PERIODO DE INSCRIPCION ABIERTA

OCTUBRE 26 - NOVIEMBRE 6 (6 P.M ET)

•Plandeahorrowsparalajubilacion401(k)

•Plandeincapacidadacortoplazo

•Plandeincapacidadalargoplazo

•Segurodevida

•¡YMÁS!

ADENTRO:

2016

GUIA DE BENEFICIOS

FINANCIEROS

OPEN ENROLLMENT OCTOBER 26 - NOVEMBER 6 (6 PM ET)

• 401(k)RetirementSavingsPlan

• Short-TermDisability

• Long-TermDisability

• LifeInsurance

• AndMore!

INSIDE:

2016

FINANCIALBENEFITS GUIDE

EmployeeIDNumber:

Beneficiaries:(Name & Social Security #)

WorkdayUsername:(Employee ID #)

WorkdayPassword:

Notes:

MY INFOMOHAWKBENEFITSRESOURCES

Benefits Service Center (BSC)mymohawkbenefits.com 866-481-4922

MOHAWKPARTNERS

401(k)&ROTH401(k)PLAN:Fidelity401k.com 800-835-5087

SHORT-TERMDISABILITY:BSCmymohawkbenefits.com866-481-4922

LONG-TERMDISABILITY:The Hartfordthehartfordatwork.com/thaw Filing a claim:LTD policy number - 674528800-445-9057 - General Inquiries866-945-4558 - Claim Status

TERMLIFE/AD&DINSURANCE:MetLife866-492-6983 - Filing a claim866-481-4922 - BSC-Naming beneficiaries

DEPENDENTCAREFLEXIBLESPENDINGACCOUNT:Discovery Benefitsdiscoverybenefits.com866-451-3399

CRITICALILLNESSINSURANCE:AFLACAflac.com/mohawkind 866-481-4922 - BSC to enrollmymohawkbenefits.com - Claims, forms, and info

ACCIDENTCOVERAGE:AFLAC Aflac.com/mohawkind 866-481-4922 - BSC to enrollmymohawkbenefits.com - Claims, forms, and info

AUTOANDHOMEINSURANCE:MetLifemetlife.com/mybenefits800-438-6388 - Rates and questions

Yourfinancialhealthisanimportantpieceofyouroverallwell-being.That’swhyMohawkoffersafullrangeofbenefitsandservicestohelptakecareofyouandyourfamilynowandinthefuture.

Pleaseconsiderthesekeyquestionsaboutyourfinancialhealthandwell-beingduringopenenrollment:

Are you taking advantage of the generous Company 401(k) contributions to help save for your retirement? Have you checked your Social Security account?

Have you enrolled in the Mohawk benefits plans that can keep you and your family financially protected if you’re injured or become seriously ill?

If you unexpectedly pass away, do the Mohawk benefits you’ve enrolled in provide the income your family needs to cope with this major life change?

Your Workday password can be reset by calling HR Live at 855-447-5483.

MI INFORMACIONRECURSOSPARALOSBENEFICIOSDEMOHAWK

El Centro De Beneficiosmymohawkbenefits.com 866-481-4922

SOCIOSDEMOHAWK

PLANDE401(k)Y401(k)ROTH:Fidelity401k.com 800-835-5087

PLANDEINCAPACIDADACORTOPLAZO:El Centro De Beneficiosmymohawkbenefits.com866-481-4922

PLANDEINCAPACIDADALARGOPLAZO:The Hartfordthehartfordatwork.com/thaw Solicitar un reclamo:Numero de polica para incapacidad a largo plazo - 674528800-445-9057 - Consultas Generales866-945-4558 - Verificar el estado de un reclamo

SEGURODEVIDA/MUERTEACCIDENTALYDESMEMBRAMIENTO(AD&D):MetLife866-492-6983 - Solicitar un reclamo866-481-4922 - El centro de beneficios - designar un beneficiario

CUENTADEGASTOSFLEXIBLESPARAELCUIDADODEDEPENDIENTES:Discovery Benefitsdiscoverybenefits.com866-451-3399

