Other Employee Benefits
MSD contributes 1.75% of all qualifying employees salary into a 401(a) with VALIC. Beginning August 1, 2010 non-certified employees must work a minimum of 35 hours per week for 220 days per year or work 260 days per year to be eligible to receive this benefit. This money can only be accessed when the employee separates service with MSD and has met the vesting requirements which are as follows:
1. The employee was hired on or before June 1, 2000
2. If hired after June 1, 2000, they must have 5 years of service
3. If an Administrator or teacher, vesting is 100% upon employment
If the employee leaves MSD and is vested in the employer matching contributions, they have the following options with their 401(a) match account:
1. Keep the money with VALIC and use at retirement
2. Rollover the money to another retirement plan or IRA outside of VALIC
3. Cash in the match account and pay taxes and a potential IRS penalty if employee is not of retirement age
Each vendor does have a website where you can view your account information. Click here to access VALIC and here forEdward Jones .
If you sign up for the plan you must notify the Business Office by October 1, January 1, April 1, or July 1 depending on which quarter you sign up. To have the complete 24 deductions for the school year, notify by September 1.
Loans and Hardship withdrawals – the 403(b) plan does allow for loans and hardship withdrawals. There is paperwork that must be completed and approved. For information please click here Retirement Manager.