Paid time off is provided to eligible hourly and commissioned associates who need to miss work due to an illness or a personal situation.

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1 Sick Time Plicy Paid time ff is prvided t eligible hurly and cmmissined assciates wh need t miss wrk due t an illness r a persnal situatin. Examples f when an assciate can use sick time include, but are nt limited t: Assciate s r the assciate s family member s medical care r treatment, mental r physical illness, injury, r health cnditin Public health emergencies Dmestic vilence, sexual vilence, abuse, harassment, stalking, r t btain services frm a victim services rganizatin Death f a family member, making arrangements necessitated by the death f a family member Because certain states and municipalities have paid sick time requirements, eligibility fr paid sick time may vary depending n where an assciate wrks. CarMax cmplies with all applicable state and municipal paid sick time requirements. T the extent anything in this plicy cnflicts with any such requirements, the applicable state r municipal law will cntrl. Arizna Accrued at a rate f ne hur fr every 30 hurs wrked, up t a maximum f 40 hurs per year (cnsecutive 12- mnth perid) Can begin accruing sick time at the cmmencement f emplyment Can begin using accrued paid sick time as sn as it is accrued. Assciates can nly use up t 48 hurs f sick time in a 12-mnth perid. Must use paid sick time in a minimum f ne hur per ccurrence Unused paid time can be carried ver t the fllwing year Salaried assciates will be given 40 hurs f sick time every year and be cvered under the Time Away Plicy. Unused sick time will nt be paid ut t assciates upn terminatin f emplyment. Rehired assciates, within 9 mnths frm the previus separatin, will have their unused sick time reinstated. Califrnia Can begin using accrued paid sick time beginning at the date f emplyment Accrued at a rate f ne hur fr every 30 hurs wrked, up t a maximum f 48 hurs per year Part time assciates can accrue up t 24 hurs per year Must use paid sick time in a minimum f tw hurs per ccurrence Can carry ver up t 48 f unused accrued hurs f paid sick time frm ne year t the next, but can nly use up t 48 hurs f paid sick time in each calendar year Sick Time Cmpensatin fr Eligible Califrnia Assciates Base rate f pay r average rate, whichever is greater Accumulatin f Hurs is as fllws: Hurs wrked plus paid time ff (vacatin, persnal, sick, bereavement, etc.) shuld nt exceed assciate s regular scheduled wrkday. 1

2 Sick Time Plicy Unused sick time will nt be paid ut t assciates upn terminatin f emplyment. Rehired assciates, within 12 mnths frm the previus separatin, will have their unused sick time reinstated. Salaried assciates (including salaried, nn-exempt assciates) will be given 24 hurs f annual sick time at the start f every year and be cvered under the Time Away Plicy. Cnnecticut Accrued at a rate f ne hur fr every 40 hurs wrked, up t a maximum f 48 hurs per year fr full time assciates Part time assciates will accrue 40 hurs per year Must use paid sick time in a minimum f fur hurs per ccurrence Can carry ver up t 40 f unused accrued hurs f paid sick time frm ne year t the next, but can nly use up t 48 hurs f paid sick time in each calendar year Salaried assciates are cvered under the Time Away Plicy. Unused sick time will nt be paid ut t assciates upn terminatin f emplyment. Illinis Accrued at a rate f ne hur fr every 40 hurs wrked, up t a maximum f 40 hurs per year Will begin accruing sick time n the first day after cmmencement f emplyment, r n 7/1/17, whichever is later at a rate f 1 hur fr every 40 hurs wrked Must use paid sick time in a minimum f fur hurs per ccurrence Can carry ver up t 40 unused accrued hurs f paid sick time at the end f the assciate s 12-mnth accrual perid, t use exclusively fr FMLA eligible purpses If an assciate carries ver 40 hurs f FMLA leave and uses that leave, he/she is entitled t use n mre than an additinal 20 hurs f accrued paid sick time in the same 12-mnth perid Full time assciates can brrw up t 48 hurs f sick time during their 12-mnth accrual perid Full time assciates can use up t 48 hurs f sick time Part time assciates can use up t 40 hurs f sick time during their 12-mnth accrual perid respectively Salaried assciates will be given 40 hurs f sick time every year and be cvered under the Time Away Plicy. Unused sick time will nt be paid ut t assciates upn terminatin f emplyment. Maryland (Mntgmery Cunty) Accrued at a rate f ne hur fr every 30 hurs wrked, up t a maximum f 56 hurs per year Will begin accruing sick time n date f hire Must use paid sick time in a minimum f tw hurs per ccurrence Can carry ver up t 56 unused accrued hurs f paid sick time frm ne year t the next, but can nly use up t 80 hurs f paid sick time in each calendar year Salaried assciates will be given 40 hurs f sick time every year and be cvered under the Time Away Plicy. 2