SEGUROCONTRAENFERMEDADESGRAVES:AFLACAflac.com/mohawkind 866-481-4922 - El centro de beneficios - para inscribirsemymohawkbenefits.com - Reclamos, formularios, e informacion

PLANDEACCIDENTE:AFLAC Aflac.com/mohawkind 866-481-4922 - El centro de beneficios - para inscribirsemymohawkbenefits.com - Reclamos, formularios, e informacion

SEGURODELAUTOYHOGAR:MetLifemetlife.com/mybenefits800-438-6388 - Tarifas y preguntas

NumeroIDDeEmpleado:

PersonasDesignadasComoBeneficiaros:(Nombre Y # De Seguro Social)

NombreDeUsarioParaWorkday:(# ID De Empleado)

ContraseñaParaWorkday:

Notas:

Suseguridadfinancieroesunapiezaimportanteparaelgeneralbienestardesusalud.Poreso,mohawkofreceunaampliagamadebeneficiosyserviciosparaayudaracuidarloaustedysufamiliaahorayenelfuturo.

Porfavorconsidereestaspreguntasclavessobresuseguridadybienestarfinancieroduranteelperiododeinscripcionabierta:

¿Esta aprovechando la ventaja de los aportes generosos del 401(k) de la compañia que lo ayudan ahorrar para su jubilo? ¿Ha revisado su cuenta de seguro social?

¿Se ha inscrito en los planes de beneficios de mohawk que le pudiera brindar a usted y a su familia seguridad financiera si fuera a sufrir una lesion o una enfermedad grave?

Si fuera a morir inesperadamente, ¿le proveerá el ingreso necesario a su familia para manejar este cambio de vida importante los beneficios en los que esta inscrito de mohawk?

Your Workday password can be reset by calling HR Live at 855-447-5483.

TABLE OF CONTENTS:Introduction—includes key terms and other information ................................................................................. 2

401(k) and Roth 401(k) Retirement Savings Plan ................................................................................................ 4

Short-Term Disability ....................................................................................................................................................... 6

Long-Term Disability ........................................................................................................................................................ 7

Life Insurance ..................................................................................................................................................................... 8

Dependent Care Flexible Spending Account ......................................................................................................... 10

Other Financial Benefits ................................................................................................................................................. 11

Social Security Benefits .................................................................................................................................................. 11

Financial Health Worksheet ......................................................................................................................................... 12

NOTE: Review and receipt of this information does not guarantee benefits. This is not a contract of coverage. Note that this communication is strictly for educational purposes only, and it is not intended to replace the Mohawk Benefits Plan Documentation. Where this information conflicts with the Plan Documentation, the Plan Documentation will prevail.

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Mohawk is committed to offering a comprehensive benefits package that helps employees care for their overall well-being. The Company offers many options to protect you and your family.

PLAN YOUR FUTURETake advantage of Mohawk’s 401(k) plan Company match of up to 6 percent. With some steady effort and some help, you can be well on your way to achieving your retirement plan. The longer the money stays in the plan, the more time it has to grow. Not sure how to reach your retirement goal? Give the guidance representatives at Fidelity a call at 866-602-0637

PROTECT YOUR FAMILYWe provide short-term disability for you at no cost. Short-term disability pays part of your income if you become disabled or have an illness and can’t work.

Mohawk also provides free basic life and AD&D coverage equal to 100 percent of your annual wages. You may choose to purchase additional coverage for your or your dependents.

Learn more about your life, disability, accident and illness insurance options.

SPECIAL DISCOUNTSAs a Mohawk employee, you have access to many special discounts including wireless discounts, computer discounts, vehicle and travel. You can also purchase top quality carpet, hardwood, laminate and other hard surface flooring at great discounts.

Your financial health is just as

important as your wellness and

medical health.

INTRODUCTION

KNOW THE LINGO!

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Brush up on some key terms that go along with our financial benefits offered through Mohawk Industries.

401(k) - retirement account that an employee may contribute money through a pretax payroll deduction. When you withdraw money from your 401(k), you will pay taxes on amounts you withdraw.

