The Teachers' Retirement System of Alabama
Effective October 1, 2011, all full-time University employees are required by law to become members of the Teachers’ Retirement Systems of Alabama. Regular fulltime state employees and public education employees are required to contribute 7.25% each month. As of October 1, 2012, fulltime employees’ monthly contribution will increase to 7.5%.
For law enforcement officers employed by a state agency, monthly retirement contribution is 8.25%. As of October 1, 2012, law enforcement officers’ retirement contribution will increase to 8.5%.
An employee is eligible for retirement when he/she reaches ten years of service and age 60 or have 25 years of service at any age.
Tax Deferred Optional Retirement 403(b) and 457(b) Optional Retirement Plans, Effective January 1, 2013
Alabama A&M University offers employees working at least 30 hours per week an opportunity to voluntarily participate in the available Tax Deferred Annuity Plans. The plans are available to all employees except leased or contracted individuals. Interested employees may contact the vendors identified below for additional information.
The Tax Deferred Annuity plan allows employees to set aside a portion of their salary pre-tax dollars for retirement savings.
The 403(b) and 457(b) plans are voluntary savings plans. Contributions may be start, stop or change at any time. Generally, employees can contribute up to the IRS standard maximum contribution amounts without penalty. Alabama A&M University does not match these contributions.
IRS Standard Maximum Contributions for 2013:
For more information regarding the catch up provision to determine whether you qualify, please contact the vendor representative:
Mr. Wilbert Hamilton, CEO
Hamilton Advisory Group
RSA-1 is an eligible deferred compensation plan as defined by Section 457 of the Internal Revenue Code of the United States. Under this deferred plan a public employee may elect to defer receipt of a portion of his or her salary until a later determined date, usually at retirement or other termination of employment.
Any public official or employee of the state of Alabama is eligible to participate in the RSA-1 Deferred Compensation Plan, regardless of age or participation in the Retirement System. Participation in RSA-1 is strictly voluntary.
The Retirement Systems of Alabama
201 South Union Street
Montgomery, AL 36104