If you can afford to save more during 2011, now is the time to increase your 403(b) contribution rate!
The most you are allowed to contribute during 2011 is $16,500. However, if you will be 50 years old or older by December 31, 2011, you can contribute up to an extra $5,500 for a total maximum contribution of $22,000. In addition, if you have been at the College for 15 or more years, you may be eligible to contribute even more.
Already enrolled and want to increase your contribution?: Simply complete the Salary Reduction Agreement found at /hr/docs/hrforms/ra_agreement/. Once complete, the form should be returned to Alison Bowman in the Employee Benefits and Work/Life Department.
Think you are contributing the maximum allowed?: Refer to your statement of earnings to confirm that you will reach your maximum contribution by December 31, 2011. It is the employee’s responsibility to check their paycheck to determine if the appropriate amount has been withheld and to report any discrepancies immediately to the Office of Human Resources so that timely corrections can be made.
Not yet contributing?: Get started! Remember, if you are eligible to contribute to the College’s Defined Contribution plan and contribute 5% of your gross pay, Ithaca College will match that with a contribution equal to 8.75% of your gross pay. It’s like free money! For those who are not eligible to contribute to the defined contribution plan, you can still save pre-tax dollars for retirement by contributing to the College’s Tax Deferred Annuity Plan.
Please contact Alison Bowman at 4-1208 or firstname.lastname@example.org if you have questions about how to complete the salary reduction form, want to find out what your current contribution is or want to open an account.
Originally published in Intercom: If you can afford to save more during 2011, now is the time to increase your 403(b) contribution rate!.