Roth 401(k) - retirement account that an employee may contribute money through an after-tax payroll deduction. It grows tax-deferred. When you withdraw money from your Roth 401(k), you will not pay any taxes.

Beneficiary - a person or persons you designate to receive funds or other property under a will, trust, insurance policy, 401(k), etc upon your death.

Short-Term Disability - income for an employee if he/she becomes unable to work due to illness or injury for a period of 90 days or less.

Long-Term Disability - an insurance policy that provides income protection in the event that he/she is unable to work due to illness, injury or accident for a period longer than 90 days.

Dependent Care Flexible Spending Account - a reimbursement account that allows employees to contribute money through payroll deduction on a pre-tax basis to pay for eligible dependent care expenses such as day care, preschool, after-school care and elder care.

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Retirement should be a time to relax and enjoy life, but Social Security alone may not be enough to meet your financial needs to retire comfortably. That’s why Mohawk offers two important tools – the 401(k) and the Roth 401(k) – to help you build a more secure future. The Company’s Retirement plan is administered by Fidelity Investments and the Company contributes 50 cents for every dollar you save up to 6 percent of your wages. Employees are automatically enrolled in the plan with a 3 percent contribution, but raising that amount to a minimum of 6 percent means you aren’t leaving money from Mohawk on the table.

WHY YOU SHOULD CONSIDER CONTRIBUTING TO THE RETIREMENT SAVINGS PLAN:

HOW MUCH CAN YOU SAVE? You may contribute 1-50% of your earnings to the plan each year, up to the allowable maximum for 2016. If you’re age 50 or older, you may make an additional “catch up” contribution up to the allowable maximum in 2016. The IRS sets and enforces these legal limits. You choose the amount you want to contribute based on what you can afford and the long-term savings goals you’ve set. You can also adjust your contribution limit as needed by calling Fidelity or logging on to 401k.com.

COMPANY CONTRIBUTIONMohawk offers a Company contribution to help you grow your savings faster. The Company will contribute 50 cents for each dollar you save, up to 6 percent of your wages. This can add up to hundreds of dollars a year, so it’s important to set your contribution level at 6 percent, or more, to take full advantage of this benefit!

401(k) AND ROTH 401(k)

• Contributions are conveniently deducted from your paycheck

• You may be losing hundreds of dollars a year if you’re not taking full advantage of the Company match

• Fidelity provides many tools to help you understand your investments and make sure your savings are on track to meet your needs

• The sooner you start contributing, the longer you have to let your money grow over time

• You can take your savings with you if you leave the Company

• With the retirement savings plan you have the option of making pretax contributions or after tax contributions

Experts from Fidelity are available to provide you with helpful information, including a FREE annual Portfolio Review.

EXAMPLE: If you earn $30,000 per year and contribute 6% to the Retirement Savings Plan, you will contribute $1,800 to your account. The Company will contribute an additional $900 (50 cents for each dollar) to your savings, bringing the total for the year to $2,700.

401(k) OR ROTH 401(k)? The main difference in the 401(k) and the Roth 401(k) is when you pay taxes on the money you save. With a 401(k), your contributions are pretax, meaning you get to subtract them from your taxable income and lower your taxes in the year you make the contribution. You don’t avoid taxes entirely, because you’ll pay income taxes on your contributions and any investment earnings when you withdraw the money. With a Roth 401(k), you pay income taxes on your contributions up front. Your contributions do not reduce your taxable income for the year, but your money in your Roth 401(k) grows tax free. This means you won’t pay any tax when you withdraw the money including any investment earnings.

The answer really comes down to whether or not you think you’ll be better off paying taxes on the money now or later.

YOUR INVESTMENT OPTIONSWith Fidelity, you can choose from a variety of investment options that best suit your goals, timeline and risk tolerance. These options include conservative, moderately conservative and aggressive investment funds.

Important: The investment experience of the funds you select will directly affect your account balance. Past performance does not predict future returns. Fidelity provides a printed document called a prospectus that provides information on each fund. Read each fund prospectus, which is available through Fidelity, carefully before investing.