3 Sick Time Plicy Massachusetts Accrued at a rate f ne hur fr every 30 hurs wrked, up t a maximum f 48 hurs per year Will begin accruing sick time n date f hire Must use paid sick time in a minimum f fur hurs per ccurrence Can carry ver up t 40 unused accrued hurs f paid sick time frm ne year t the next, but can nly use up t 48 hurs f paid sick time in each calendar year Salaried assciates will be given 40 hurs f sick time every year and be cvered under the Time Away Plicy. Rehired assciates, within 12 mnths frm the previus separatin, will have their unused sick time reinstated. Unused sick time will nt be paid ut t assciates upn terminatin f emplyment. Oregn Accrued at a rate f ne hur fr every 30 hurs wrked, up t a maximum f 48 hurs per year fr full time assciates Part time assciate can accrue up t a maximum f 40 hurs per year Must use paid sick time in a minimum f ne hur per ccurrence Can carry ver up t 40 unused accrued hurs f paid sick time frm the current year perid t the fllwing year perid Can nly use up t 48 hurs f paid sick time in each calendar year Salaried assciates will be given 40 hurs f sick time every year and be cvered under the Time Away Plicy. Rehired assciates, within 180 days frm the previus separatin, will have their unused sick time reinstated. Unused sick time will nt be paid ut t assciates upn terminatin f emplyment. All Other States Eligibility Full-time Hurly and Cmmissined assciates (regularly scheduled t wrk 30 hurs r mre per week) and Grandfathered Part-time (service date n r befre Jun 1, 1993) assciates. Sick time cannt be used fr a tardy r n call/n shw. Temprary and regular part time assciates are nt eligible. Hwever, part-time assciates in lcatins subject t the CarMax Attendance plicy that d nt have a state r municipal sick time requirement, may receive ne excused unpaid sick day fr missed scheduled wrk, per calendar year, that will nt result in an ccurrence pint under the attendance plicy Sick time accrues frm January 1 st (r the first f the mnth fllwing the assciates date f hire) thrugh December 31st f each year based 1 n the assciate s status n the 1st day f each mnth. Example: If the assciate s hire date is June 1 st ; the assciate will be eligible t use sick time as f June 1 st. If the assciate s hire date is February 15 th ; the assciate will be eligible t use sick time as f March 1 st. If the assciate s hire date is Nvember 10 th ; the assciate will be eligible t use sick time as f December 1 st. Sick time accrues at a rate f 4 hurs per mnth, fr a maximum f 48 hurs fr each calendar year. 3

4 Sick Time Plicy Duratin Assciates subject t the Attendance Plicy must use paid sick time in a minimum f fur hurs per ccurrence. Grandfathered Part-time assciates accrue at a rate f 2 hurs per mnth, fr a maximum f 24 hurs fr each calendar year, regardless f length f service. Sick time may run cncurrent with ther Leave f Absences. Refer t the applicable Leave Plicy n CarMax Way. Salaried assciates: Refer t the Time Away Plicy n CarMax W ay. Assciate Respnsibilities (Applies t All States) Available sick balances can be viewed by lgging int Krns under My Timecard and select the Accruals tab. When an unplanned event ccurs fr which the Assciate is unable t wrk his r her scheduled shift, the Assciate must call and speak t a CarMax Manager as sn as he r she is aware f the situatin. If he r she is unable t speak t a Manager, a vice mail message shuld be left n the Manager s direct extensin. CarMax, Inc. and its subsidiaries reserve the right t decline a sick time request if the required ntificatin is nt given and may result in apprpriate disciplinary actin fr the unauthrized absence(s). Assciate shuld ntify their manager if the anticipated length f time absent frm wrk will exceed 7 calendar days and shuld ntify the Leave Administratr. Please refer t the Medical Leave f Absence Plicy fr mre details. Cmpensatin (Applies t All States except CA) Hurly assciates Hurly rate times the number f regularly scheduled hurs in Krns. Cmmissined assciates Hurly base rate (GHR) times the number f regularly scheduled hurs in Krns. Salaried assciates Refer t the Time Away Plicy. Accumulatin f Hurs: Hurs wrked plus paid time ff (vacatin, persnal, sick, bereavement, etc.) shuld nt exceed assciate s regular scheduled wrkday. Recvery: CarMax reserves the right t recver any negative sick time upn terminatin r status change frm FT t PT. Brrw ing (Applies t All States Except CA, CT, M A and OR) Assciates may brrw up t the maximum number f sick hurs that appear in the Ttal Available clumn in Krns. This value assumes that the assciate will remain in a full-time psitin fr the duratin f the calendar year. An assciate must have received his/her first mnth s accrual in rder t brrw and cannt brrw int the next plan year. Examples: If the assciate s hire date is July 10 th, and tday is July 31 st ; the assciate is nt eligible t brrw ahead. If the assciate s hire date is August 7 th, and tday is Octber 10 th the assciate is eligible t brrw Nvember and December accruals if requested. An assciate that has been with CarMax fr tw years calls ut sick n Nvember 27 th and 28 th and wants t use sick time. As f Nvember, the assciate has earned 44 hurs f sick, but has used 40 hurs during the plan year. The assciate is nly eligible t use 8 sick hurs (4 hurs already accrued and brrw December s 4 hur accrual). Brrw ing (Applies t CA, CT, M A and OR) Assciates may brrw up t 48 sick hurs if the assciate was an active, full-time assciate as f January 1st. Assciates hired after January may brrw up t the assumed maximum number f sick hurs that will be accrued in the calendar year based n ur standard accrual plan, which is fur hurs per mnth fr each mnth in the calendar year. This value assumes the assciate will remain in a full-time psitin fr the duratin f the calendar year. An assciate must earn an accrual in rder t brrw and cannt brrw int the next calendar year. Part-time assciates may nt brrw. 4

