The 401(k) Savings Plan is a key component of the JPMorgan Chase Wealth Accumulation Plans. The plan offers a tax-effective way for you to save for your future, offering both before-tax contribution and Roth 401(k) contribution features. Additionally, saving is easy through convenient payroll deductions. Finally, most participants who complete one year of service are eligible to receive JPMorgan Chase matching contributions.

Full-time employees are eligible to enroll in the 401(k) Savings Plan as of your first day of employment with JPMorgan Chase. Part-time employees are eligible to participate the first of the month after completing 90 days of service. Eligible participants receive JPMorgan Chase matching contributions the first of the month following completion of one year of total service. Please see "Important Terms" for the definition of "Total Service."

You can contribute up to 50% of your benefits pay per pay period on a before-tax and/or Roth 401(k) basis (up to certain legal limits). Please see "Important Terms" for a definition of "Benefits Pay." The combined legal limit for before-tax and Roth 401(k) contributions in 2008 is $15,500.

In addition, participants who are age 50 or older as of December 31 of any calendar year may be eligible to make catch-up contributions to the plan. The legal limit for 2008 is $5,000.

For certain eligible participants, after you complete one year of total service, JPMorgan Chase matches your contributions, dollar for dollar, up to the first 5% of benefits pay on a per pay period basis.

Please Note: If your total annual cash compensation is $250,000 or more, you are not eligible to receive matching contributions under the 401(k) Savings Plan. Please see "Important Terms" for the definition of "Total Annual Cash Compensation." This determination is made as of each August 1 and applies for the next succeeding calendar year.

You decide how your contributions are invested among the investment funds (in 1% increments to a total of 100%) offered by the plan. You can also decide if you want any future JPMorgan Chase matching contributions, if eligible, invested in the plan's JPMorgan Chase Common Stock Fund or invested in the same manner as your employee contributions.

You are always 100% vested in (meaning you have a non-forfeitable right to) the value of any contributions you make to the plan (adjusted for investment experience) as well as the value of any associated JPMorgan Chase matching contributions (adjusted for investment experience), if eligible. JPMorgan Chase non-matching contributions, if any, will generally vest after you complete three years of service.

While you're an active employee, you can access your account through loans and/or withdrawals. Please see "Borrowing or Withdrawing from Your Account" for more information.

The value of your account is calculated each day that the New York Stock Exchange is open for trading. With certain exceptions, transactions are processed the same business day if you request the transaction by 4 p.m. Eastern Time or the close of the New York Stock Exchange, whichever is earlier. The transaction is generally based on the closing market value/fair value on the day you request it and is reflected in your account through the 401(k) Savings Plan Web Center and Call Center the next business day. Please see "Daily Plan Processing" for information about what happens if there is a market disruption.