VESTINGYour contributions are always vested 100%. This means those dollars belong to you, even if you leave the Company. Your Company match become 100% vested after one year of employment or after you reach age 55.

Stay connected with your 401(k) or Roth 401(k) progress by calling 1-800-835-5087 or visiting 401k.com. You can do the following anytime either by phone or online:

• Change your contribution percentage• Stop making contributions to the plan • Transfer current account balances from

one fund to another• Change how future contributions will

be invested• Interactive retirement planning calculators

are available online along with additional information

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Short-term disability provides income if you become unable to work due to non-work-related illness or injury when your disability claim is approved. This income may help you pay bills and other expenses you may face during your time away from work.

If your short-term disability benefits are approved, they will begin on the first day of an injury or the eighth day of an illness and may last up to 90 days. If you anticipate that your disability may extend beyond 90 days and you are enrolled in the long-term disability plan, you should begin the process of filing for a long-term disability claim around day 45 (or approximately the sixth week) of disability.

For residents of California, New Jersey, New York, Hawaii, Rhode Island or Puerto Rico, state disability benefits will apply and Mohawk will offset the difference to make your payment whole based on the Company’s disability benefit rates. See mymohawkbenefits.com for more information on filing a claim in those states.

For more detailed information on the short-term disability benefit, visit mymohawkbenefits.com or call the Benefits Service Center.

SHO

RT-T

ER

MD

ISAB

ILITY

You are AUTOMATICALLY enrolled in short-term

disability (AT NO COST TO YOU) if you are

scheduled to work 30 or more hours per week. You

become eligible for this benefit on the first day of

the month, following 60 days of employment.

PAY TYPE SHORT-TERM DISABILITY BENEFIT 2016

Hourly 66 2/3% of base earnings

Salaried, 80% of weekly earningsnon-exempt

Salaried, 100% of monthly earningsexempt

It’s difficult to imagine becoming disabled, but accidents and illness can happen to anyone. One in seven American workers is expected to become disabled for five years or more prior to retirement. If this happened to you, do you know how it would impact your family? Do you know how you would continue paying your bills?

Electing long-term disability (LTD) coverage helps you protect your family financially by replacing some of your income if an illness or injury prevents you from working.

In the event your disability lasts longer than the 90-day period for short-term disability, long-term disability can extend the amount of time you receive partial income replacement. The maximum length of time disability benefits are payable depends on many factors including your age, pay status, type and duration of the disability, and your ability to complete the tasks associated with your current job or other work in the future.

The Hartford must approve all long-term disability claims. This benefit is non-taxable and will be offset by other sources of disability income like state disability, Social Security disability and Worker’s Compensation benefits.

*Benefits are based on various factors like pre-existing condition limitations, enrollment dates, life events and more. New enrollees do not need to complete a health questionnaire.For more detailed information, visit mymohawkbenefits.com.

LONG-TERMDISABILITY

Additional benefits available with LTD coverage: When you elect LTD coverage, you receive the following benefits at no cost to you through The Hartford:

• Personal/business travel assistance

• ID theft protection services (at home and on the road)

• Ability Assist Counseling services for all family members (three face-to-face visits) for approved claims.

PAY TYPE LONG-TERM COST PER DISABILITY PAY PERIOD BENEFIT 2016

Hourly 50% of base $6.04 monthly salary, per week up to $1,000 a month for up to 5 years

Salaried, 60% of base ($0.572 x non-exempt monthly salary monthly base up to $10,000 earnings) a month divided by 100

Salaried, 60% of base ($0.572 x exempt monthly salary monthly base up to $10,000 earnings) a month divided by 100

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8

Life insurance is a benefit that no one wants to think about, but it’s an important benefit that can help families maintain their financial stability in a time of crisis.

BASIC EMPLOYEE TERM LIFE INSURANCEMohawk recognizes how important financial security is for families during difficult times, so the Company provides Basic Term Life Insurance at NO COST TO YOU. The Basic Term Life amount your beneficiary or beneficiaries will receive in the event of your death is equal to 100 percent of your annual wages. You become eligible for this benefit on the first of the month following 60 days of working 30 hours or more per week.