5 Sick Time Plicy Examples: If the assciate s hire date is July 10 th, and tday is July 31 st ; the assciate is nt eligible t brrw ahead. If the assciate s hire date is August 7 th, and tday is Octber 10 th the assciate is eligible t brrw Nvember and December accruals if requested. An assciate that was hired n June 6 th and is sick n December the 3 rd. The assciate wants t use 8 hurs fr that day. As f December 2 nd, the assciate has earned 29 hurs f sick and used 26 hurs. This assciate is nt eligible t brrw. Based n this assciates hire date, the brrw balance is set at 24 hurs (4 hurs x 6 mnths) and already taken exceeds this number. An assciate that has been with CarMax fr tw years calls ut sick n Nvember 27th and 28th and wants t use sick time. As f Nvember, the assciate has earned 44 hurs f sick, but has used 40 hurs during the plan year. The assciate is nly eligible t use 8 sick hurs (4 hurs accrued fr Nvember and brrw December s 4 hur accrual). Overtime Eligibility: Hurs and wages paid fr Sick Day(s) are nt used when determining vertime pay. Carryver & Payuts (Excludes CA, CT, IL, MA, OR): Sales Cnsultants are nt eligible fr a payut since the psitin is eligible fr mnthly cntests. Hurly and Cmmissined Operatin Assciates may receive a payut f their unused sick time balance based n the fllwing criteria: Assciate must be actively emplyed n the payut date. Assciate is in an hurly r cmmissined peratin psitin at the time the payut is prcessed. Depending n the bi-weekly pay perid schedule, the payut will ccur n later than January 31 st. The payut amunt is based n: The base rate (GHR) in effect at the time the payut is prcessed Terminatin There is n payut fr unused Sick time in the event f terminatin f emplyment, unless required by law. Assciate Benefits While Out n Sick Time (Applies t All States) Assciate remains an active participant in all benefit plans and prgrams that the assciate participated prir t taking sick time. Manager Respnsibilities (Applies t All States) Verify that the assciate has time available in Krns. In Krns, enter the paid time ff directly int the schedule r n the assciate s timecard befre the end f the pay perid using the pay cde SIC Sick fr nly the hurs the assciate is scheduled t wrk. On the 8 th cnsecutive day f absence, cntact the Leave Administratr t reprt a Pending Leave f Absence. Manager shuld nte the date, time and the persn wh called in the ntificatin f absence. Keep track f absences. Generally, when an assciate is absent fr 3 cnsecutive scheduled days withut ntifying his/her Manager, the assciate is cnsidered t have vluntarily resigned his/her emplyment pursuant t CarMax plicy. The Manager shuld cntact the apprpriate HR Manager t ensure the prper cmmunicatin has taken place and t decide whether a vluntary terminatin is warranted. Upn determinatin that a vluntary terminatin is apprpriate, the assciate shuld be immediately terminated in Wrkday and use the terminatin cde f Jb Abandnment. 5

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