TIAA-CREF Retirement Plan: Roth 403(b) Option Available Starting May 1, 2013
Starting May 1, a Roth 403(b) contribution option will be available to employees participating in the Tax Deferred Annuity (TDA) also known as the Group Supplemental Retirement Account (GSRA) through TIAA-CREF. The Roth option is not available for those employees contributing only to the Defined Contribution plan.
A Roth 403(b) contribution offers an employee the ability to defer their retirement contributions post-tax. Previously, our TDA plan only allows for deferrals to be taken tax-deferred.
Roth deferrals will not reduce your taxable income for the year like a tax-deferred contribution would. However, the benefit of making Roth contributions comes when you take a payout from the plan. Any payout will be paid tax free as long as you meet certain requirements for a qualified distribution.
An employee participating in the TDA plan has the option of either contributing their earnings tax-deferred, post-tax, or a combination of both. To make the change, you can complete the retirement salary reduction form available on the Human Resources retirement page.
Human Resources presented a lunch-and-learn on the Roth option, May 21 in the Gould Library Athenaeum. The power point for the Lunch and Learn presentation can be found here.
Please contact either Melanie at x7142 or Andrea at x5989 to complete a TDA change form or for more information.