Pension Plan

Marathon Oil is dedicated to helping our employees build a healthy financial future, and one way we contribute to your financial security is through the Retirement Plan of Marathon Oil Company. If eligible to participate, you are automatically enrolled in the Retirement Plan as of your date of hire. The Retirement Plan is 100% funded by Marathon Oil.

Administered by: Marathon Oil Company Benefits Service Center at Fidelity
Phone: 1-800-841-0213
Website: www.netbenefits.com/MarathonOil
Marathon Thrift and Retirement Department
Phone: 1-855-652-3067
E-mail: MROBenefitsHelp@MarathonOil.com

What Is the Retirement Plan?

The Retirement Plan is a pension plan, also known as a “defined benefit” plan. Funded entirely by Marathon Oil, the Retirement Plan is designed to give you a stable source of income in your retirement.

It works like this:

  1. As a member of the Retirement Plan, you receive annual pay credits of either 7%, 9% or 11% of your eligible earnings. Whether you receive 7%, 9%, or 11% is determined by your age and years of service with the Company.
  2. These pay credits, along with applicable interest, grow over the course of your career.

You are fully vested in this benefit – meaning you have a non-forfeitable right to your accrued Retirement Plan benefit – after three years of vesting service with the Company.

Employees who worked for Marathon Oil prior to January 1, 2010, also may have a Retirement Plan benefit determined by the Legacy Formula.

Am I Eligible to Participate?

In general, you are eligible to participate upon hire if you are a U.S. citizen and are not classified as a student employee (which includes co-ops, interns, college learners and special helpers). If you are a non-U.S. citizen, you may be eligible to participate in the Retirement Plan if you were hired into a U.S. location and are working in the U.S.

If you have questions about the Retirement Plan, you may find it helpful to review the Thrift and Retirement Basics video.

How Does the Retirement Plan Differ From the Thrift Plan?

One big difference is that the Retirement Plan is 100% funded by Marathon Oil, whereas the Thrift Plan is funded by you, the employee, with matching contributions from Marathon Oil. Since the Retirement Plan is funded by the Company, you do not choose your investments. In fact, no action is needed on your part – all eligible employees are automatically enrolled on their first day of employment.

How Does the Discount Rate Affect My Retirement Plan Benefit?

The discount rate only affects your Retirement Plan benefit if you are retirement eligible (age 50 with 10 years of vesting service), have a Legacy Formula benefit and are electing the optional lump sum form of benefit. As the discount rate decreases, your optional lump sum form of benefit increases.

The optional lump sum form of benefit is meant to be the “actuarial equivalent” of the annuity form of benefit. “Actuarial equivalent” means that the lump sum form of benefit is equal in value to the amount of monthly annuity payments you would receive if you elected the Single Life Annuity.

The discount rate is used to determine the optional lump sum form of benefit for the Legacy Formula of the Retirement Plan. In the Retirement Plan, the discount rate is the lesser of:

  • the January Pension Benefit Guaranty Corporation (PBGC) immediate interest rate; or
  • the PBGC immediate interest rate average for April through September of the preceding year.

Do I Have to Be Age 50 With 10 Years of Service to Receive a Benefit?

No. You have the right to receive a benefit from the Retirement Plan after you have achieved three years of vesting service, and you can commence this benefit any time after you separate from the Company.

However, you must be age 50 with 10 years of vesting service in order to be considered “retirement eligible” under the terms of the Retirement Plan. Being “retirement eligible” means that more favorable factors are used in the calculation of the Legacy Formula portion of your Retirement Plan benefit. Whether or not you are “retirement eligible” is determined at the time you separate from the Company, not at the time you commence your benefit.

When Do I Collect My Benefit?

You cannot collect your Retirement Plan benefit until you have separated from Marathon Oil, whether it is by termination or retirement. You can, however, request the paperwork necessary for commencing your benefit up to 180 days (six months) prior to your separation date. This paperwork can be requested by contacting the Marathon Oil Company Benefits Service Center at Fidelity at 1-800-841-0213.

Details on commencing your benefit can be found in the Getting Ready for Retirement Tip Sheet if you are age 50 with 10 years of vesting service, or in the Leaving the Company Tip Sheet if you are not yet age 50 with 10 years of vesting service.

Where Can I Find Additional Information About the Retirement Plan?

There are several resources available to help you learn about your Retirement Plan benefit.

  • Retirement Savings Education Campaign: Marathon Oil offers a four-course series to help you make the most of your valuable retirement benefits.
  • Retirement Plan Text: The Marathon Oil Company Retirement Plan Text describes the Retirement Plan, its features and how it works.
  • Fidelity Investments: As the record keeper of the Retirement Plan, you can contact Fidelity with questions. Call the Marathon Oil Company Benefits Service Center at Fidelity at 1-800-841-0213 or log onto www.netbenefits.com/MarathonOil.
  • Marathon Oil Benefits Department: Located in Houston, TX, the Marathon Oil Benefits Department is available to help you with any concerns or inquiries that you may have about your Retirement Plan benefit. You can contact the department at 1-855-652-3067 or via e-mail at MROBenefitsHelp@MarathonOil.com.

What Other Retirement Plans Does Marathon Oil Offer?

Helping employees prepare for a healthy financial future is important to Marathon Oil. In addition to the Retirement Plan, Marathon Oil offers two other plans to help employees save for retirement.

  • Thrift Plan: A 401(k) plan. You select the amount of money to contribute and how to invest it. Marathon Oil matches your contributions – dollar for dollar – up to 7%.
  • Excess Plan: Some employees who have exceeded the benefits permitted under the Thrift Plan and/or Retirement Plan may have a benefit in this plan.

How Do I Know If I Have an Excess Benefit Attributable to the Retirement Plan?

You can determine if you have an Excess Plan benefit attributable to the Retirement Plan by contacting the Marathon Oil Company Benefits Service Center at Fidelity at 1-800-841-0213 or by viewing your account at www.netbenefits.com/MarathonOil. Excess Plan benefits attributable to the Retirement Plan are identified under the names “Cash Balance Excess,” “409A Excess,” and/or “Legacy Excess.”

Excess Plan benefits will be distributed when you separate from Marathon Oil. Basic information about Excess Plan benefits can be found in the Retirement Benefits Guide. Further information related to the distribution of this benefit can be found in the Excess Benefit Plan – Payment document.

Important note: The Excess Plan is a non-qualified plan; therefore, it does not have the same tax advantages as the Retirement Plan. For example, your Excess Plan benefit cannot be rolled over into a qualified plan or an IRA.

I’ve Experienced a Life Event – Could This Affect My Retirement Plan Benefit?

Your Retirement Plan benefit could be affected by three possible life events:

This website is meant to provide general information that is applicable to the majority of our employee population. However, in all instances the terms of the plan text prevail.