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This document outlines the provisions of the 457(b) Deferred Compensation Plan established for employees of Alexandria City Public Schools, detailing eligibility, contributions, distributions, and

How to fill out 457b deferred compensation plan

How to fill out 457(b) Deferred Compensation Plan

1. Check eligibility: Verify if your employer offers a 457(b) plan and if you are eligible to participate.
2. Gather necessary information: Collect personal and financial information including your Social Security number and income details.
3. Review the plan documents: Familiarize yourself with the plan's rules, contribution limits, withdrawal options, and investment choices.
4. Complete the enrollment form: Fill out the necessary forms provided by your employer or plan administrator. Ensure all information is accurate.
5. Decide on contribution amounts: Determine how much you want to defer from your salary, keeping in mind the annual contribution limits.
6. Choose investments: Select the investment options available in the plan according to your risk tolerance and financial goals.
7. Submit the forms: Return the completed enrollment and contribution forms to your HR department or plan administrator.
8. Confirm your enrollment: After submission, verify that you are successfully enrolled by checking with the plan administrator.

Who needs 457(b) Deferred Compensation Plan?

1. Employees of state and local governments.
2. Non-profit organization employees.
3. Highly compensated employees looking to save more for retirement.
4. Individuals seeking tax-deferred savings options to complement other retirement accounts.

People Also Ask about

How does a 457 deferred compensation plan work?

457(b) Assets can be withdrawn without penalty at any age upon separation from service from the plan sponsor, or age 70½ if still working.

What is a 457 B deferred compensation plan?

Cons of 457(b) plans: Fewer investing options than 401(k)s (Not as common today) Only available to certain employees employed by state or local governments or qualifying nonprofits. Employer contributions count toward the annual limit. Non-governmental 457(b) plans are riskier.

What are the disadvantages of a 457 B plan?

Cons of 457(b) plans: Fewer investing options than 401(k)s (Not as common today) Only available to certain employees employed by state or local governments or qualifying nonprofits. Employer contributions count toward the annual limit. Non-governmental 457(b) plans are riskier.

For pdfFiller’s FAQs

What is 457(b) Deferred Compensation Plan?

The 457(b) Deferred Compensation Plan is a type of retirement savings plan available to certain employees, allowing them to defer a portion of their salary into a tax-advantaged account for future use, typically for retirement.

Who is required to file 457(b) Deferred Compensation Plan?

Public employees of state and local governments, as well as certain non-profit organizations, are required to file for the 457(b) Deferred Compensation Plan if they choose to participate.

How to fill out 457(b) Deferred Compensation Plan?

To fill out a 457(b) Deferred Compensation Plan, individuals must complete the enrollment form provided by their employer, indicating the amount of salary deferral and selecting investment options. They may also need to provide personal information and beneficiary designations.

What is the purpose of 457(b) Deferred Compensation Plan?

The purpose of the 457(b) Deferred Compensation Plan is to enable employees to save for retirement on a tax-deferred basis, allowing their invested funds to grow without immediate tax implications.

What information must be reported on 457(b) Deferred Compensation Plan?

The information that must be reported on the 457(b) Deferred Compensation Plan includes participant contributions, investment earnings, distributions, and any withdrawals made, as well as compliance with contribution limits.