Plan HighlightsPoint PleasantBeach Board of Education 403(b) Plan

Who is Eligible to make elective deferrals into the plan? / Employee Deferrals – All current employees are eligible.
Choice of Employee Deferrals: Up to $16,500 for 2010. If you are 50 or older the amount is $22,000 for 2010. These are Pre-Tax Deferrals and reduce your taxable income.
Enrollment Periods / Entry Dates – You may begin participating on the first day of the first payroll period after you complete any necessary forms and a salary reduction agreement.
Contributions / Employee Deferrals – You can defer from your compensation through salary reduction up to the maximum amount of $16,500 for 2010. If you are age 50 or older you may contribute an additional $5,500 for 2010. These amounts increase each year based on cost-of –living adjustments.
Vesting / All Contributions – All amounts that are contributed to your account under the Plan are 100% immediately vested.
Withdrawals / Distributions from your 403(b) account – You may take a distribution from your assets in the plan based on one of the following distributable events:
  1. Severance from Employment with your Employer;
  2. Attainment of age 59 ½ (even if you are still working);
  3. Death;
  4. Disability; or
  5. Financial Hardship, if available under your choice of investment.

Hardship Withdrawals / Hardship Withdrawals – Hardship withdrawals are permitted from this Plan. You may qualify for a Hardship distribution if you have one of the following hardships:
1. Medical expenses previously incurred by the employee, the employee's spouse, or any dependents of the employee or amounts necessary for these persons to obtain medical care;
2. Purchase (excluding mortgage payments) of a principal residence for the employee;
3.Payment of tuition and related educational fees (including payments for room and board expenses for the 12 month period) for the next 12 months of post-secondary education for the employee, his or her spouse, children, or dependents; or
4.The need to prevent the eviction of the employee from his principal residence or foreclosure on the mortgage of the employee's principal residence.
5. Funeral Expenses for a family member.
6. Repair to your primary residence due to a disaster.
After you receive a hardship distribution you may not defer into the Plan for 6 months. Such distributions are subject to income tax and subject to a 10% penalty if you are not age 59 ½.You may request more information on hardship distributions from the Administrator of your Plan.
Rollovers from Other Plans / Rollovers into this Plan – You may rollover amounts that you have in the following plans to your 403(b) account:
  • Another 403(b) Plan;
  • A qualified plan (including a 401(k) Plan); and
  • Amounts in an IRA that you may have.
The rollover amounts in this Plan are available to you at any time, even if you continue to work for your Employer.
Loans / Loans – are available from the Plan. Your vendor’s agreement must however also permit loans for this to be a valid transaction. You may borrow from your assets in the 403(b) up to the lesser of 50% of your assets not to exceed $50,000. Payments on your loan must be received at least quarterly and generally cannot exceed a loan term of 5 years, unless you are borrowing to purchase a primary residence.
Exchanges/Transfers between 403(b) Providers / Approved Investment Providers – Under your Employer’s 403(b) Plan, you may currently select from various approved investment companies.
APPROVED VENDORS
AIG Valic
AXA Equitable
MetLife of Connecticut
DESELECTED VENDORS
Siracusa
Phoenix
You may “transfer” between any approved investment companies that are listed as approved under your Employer’s Plan.Deselected Vendors are not permitted to receive any new funds and you may not request a loan or hardship payment from a deselected vendor.
Contact Information / Plan Information – You can contact PenServ at 803-822-1829 for immediate questions. You will be receiving a welcome kit with specific names and numbers of the individuals that will be working with your Employer’s Plan and how to access your account information on the website.
Investment Information – Any questions you have on the investment choices under the Plan can be directed to the vendor of your choice.