Benefits Change Connection
IU 457(b) Retirement Plan
A participant remains 100 percent vested in his or her 457(b) plan account after termination of employment and is not required to cash-out or transfer the account.
Upon termination of employment, a participant may:
- Leave the accumulations in the account and continue to manage the investments;
- Withdraw all or a portion of accumulations (subject to income taxes); or
- Roll over all or a portion of the accumulations to an eligible retirement plan, e.g., an individual retirement account (IRA).
Upon termination of employment, a participant must:
- Handle all transactions, including withdrawals and rollovers, directly with the investment company.
- Continue to direct the investment of the 457(b) plan account.
- Notify the investment company of any name/address change.
- Notify the investment company of any beneficiary change.
- Begin to receive minimum required distributions on or before the required beginning date.