"Deferred comp” makes it easy to set aside more money for retirement by allowing you to have some of your pay automatically deducted on a pre-tax basis and invested.
You select the amount you want to invest, from as little as $5 per pay to no more than $23,000 per year, which is the IRS limit for 2024. (“Catch-up” provisions allow some participants to contribute more in certain situations. See the Deferred Compensation Plan Features And Highlights for more information.)
You also decide which of the available funds to invest in -- with aggressive, moderate, and conservative options to choose from. You can easily change the amount you withhold from your pay and your investments whenever you choose.
Deferred comp accounts have certain tax advantages as outlined in Section 457(b) of the IRS tax code. The SERS board has contracted with Empower Retirement as the third-party administrator of this investment plan.
Enrollment
There are two ways to enroll in the deferred compensation plan. Enroll/register online under "I have a plan enrollment code", You will need:
- Social Security number (SSN) (no dashes or spaces)
- Group ID/Plan Number 98978-01
- Plan enrollment code
- Choose " State System-Higher Education" for the "Division Name" field on the enrollment form
Changes
Your deferred comp plan allows you to designate or change your contribution amount online. Sign in to your account to log in. You can then change your contribution amount by using the contribution rate slider.
Investment Options
A wide variety of core investment options are available through your "deferred comp plan." Periodically, the investment lineup in your deferred comp plan undergoes changes. These changes are made so you may continue to select from a diverse and competitive array of quality investment options.
Tax-Defer Leave Payouts
The State System allows you to defer in both the TSA and Deferred Compensation plans, up to the applicable IRS limits. By making pre-tax deferral, employees can reduce taxes withheld from the final paycheck and boost their retirement savings. Prior to meeting with your representative, you should obtain a sick/annual leave payout estimate from your HR office. This will help the representative to estimate the correct deferral amount.
Deferral Forms and Instructions
Update Account Information
It's important to keep your account information and beneficiaries up to date. Log in to your online account with Empower (SERS) to update your information.