Tax Deferred Annuity 403(b) Plan
Eligible employees may elect pre-tax salary deductions for this retirement savings plan at any time during the year. Many self-directed investment options are available through a variety of participating providers. Management employees receive an employer provided 2% contribution to the TDA of the employee’s choice after a one year waiting period. The 2% management contribution replaces the early retirement stipend.
- Eligible employees
- include full-time and part-time: Faculty, Classified, Managerial, Academic Professionals, Confidentials, and Casual employees.
What is a TDA?
Whether called a tax deferred annuity or a tax sheltered annuity, both are 403(b) retirement savings plans. These plans provide a mechanism to set aside money for your future retirement security, by way of a payroll deduction while you are still working. Deductions are taken on a pre-tax basis so you save tax money now by reducing your taxable gross income. You may elect either a flat amount to be deducted from your monthly paycheck or a percentage of pay. This allows the deduction amount to adjust automatically if your pay fluctuates during any given pay period.
Once deducted, your contributions are sent to the college approved investment vendor of your choice. Your account will be invested as you have directed and interest earnings will be added to your balance. You are always 100% vested in your account, however, withdrawal of monies prior to retirement is restricted and carries penalties dictated by the IRS.
How do I sign-up?
You may open an account and begin contributions at any time during the year by selecting and contacting a college approved vendor.
- When you have opened your account, you must send a completed Tax Deferred Annuity Plan Enrollment Form to the PCC Payroll Department by the 15th of a month to be effective on the first of the following month.
- Your deduction amount may be changed up to two times per calendar year, however if you discontinue your contributions, your participation in the annuity program may not resume until the next calendar year.
For more information contact any of the benefits staff, or use the Benefit Material Request form to have information sent to you. A list of the approved investment vendors are available below, by request from the Human Resources Department, and by request from the Payroll Department.
Important: Participation in any TDA cannot occur unless the vendor account is in place prior to payroll deductions occurring. Therefore, the vendor account must be established before notifying payroll of your intent to participate in this program.
Tax Deferral Limit
The deferral limit for 2013 is $17,500;; plus a provision that allows participants age 50+ to defer an additional $5,500 annually.
The following companies currently have nine or more PCC employees enrolled which makes them eligible to add new participants. Due to monthly enrollment changes, please contact the payroll department at 971-722-2835 to verify current status of any company.
This list does not constitute an endorsement of any one of these plans by Portland Community College. You may be directed to call another number than the one listed. You should specify that you are interested in Tax Deferred Annuity information. Local representatives and their numbers have been listed for your convenience but you may use any agent as these are not exclusive agreements.
|Vendor||Area Representative||Phone Number||Toll-free Phone Number|
|Ameriprise Financial (formerly American Express)||Gary Buczkowski||503-674-2300||1-800-862-7919|
|Fidelity Retirement Services||1-800-343-0860|
|First Investors||Joshua Bostic||503 296-7676 ext. 282||1-800-423-4026|
|ING Aetna Financial Services||Portland Office||503-937-0378||1-800-238-6281|
|Lincoln National Life Insurance||Susan Terry||503-281-8919|
|MetLife (formerly Travelers)||Jason Blanchard||360-903-2915||1-800-638-3279|
|Standard Insurance Company||Mike Campbell||503-321-7400||1-800-638-4666|
|Symetra (formerly SAFECO)||1-800-796-3872|
|Waddell & Reed Financial Services||Leslie Mills||503-238-6036|
PCC is in no way endorsing one plan over another and employees' 403b selections are ultimately based on the employee's personal decisions.