Pre-tax Retirement Savings Plans
| 403(b) | 457(b) | |
|---|---|---|
| Eligibility | All UC employees* | Same |
| Pre-tax Contributions? | Yes | Same |
| Tax-deferred Growth | Yes | Same |
| Administration Fees | No | Same |
| Investment Options | All | Same |
| Deferral Limits | 2009: $16,500 or $22,000 if > age 50 | Same |
| Contribution Method | % or flat dollar | Same |
| Catch-up Provision? | Yes | Same |
| Simultaneous Participation? | Yes | Same |
| In-Service Distributions | Yes, after age 59.5, Permanent Disability or Financial Hardship for six very specific reasons. | No; except in the case of unforeseeable financial emergency for very specific, very limited reasons. |
| Incoming Rollovers? | Yes, from 401(k), 403(b) and 457 public plans; not from a 457 private plan. | Same |
| Loans | Yes | Not currently offered |
| Distribution After Separation from Service | Yes. A distribution can be requested 30 days after separation date. | Same |
| Rollover Eligible | Yes | Same |
| Early Distribution Penalty | Yes; 10% federal and 2.5% state. | No; except funds that were rolled into plan from a plan that was subject to penalty, i.e. 403(b). |
| Minimum Required Distributions - age 70.5 | Yes (unless actively employed) | Same |
| How to Enroll | Go to: http://www.netbenefits.fidelity.com or call Fidelity at 1-866-682-7787 (1-866-6UC-RSVP), M-F, 5 a.m. - 9 p.m. (PST) | Same |
| Payroll Deduction Enrollment/Changes Deadlines (Changes in where money is invested can be made more quickly. Call Fidelity Retirement Services at 1-866-682-7787.) | The deadline for the 403(b) and 457(b) are not the same. For 403(b), the deadline is different each month. Generally, if the request is processed 5 business days before the "pay-compute date," the change will be reflected in the next month's paydate. See the person in your department who handles payroll/benefits for the "pay-compute date." | 5 p.m. (PST) on the last business day of the month for next month's earnings. For example, 2-28 for March earnings which is the 4-1 paydate for monthly payroll (earlier paydate for bi-weekly payroll). Cancellations can be processed more quickly. |
*Except students who normally work less than 20 hours per week.