ACCIDENTAL DEATH & DISABILITY (AD&D) INSURANCE The Company also provides Basic Accidental Death & Dismemberment Insurance at NO COST TO YOU. The AD&D benefit covers your beneficiary or beneficiaries in the event of your death or dismemberment due to an accident. For paralysis, loss of limbs, sight, speech or hearing, you or your beneficiaries will receive your full AD&D or a portion of it, depending on the extent of the loss. In the case of death, your beneficiary or beneficiaries will receive 100 percent of the benefit.

LIFEINSURANCE

You are automatically enrolled in both of these benefits if you work 30 hours or more per week, but you must designate a beneficiary or beneficiaries in order for them to receive the funds in the event of your death, accidental death or severe injury.

You can do that by calling the Benefits Service Center at 866-481-4922 or through your Workday account.

Based on your needs and your family’s needs, you may choose to purchase additional Life Insurance. This extra benefit will mean your beneficiaries receive a larger sum of money in the event of your death. Mohawk provides a Supplemental Term Life Insurance option for you and your dependents during Open Enrollment and throughout the year.

If you leave the Company, you have the option of continuing your policy. You will be billed directly by MetLife for future premiums.

To file a Supplemental Term Life Insurance claim, call MetLIfe toll free at 866-492-6983

HOURLY EMPLOYEES Hourly employees are eligible to elect the lesser of up to five times their salary or $250,000 in Supplemental Term Life Insurance that can be selected in $10,000 increments. If you do not enroll in this benefit when you are first eligible, or if you request coverage above $100,000, you will be required to provide Evidence of Insurability (EOI). The maximum coverage amount for a spouse is $50,000. You may also elect coverage for your dependent children, which is $10,000 per child.

SALES, SALARIED AND NON-EXEMPT ADMIN/CLERICAL EMPLOYEESSales, salaried and non-exempt admin/clerical employees may elect a benefit amount of up to five times their salary or $500,000, whichever is less, in $10,000 increments. If you enroll in Supplemental Term Life Insurance coverage upon initial eligibility, you may elect coverage up to $300,000 with no Evidence of Insurability. (EOI) If you do not enroll when you are first eligible, EOI will be required. The maximum coverage amount for a spouse is $250,000. Amounts over $50,000 for spousal coverage require EOI. You may also elect coverage for your dependent children, which is $10,000 per child.

MetLife will contact you regarding the Evidence of Insurability form if applicable.

IMPORTANT! In order to receive coverage

for your spouse or dependent children, you must first purchase coverage for

yourself. The benefit amount for your spouse

may not go above one half of the coverage amount you

have selected for yourself. (Example: If you purchase $50,000 in Supplemental

Term Life Insurance coverage for yourself, you may not

purchase more than $25,000 in coverage for your spouse.) The cost of coverage is based

on age and increases each time you enter a new five-

year age group. You are always registered as the

beneficiary of any coverage for your dependents.

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In order to go to work each day with peace of mind, you want to make sure the people you’re responsible for – children, elderly adults and other family members with special needs – are in good care. The Dependent Care Flexible Spending Account (FSA) helps you save pre-tax money you can use to pay for those dependent care expenses like child care, elder care and any other additional services needed for members of your family with disabilities or mental illness.

HOW IT WORKSYou may contribute up to $5,000 in pre-tax contributions per calendar year into your FSA, which will be payroll deducted. If you are married and filing a separate return, you may only contribute up to a maximum of $2,55s0.

Once you contribute, you’ll receive an FSA debit card to pay for eligible expenses you incur between January 1, 2016 and December 31, 2016. If a vendor does not accept debit card payment, you can complete a claim form and submit it for reimbursement. Remember, funds do not roll over from year to year. You must claim your 2016 funds by March 31, 2017, or you will lose them.

ELIGIBLE EXPENSES Eligible expenses include before & after-school programs, licensed day care centers, nursery or preschools, summer day camps, transportation to and from eligible care, adult day care centers, and elder care either in your own home or someone else’s.

