Members of the UNMC community who currently participate in the University of Nebraska’s 457(b) supplemental retirement plan must re-enroll annually, and the deadline for re-enrollment is quickly approaching.
Questions and reminders
Emails have been sent to employees who participated in the 457(b) plan in 2015 reminding them of the 5 p.m. Dec. 31 re-enrollment requirement and providing the appropriate form(s) to re-enroll for 2016. For questions please contact the Benefits Office by calling 402-559-4340, emailing here or stopping by the Administration Building, room 2015.
Participation in the 457(b) plan does not automatically continue past Dec. 31. Participants need to submit a new 457(b) Salary Reduction Agreement form by Thursday, Dec. 31, 2015 to begin deductions in January 2016.
As in the past, a prerequisite for participation in the 457(b) is that participants are on track to contribute the maximum allowed in the 403(b) supplemental plan for that calendar year. You can find your current 403(b) and/or 457(b) deduction in Firefly, using the Employee Self Service function under Benefits, and then Participation Overview. If you are meeting this prerequisite through contributions with another employer (such as the VA or a physicians group), you must also complete and return the 2016 Verification of Pre-Tax Retirement Withholding With Other Employers form.
2016 general limits for both the 403(b) and the 457(b) remain the same:
- Under age 50 – $18,000
- Age 50 and over – $24,000 (includes those who attain age 50 anytime during 2016)
Do you have 15 or more years of service? You may be able to contribute up to an additional $3,000 catch-up amount to your 403(b) plan (total $21,000 if you are under age 50 and $27,000 if you are 50 or over). The special calculation will be done in late January or early February to determine if you are eligible for this extra amount. The calculation will take into account extra amounts you have been contributing in the past years to determine if you are eligible to contribute the full additional $3,000. The calculation will not be available to you prior to that time. Should you sign up for the higher deductions, and the calculation results show your limit is a lesser amount, the system will automatically stop your deductions when they reach your allowable amount.
Again, in order for a 457(b) deduction to begin in January 2016, the deadline for these form(s) to be received in the UNMC Benefits Office is 5 p.m., Dec. 31. Forms can dropped by the Benefits Office (Administration Building, Room 2015), faxed (402-559-3866) or scanned and emailed to benefits@unmc.edu. Forms also can be put into campus mail (ZIP 5470) but please allow at least several days for delivery to ensure the form(s) are received by the deadline.