Deferred Compensation 457 Savings Plan
The Deferred Compensation/457 plan is offered through ICMA Retirement Corporation (becoming MissionSquare Retirement as of June 2021). A 457 deferred compensation plan allows you to save and invest money for retirement with tax benefits.
A 457 plan is designed to supplement your retirement income. While a life-time City of Savannah pension payment and/or Social Security may go a long way, you may need additional funds for retirement. Saving to your 457 plans can help you maintain your desired standard of living.
Deferred Compensation 457 Coordinated by:
Mission Square Retirement (ICMA-RC)
Deferred Compensation / 457 Savings Plan Highlights
- All new hires are auto enrolled at 1% unless you opt out or change your desired contribution amount.
- The City contributes $20 per month for Employees who enroll in an ICMA Deferred Compensation 457 account and actively contribute $5 or more per week. Uniformed Firefighters and Uniformed Police will not receive the employer contribution if enrolled in the General Fire Pension Fund (GFPF) or the Police Officer Annuity Benefit (POAB).
- Your ICMA contributions are deducted from your pay and deposited in your 457 account on a pretax basis. Pre-tax contributions will reduce your taxable income for the year. You may also contribute to a ROTH plan. ROTH contributions are an after-tax deduction.
- You decide how much to save, subject to the minimum amount of $5 per week which is set by the city, to the maximum amount of $22,500 which is set by the federal government for 2023. Additional contributions are allowed for pre-retirement catch-ups which are subject to certain stipulations.
- You may increase, decrease, or stop your contributions at any time.
Roth IRA through Payroll Deduction
Eligible employees may purchase ROTH IRA’s (purchased with “after-tax” salary deductions) through ICMA Retirement Corporation (becoming MissionSquare Retirement). At maturity, invested funds may be spent “tax-free.” The City’s ICMA representative will assist employees who wish to explore this form of investment option.
Digital Resources - Get the Most Out of Your Retirement Account
Securely access your account at your convenience, online or on the go. Your account is at your fingertips 24/7 with ICMA-RC’s tech tools and Digital Resources:
- Online Enrollment: Enroll Online | ICMA-RC - View and manage your retirement savings account quickly and easily 24/7, with Account Access. Once you’ve signed up, simply log in anytime to stay on top of your retirement savings goals.
- Plan Number: 301094
On the Go
- Mobile App Access: The ICMA-RC Mobile App! | ICMA-RC Manage your account right from the palm of your hand with the free mobile app for an iPhone or Android smartphone, or tablet.
- Text Access: ICMA-RC TextAccess | ICMA-RC Allows you to request certain account information and have it sent directly to your mobile phone via text.
- Ask Alexa: Amazon.com: Account Access: Alexa Skills The ICMA-RC Account Access Skill for Alexa will allow you to link your Amazon device to your ICMA-RC Retirement Account to quickly hear your account information.
In the Know
- Retirement Readiness Tool - Log in | ICMA-RC See if you're on track for retirement with ICMA-RC's online Am I On Track calculator that provides you with a personalized retirement readiness score and retirement income gap analysis assessment.
- Advisory Services - Guided Pathways® Advisory Services | ICMA-RC ICMA-RC's Guided Pathways® Services provides you with a personal retirement roadmap and investment strategy. Wherever you are in your retirement journey, we can help you reach your retirement goals.
- Retirement Education Center - Retirement Education Center | ICMA-RC An educational resource that contains tools and information to help community-focused employees save throughout all stages of their career.
- Monthly Savings Tips - RealizeRetirement Monthly | ICMA-RC Take action now with these tips and resources to help you save, manage debt, and focus on your overall financial wellness.
You can make withdrawals from your account when you leave employment or in emergency situations only, which are outlined by ICMA-RC. If you are experiencing a financial hardship and would like to apply for an Emergency Withdrawal, complete an Emergency Withdrawal Application and send directly to the Payroll Department. Please send your completed application to Robert Boyce via fax (912) 644-5962 or by email at firstname.lastname@example.org