403(b) plan

Take advantage today 

Who can participate?

Participation in the plan is open to all eligible employees. All eligible employees can make contributions to the plan immediately.

Starting early has its advantages 

Your contributions
Through payroll deduction, your plan allows you to make pretax and Roth after-tax deferrals up to the maximum annual deferral limits. 

This includes both pretax and Roth after-tax deferrals. Special catch-up provisions may also be available. Talk to your financial advisor for more information. If you have an existing qualified retirement plan (pretax) or qualified retirement plan (Roth after-tax deferrals) account with a prior employer, you can transfer or roll over that account into the plan on becoming a participant in the plan.

Vesting
You are always 100% vested In employee contributions and rollover contributions, plus any earnings they generate.

Investment flexibility
You decide how to invest your plan account, selecting from investment choices provided under the plan. 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 may apply.

Money can be withdrawn from the plan in these events:

• Death 
• Disability 
• Severance from employment 
• Financial hardship (Hardship withdrawals may be made from salary reduction contributions only, not from earnings on those contributions) 

Income taxes are payable upon withdrawal. Be sure to talk with your tax advisor before withdrawing any money from your plan account.

Loans

The plan is intended to help you put aside money for your retirement. However, Florida State University has included a plan feature that enables you to access money from the plan.

• 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. 
• Loans must generally be repaid within five years. 
• You pay interest back to your account. The interest rate on your loan will be the Prime Rate plus 1%. 

Defaulted 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.