403(b) plan
Plan highlights
Welcome to the Clarke County School District retirement plan. Click below to view the features and highlights of your employer’s 403(b) retirement plan.
The plan highlights are only a brief overview of the plan's features and are not a legally binding document. The information in this section does not modify the terms of the plan and in the event of a conflict, the terms of the plan control.
Take advantage today
There is no age or service requirement for eligible employees to participate in the plan.
However, the plan does not allow participation by certain students.
Starting early has its advantages
Your contributions
New participants will be automatically enrolled at 3% pretax deferral of plan compensation. The automatic deferral provision does not apply to current participants.
Through payroll deduction, your plan allows you to make pretax or Roth after-tax contributions up to the maximum allowed by the Internal Revenue Code. An Internal Revenue Service (IRS) dollar limit also applies.
Roth account contributions
You have a choice regarding your elective contributions. You can direct all of your contributions to a traditional pretax account, to a Roth account or to a combination of the two. Contributions to a Roth account are after-tax. Regardless of your election, you are subject to the annual contribution limits detailed previously.
Your employer's plan permits you to convert a portion of your tax-deferred retirement account into a Roth account under the plan. Bear in mind, you must pay income tax on the converted funds for the year in which the conversion occurs. Roth in-plan conversions may be limited to otherwise distributable amounts. This may include either a post-retirement conversion or an in-service conversion if the plan permits. No withholding is permitted for in-plan conversions of otherwise non-distributable funds, so you may need to make additional tax payments in the year of such an in-plan conversion. Your financial professional can assist you in determining your eligibility. Limitations under the plan may apply.
Catch-up contributions
You may be able to contribute up to an additional:
See your Benefits Administrator for more details.
Important considerations before deciding to move funds either into or out of a Corebridge Retirement Services account
There are many things to consider. For starters, you will want to carefully review and compare your existing account and the new account, including: fees and charges; guarantees and benefits; and, any limitations under either of the accounts. Also, you will want to know whether a surrender of your current account could result in charges. Your financial professional can help you review these and other important considerations. Consult a tax professional before making a decision to move funds either into or out of a Corebridge account.
Stop/change contributions
You may stop your contributions by giving notice to your employer. Once you discontinue contributions, you may only start again as provided under the terms of the plan. You can increase or decrease the amount of your contributions by giving notice to your employer.
Vesting
Vesting is a participant’s right of ownership to the money in his or her plan account. You are always 100% vested in employee contributions, plus any earnings they generate.
Accessing your money
Withdrawals
Money may be withdrawn from the plan in these events:
- Attainment of age 59½
- Death
- Disability
- Severance from employment
- Financial hardship (Hardship withdrawals may be made from salary reduction contributions only, not from earnings on those contributions.)
- Taking the Required Minimum Distributions when required by law
Income taxes are payable upon withdrawal. Federal restrictions and a 10% federal early withdrawal penalty may appear if taken before age 59½.
In addition, the Internal Revenue Service (IRS) requires you to take Required Minimum Distribution (RMD) withdrawals from your retirement account(s) annually beginning the year you reach the RMD eligible age. RMD eligible age is:
- Age 73 if you were born January 1, 1951, or later (The RMD eligible age will increase to age 75 after December 31, 2032)
- Age 72 if you were born after June 30, 1949, and before January 1, 1951 (For individuals turning age 72 in 2023, no RMD payment is required in 2023)
- Age 70 ½ if you were born before July 1, 1949.
Be sure to talk with your tax advisor before withdrawing any money from your plan account.
Loans
- The amount the plan can loan to you is limited by rules under the tax law. All loans will be limited to the lesser of: one-half of your vested account balance or $50,000.
- The minimum loan amount is $1,000.
- All loans must generally be repaid within five years.
- You can have two loans outstanding at a time.
- A $50.00 processing fee for all new loans and a $50.00 per year loan maintenance fee are charged to your account.
An array of investment choices
Funds & performance
The following mutual funds and the fixed-interest option are available in your retirement plan. They provide you with the flexibility you need to help create a suitably diversified portfolio that matches your personal retirement time horizon, investment risk tolerance and investment preferences.
To view or print a prospectus, access “Prospectuses and Other Important Materials.” The prospectus contains the investment objectives, risks, charges, expenses and other information about the respective investment companies that you should consider carefully before investing. Please read the prospectus carefully before investing or sending money. You can also request a copy by calling 1.800.428.2542.
Transfer restrictions to the fixed-interest option
Generally, you may transfer assets from the fixed-interest option into equity options at any time and, after 90 days, from equity options into another fixed-income option such as a money market fund, a stable-value fund or certain short-term bond funds, if such competing options are allowed in the plan.
RO2767020(03/2023)