457 Deferred Compensation and Roth IRA
Eligibility
The City of Lynchburg offers a 457 Deferred Compensation and Roth IRA plans to eligible employees to help them voluntarily save for their retirement. Employees in Full-Time, Part-Time, and Hourly positions are eligible and can elect to participate in the 457 Deferred Compensation and Roth IRA plans at any time. Grant funded with benefits employees may be eligible to participate based on conditions of the grant or outside funding.
Enrolling
The City's 457 Deferred Compensation and Roth IRA plans are administered by MissionSquare. 457 Deferred Compensation contributions are deducted on a pre-tax basis and Roth IRA on an after-tax basis. To learn more about these plans and how to enroll, click here.
Making Changes
Complete a simplified change form to increase, decrease, or stop the amount being deducted from your paycheck. All other changes, click here and log into your account access..
Loans
Your plan allows you to borrow money from your account while you are still employed. The maximum loan amount is limited to half of your account balance or $50,000, whichever is less. Additional information is available by contacting MissionSquare.
Additional Resources
- Short video (Why Your 457 Plan Matters!) click HERE
- Online Enrollment Video (click HERE)
- Click HERE to view more information about 457 plans
Contribution Limits: 457 Plan
Limitations: 457 Plan |
2023 |
---|---|
Annual Deferral Limit for 457 Plans |
$22,500 |
“Pre-Retirement” Catch-Up Limit |
$22,500 ($45,000 total) |
“Age 50” Catch-Up Limit |
$7,500 ($30,000 total) |
Contribution Limits: Roth IRA
Limitations-Roth IRA |
2023 |
---|---|
Maximum Annual Addition |
$6,500 |
“Age 50” Catch-Up Limit |
$1,000 ($7,500 total) |
Hybrid members: please be aware that the deferral limits above include voluntary hybrid contributions.
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