Plan Overview
Below are the important features about the plan. This website is intended to be a summary of the plan provisions. In the event that a conflict exists between the information contained within this website and the plan document, the plan document provisions prevail. For more information, please contact your local financial professional.
Contributions
There are other special catch-up provisions permitted on each plan if you meet additional criteria; please see your local financial professional for more details.
The contributions are made on a pre-tax basis -- your salary is "reduced" by the amount of your contribution, and you are not taxed on those contributions or the earnings until the money is distributed. Your contributions are invested according to your investment selection. Please note that distributions will be taxed as ordinary income when distributed and are subject to any applicable tax penalties.
Under the Plan, the maximum annual contribution amount is set by Internal Revenue Service (IRS) guidelines on a yearly basis. You may view the current limits here.
Permitted Distributions
The following types of withdrawals and/or distributions are permitted per plan type:
Jefferson Parish Public School System 403(b) Plan
While still working:
- Attainment of age 59½
- Hardship Withdrawal (must meet the Safe Harbor Guidelines for eligibility)
- Loan Request
- Purchase of Service Credits
While no longer working:
- Separation of Service Withdrawal
- Required Minimum Distributions (RMD)
- Disability Withdrawal
- Death Claim Withdrawal
Jefferson Parish Public School System 457(b) Deferred Compensation Plan
While still working:
- Unforeseeable Emergency Withdrawal (must meet the IRS Guidelines for eligibility)
- Purchase of Service Credits
While no longer working:
- Separation of Service Withdrawal
- Required Minimum Distributions (RMD)
- Death Claim Withdrawal
Program Fees
There is a 0.80% Mortality & Expense Risk Charge (M&E) charged on your assets in the plan. Fund management fees and other fund operating expenses will apply. Fees depend on the investment option chosen. Please refer to the Contract Prospectus Summary for individual fund fee information.
There is no annual maintenance fee and the following deferred sales charge for withdrawals applies to each plan:
Jefferson Parish Public School System 403(b) Plan
Percentage (%) of amount withdrawn during years 0-10; % decreasing each year as follows permitted 24 contributions were received per year:
| Completed Purchase Payment Periods | Withdrawal Charge |
|---|---|
| Less than 5 | 5% |
| 5 or more but less than 7 | 4% |
| 7 or more but less than 9 | 3% |
| 9 or more but less than 10 | 2% |
| More than 10 | 0% |
The deferred sales charge is waived under the following conditions:
- Upon separation from service
- Due to financial hardship as defined by the Internal Revenue Code
- On or after the tenth individual account anniversary
- Under a systematic distribution option
- For Required Minimum Distributions
- For withdrawals from an account with an accumulated value of $5,000 or less, with no withdrawals or loans in the previous 12 months
- In an amount equal to or less than 10% of the individual account value when the withdrawal is the first withdrawal requested in a calendar year and is made to a participant who has attained age 59½ and is less than age 73
- Due to the death of the participant
- Used to purchase annuity payments
Jefferson Parish Public School System 457(b) Deferred Compensation Plan
There is no deferred sales charge for withdrawals from the program
You should consider the investment objectives, risks, and charges and expenses of the variable product and its underlying fund options carefully before investing. The prospectuses/prospectus summaries containing this and other information can be obtained by contacting your local financial professional. Please read the information carefully before investing.
Variable annuities are intended as long-term investments designed for retirement purposes. Early withdrawals from a 403(b) plan will be subject to an IRC 10% premature distribution penalty tax, if taken prior to age 59½. The 10% IRC premature distribution penalty tax on early withdrawals doesn't apply to amounts contributed to 457(b) plans or amounts rolled into those plans from other 457 plans. Money taken from the annuity will be taxed as ordinary income in the year the money is distributed. Account values fluctuate with market conditions, and when surrendered the principal may be worth more or less than its original amount invested. An annuity does not provide any additional tax deferral benefit, as tax deferral is provided by the plan. Annuities may be subject to additional fees and expenses to which other tax-qualified funding vehicles may not be subject. However, an annuity does provide other features and benefits, such as lifetime income payments and death benefits, which may be valuable to you.
For 403(b)(1) fixed or variable annuities, employee deferrals (including earnings) may generally be distributed only upon your: attainment of age 59½, severance from employment, death, disability, or hardship. Note: Hardship withdrawals are limited to employee deferrals made after 12/31/88. Exceptions to the distribution rules: No Internal Revenue Code withdrawal restrictions apply to ’88 cash value (employee deferrals (including earnings) as of 12/31/88) and employer contributions (including earnings). However, employer contributions made to an annuity contract issued after December 31, 2008 may not be paid or made available before a distributable event occurs. Such amounts may be distributed to a participant or if applicable, the beneficiary: upon the participant's severance from employment or upon the occurrence of an event, such as after a fixed number of years, the attainment of a stated age, or disability.