To: All Alleghany County Public Schools Employees
From: J. Keven Rice, Director of Finance
Date: September 19, 2016
Subject: Annual Notice of Availability of the Alleghany County Public Schools 403(b) Plan
Alleghany County Public Schools offers a 403(b) Plan for eligible employees of the school division. All employees are eligible to participate in the 403(b) Plan with the following exceptions:
- Non-resident aliens
- Student workers
A 403(b) plan is a tax-deferred retirement program that permits an employee to reduce his or her compensation on a pre-tax basis and have the contribution deposited into a 403(b) investment.
To enroll in a 403(b) program you must complete a Salary Reduction Agreement. Salary Reduction Agreements are available from your selected 403(b) vendor representative.
You may also be required to complete an annuity contract or custodial account application to establish your investment account under the Plan. Application forms for an annuity contract or custodial account can be obtained from the representative of the investment provider you select. Employees should contact each vendor for information about the 403(b) products and services it offers. A list of the approved vendors in our Plan is attached.
Your participation will begin the first day of the month following the date that the Financial Services office processes your completed Salary Reduction Form.
You can make a change to or stop your contribution at any time. To do so, you will need to complete a new Salary Reduction Agreement provided by your vendor representative and submit it to the Financial Services office. The change will take effect on the first day of the month following the date that the Financial Services office processes your completed Salary Reduction Form.
The Internal Revenue Service limits the annual contributions you can make to a 403(b) plan. These limits are posted by the Internal Revenue Service on their web site and are available from the Financial Services office.
Alleghany County Public Schools has no liability for any employee’s election to participate in the 403(b) plan, choice of 403(b) vendors, or expected tax consequences from participating in the 403(b) Plan. Alleghany County Public Schools does not provide tax, legal, or investment advice and recommends that employees seek advice from professionals who specialize in these areas.
If you have any questions about the 403(b) Plan, please contact the Financial Services office.
VOLUNTARY 403(b) TAX SHELTERED ANNUITY AND INVESTMENT VENDOR LIST AUTHORIZED BY ALLEGHANY COUNTY PUBLIC SCHOOLS
Americo Financial Life and Annuity Insurance Company
MetLife Insurance Company
New York Life Insurance and Annuity Corporation
Virginia Retirement Specialist Incorporated (VRSI)