• Benefits are based solely on a participant's plan account balance
• Employees make all contributions to the plans
• Academic & staff employees appointed at 50% or more full-time equivalent (FTE) are eligible to participate immediately
• Hourly employees who are appointed as "PERF Hourly" are eligible to participate immediately
• A participant may make contributions up the IRS limit ($15,500) to each plan
• A participant age 50 or older may make additional contributions to a plan up to the IRS limit ($5,000) to each plan
• A participant is always 100% vested in his or her plan accounts |
• A participant makes all investment decisions concerning his or her plan accounts
• Hardship distributions are not allowed to be made to participants from the plans
• A participant must begin to receive a distribution from each plan on or before April 1 st of the year following the year in which he or she attains age 70½ or terminates employment, if later
• A participant may choose to receive a distribution from his or her plan accounts as a single sum distribution, an annuity, an installment, or any combination thereof
• Contributions will not be included in a participant's income that is reported to the federal, state, or local governments for income tax purposes
• A participant will pay employment taxes (i.e., Social Security taxes) on contributions
• Plan distributions are subject to income tax |
