Many families discover — sometimes too late — that their pensions and Social Security income are insufficient after retirement. The state’s Defined Contribution retirement savings plans can help you save for a more financially secure retirement. Defined Contribution Plans are voluntary retirement savings plans that permit you to defer income into the retirement plan either on a pre-tax basis or after-tax (Roth) basis. The plans offer a wide variety of investment options and accept pre-tax funds (rollovers) from other 401, 403(b) and 457(b) governmental plans and traditional IRAs.
457 Plan Eligibility:
Employees are eligible to enroll in the plan on their first day of employment. The minimum contribution is $20 per pay period.
403(b) Plan Eligibility:
Employees are eligible to enroll in this plan on their first day of employment. The minimum contribution is $200 annually, which equals $8 per pay period. Enrollment in the 403(b) Plan is limited to employees of the following agencies:
- University of Connecticut (including University of Connecticut Health Center)
- State Universities and Community-Technical Colleges
- Board of Regents for Higher Education
- Department of Education, including the Vocational-Technical High Schools
- Unified School District No. 1 of the Department of Corrections
- Unified School District No. 2 of the Department of Children and Families and Riverview Hospital
- Unified School District No. 3 of the Department of Developmental Services
- Board of Academic Awards
- Connecticut Valley Hospital
- Greater Bridgeport Community Mental Health Center
- Southwest Connecticut Mental Health System
- Capitol Region Mental Health Center of the Department of Mental Health and Addiction Services
- Connecticut Mental Health Center