 2023. Increased plan balance was ultimately due to overall stock market performance. In 2024 compared to the market of 2023.
• Total Contributions:
  • Contributions by employees, $36.5 million
  in 2024
  • Contributions by CSX Corp, $15.7 for 2024
• Total Distributions:
  • Distributions, $127 million for 2024
• Net increase in Assets from 2023 to 2024 is $152 million
• Total assets available for benefits (payable to employees 401K participants): $1.5 Billion as of Dec. 31^st, 2024
• Administrative Expenses:  Admin fees are for investment management and transaction fees related to the assets in the 401K Plan were $1.3 million.

Embracing Your CSX Corp 401K Plan

Now that you’re aware of the updated 2025 status of CSX Corp 401k Retirement Plan significance, let’s explore how you can make the most of it.

1. Understand Your Benefits

Information about the company benefits can be accessed on the CSX website. Also, when determining your retirement need the rule of thumb is 4% withdrawal from a 401K over a retiree retirement year will suffice to provide for the desired retirement in addition to Railroad Retirement Benefits. And I actually learned the following technic while working at the Railroad. Each year increase your saving rate for the amount of increase you received over last year. For example, if your base is $70K and this year base rate was increased to $72,500. Save the additional $2,500 either in your 401K or outside savings.

2. Leverage Employer Match

CSX Corp’s contribution match is an excellent opportunity. Contribute enough to maximize this match, it’s like free money towards your retirement. For example, using the $70K base pay and you contribute 6% to the 401K; CSX will match 3.5%. Meaning $70K * 6% = $4,200 for your contribution and $2,450 for the company match on your behalf from CSX, HIGHBALL!

3. Diversify Your Portfolio

While investing can seem daunting, diversification is key. Spread your investments across various assets to mitigate risk and optimize returns.

For example, CSX offers the ability to invest in the CSX common stock, a Cash alternative, and various mutual funds. Depending on your risk tolerance you may prefer a more aggressive option of investing more in the stock fund and the aggressive mutual fund options.

Or if you prefer a more conservative option, you can purchase cash solution and the conservative mutual fund option.  

4. Monitor and Adjust

Your financial goals and risk tolerance may change over time. Regularly review and adjust your investment choices to align with your evolving needs.

Furthermore, Empower Retirement offers target date mutual funds that targets a year in the future typically related to your potential retirement year. And the investments in the mutual fund adjust to more conservative as the investment portfolio gets closer to the target year.

Quick tip, if you are a more aggressive investor and your retirement year is 2030 then you could select a target date fund of 2035 or any time after 2030 to have a slightly more aggressive allocation and we still suggest reducing the allocation as you get closer to retirement.

5. Plan Ahead

Don’t delay! The earlier you start contributing to your 401(k), the more time your money has to grow through compound interest.

When’s the best time to plant a pomegranate tree? 20 years ago, when’s the 2^nd best time to plant a pomegranate tree…. today. Why delay saving today throws money to the future, and todays savings earn and those earnings accumulate year over year.

Conclusion

The CSX Corp 401(k) Plan is your “train order” to a secure retirement. By understanding its mechanics and staying informed about its status, you’re equipping yourself for financial success.

Have you reviewed your 401K investments and how you are tracking to your retirement goal? Reach out to us today for personalized guidance.

Let’s ensure your CSX Corp 401(k) Retirement Plan is a powerful tool in securing your future. Your retirement visions await, let’s start planning now!