403(b) plan details
Welcome to your 403(b) retirement plan. Click below to view the features and highlights of your employer’s 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
Participation in the plan is open to all employees with the exception of leased employees. You can make salary deferrals to the plan immediately upon hire at the Hospital.
To receive the employer contributions, employees must have completed two years of service and completed at least 1,000 hours of service in each year, as defined by the plan. These two years of service includes (a) the initial Computation Period and (b) a Plan Year.
Starting early has its advantages
Employees hired as Full time or Part Time A, who do not affirmatively elect to have a specified amount contributed to the plan upon hire (including an election to contribution $0 to the plan), your compensation will automatically be reduced by 4% and contributed as an Elective Deferral to the plan following 30 days of employment.
Rollovers or transfers
If you have an existing qualified retirement plan (pretax), qualified retirement plan (after-tax), 403(b) tax-deferred arrangement, deferred compensation plan or nonprofit plan account with a prior employer or hold a traditional IRA account, you can transfer or roll over that account into the Plan on becoming a participant in the Plan.
Important considerations before deciding to move funds either into or out of an 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.
Can I stop or change my contributions?
You may stop your contributions anytime. 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 anytime.
What is Ellis Hospitals contributions under the plan?
The plan also provides for Ellis Hospital to make contributions, after meeting the eligibility requirements. Please refer to the Eligibility section for the requirements on receiving employer contributions.
- The plan also provides for discretionary matching contributions on pretax contributions in an amount to be determined by Ellis Hospital on an annual basis. The match benefits all eligible employees.
- Employer matching contributions shall be made at a rate equal to 50% of the elective deferrals of each employee who is eligible for employer contributions. The amount of an employee's elective deferrals considered for the purposes of the employer matching contribution shall not exceed a percentage of compensation, which is determined according to the following schedule:
Employer matching contribution schedule
| All Eligible Employees with | % of Elective Deferrals | Max % of Employer Matching Contribution |
|---|---|---|
| Less than 16 Years of Service | 4% | 2% |
| 16 or More Years of Service | 8% | 4% |
- In addition to the employer matching contribution, the plan provides for 2% basic employer contribution based on annual compensation. The basic contribution benefits all eligible employees.
How do I become "vested" in my plan account?
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, employer contributions and rollover contributions, plus any earnings they generate.
How are plan contributions invested?
You decide how to invest your plan account, selecting from investment choices provided under the Plan, as determined by Ellis Hospital. You can change your investment choices anytime.
Accessing your money before retirement
The plan was established to encourage long-term savings, so withdrawals prior to age 59½ might be subject to federal restrictions and a 10% federal early withdrawal penalty.
Withdrawals
Money can be withdrawn from the plan in these events:
- Termination from employment
- Your retirement
- Your attaining age 59½ (employee deferral only)
- Death
- Disability
- Financial hardship (employee deferral only)
Income taxes are payable upon withdrawal and federal restrictions and a 10% federal early withdrawal penalty may apply to early withdrawals. Be sure to talk with your tax advisor before withdrawing any money from your plan account.
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.
Can I borrow money from my account?
The plan is intended to help you put aside money for your retirement. However, your 403(b) plan includes a feature that lets you borrow money from your account tax free without permanently reducing your account. All loans may be repaid over time.
- 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. A longer term of 15 years may be available if the loan is to be used to purchase your principal residence.
- You can have one loan outstanding at a time.
- You pay interest back to your account. The interest rate on your loan will be the Prime Rate plus 1%.
- A $50 processing fee for all new loans and a $30 per year loan maintenance fee are charged to your account.
- Loan payments are automatically made biweekly via payroll deduction.
If a participant defaults in making any payment of principal or interest when due, or within any grace period permitted at the discretion of the Plan Administrator, the loan will be treated as a taxable deemed distribution to the participant as required by law.
Unpaid loan amounts will be taxed as ordinary income and may incur a 10% federal early withdrawal penalty if the employee is under age 59½. Other requirements and limits must be met prior to borrowing money from your account. For additional information regarding loans, please see your financial professional.
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.
Loans
Tax-free loans make it possible for you to access your account without permanently reducing your account balance. Defaulted loan amounts (not repaid on time) will be taxed as ordinary income and may be subject to a 10% federal tax penalty if you are under age 59½. Loans are available on employee elective deferrals only.
Contact your financial professional or Client Service Professional for more information concerning loans from your plan.
An array of investment choices
The mutual funds available in your 403(b) retirement plan will provide you with the flexibility you need to create a suitably diversified portfolio that matches your personal retirement time horizon, investment risk tolerance and investment preferences.
- FOR 403(b) PLAN : View the entire list of funds and performance.
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.
RO2767020(03/2023)