Childcare providers must be licensed day care centers, providing services for six or more children. A family member or friend who keeps children in the home during the day is not eligible. You must have a federal tax ID number for the service provider to claim reimbursement for dependent care.

ELIGIBLE EXPENSES MUST BE FOR THE CARE OF: • A dependent child age 13 or under who you claim as an exemption on your tax return

• A dependent child, elderly parent or relative who is physically or mentally incapable of caring form himself or herself

Forms for the Dependent Care FSA are available at mohawkbenefits.com. For more information, call Discovery Benefits Customer Service toll free at 866-451-3399 or visit discoverybenefits.com

You can enroll in the Dependent Care FSA

even if you DO NOT enroll in Mohawk’s

health care coverage.

DEPENDENT CARE FSA

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As a Mohawk employee, you are eligible for a slate of additional benefits and employee discounts that can help you save money.

They include:

• Critical illness insurance

• Accident coverage

• Auto and home insurance

• 529 college bound savings plan

• Tuition reimbursement

• Commuter benefits

• Discounts on cell phone plans, travel

COMPANY PRODUCTSFind out more about these benefits at mymohawkbenefits.com or by calling the Benefits Service Center toll free at 866-481-4922.

You can also get confidential, professional guidance on building a financial plan at no cost to you by contacting the Employee Assistance Program toll free at 855-566-4295. Additional tips are available online at cignabehavioral.com (Employer ID: mohawk).

DON’T FORGET ABOUT SOCIAL SECURITYIn addition to your Mohawk financial benefits, you may want to create a Social Security account so you can access your personal Social Security statement, check your earnings and receive benefit estimates from the Social Security Administration. Simply visit www.ssa.gov for more information and to set up your account.

There is no fee to create a Social Security account, but you must have a working email address, Social Security number and U.S. mailing address.

On this site you can also:

• Get your benefit verification letter

• Change your address and phone number

• Start or change your direct deposit

• Request a replacement Medicare card

• Get a replacement SSA-1099 or SSA-1042S for tax season

OT

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MONTO CANTIDAD DESPUÉS DE POSIBLE PÉRDIDA DEACTUAL INGRESOS POR JUBILACIÓN, INCAPACIDAD O MUERTE

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FINANCIAL HEALTH WORKSHEET:Please use this worksheet to determine if your Long-Term Disability, 401(k) Plan and Life Insurance enrollments will adequately meet your financial obligations in the event of a retirement, disability or death in the family. You may need to adjust the expense amounts in the second column. For instance, if one of the members of the household is disabled and cannot work, he or she might not keep a separate car and might not need to spend as much on clothing. Other variable costs can be cut to meet a tighter budget, such as dining out, entertainment, etc.

Compare the difference between the total of your current monthly income minus your current monthly expenses to the total if you lost income due to retirement, disability or death. Review your current Long-Term Disability, 401(k) Plan and Life Insurance enrollments to determine if they provide you with enough income replacement to help you maintain your family’s current level of comfort if these major life changes took place.

CURRENT AMOUNT AFTER POTENTIAL LOSS OF INCOMEAMOUNT DUE TO RETIREMENT, DISABILITY OR DEATH

FAMILY NET INCOME PER MONTHMONTHLY EXPENSES: HOUSING (RENT OR MORTGAGE) HOME MAINTENANCE PROPERTY TAXES HOME/RENTER’S INSURANCE GROCERIES/HOUSEHOLD SUPPLIES ELECTRICITY/NATURAL GAS WATER/SEWER PHONE INTERNET/CABLE CLOTHING VEHICLE PAYMENT GAS VEHICLE MAINTENANCE VEHICLE INSURANCE CREDIT CARD DEBT STUDENT LOANS CHILD CARE ELDER CARE PET COSTS (FOOD/VET/ETC.) HAIR CARE/PERSONAL CARE DRY CLEANING GYM MEMBERSHIP MEDICAL EXPENSES VACATIONS ENTERTAINMENT DINING OUT/FAST FOOD GIFTS SAVINGS/INVESTMENTS OTHERTOTAL MONTHLY EXPENSESMONTHLY INCOME MINUS MONTHLY EXPENSES