What are the plan types?
The County of San Diego Deferred Compensation Program and Nationwide® have worked with public sector employees for more than 30 years, so we know the kinds of questions you may have about your plan. As a County of San Diego employee, there are retirement plans created specifically for you. We’ll give you the tools and information to help you feel confident about investing for retirement. Keep in mind that investing involves market risk, including possible loss of principal, and there’s no guarantee that investment objectives will be achieved.
The County of San Diego is pleased to offer eligible employees:
- 401(a) Plan
- 457(b) Traditional (pre-tax) Deferred Compensation Plan
- Roth 457(b) (post-tax) Deferred Compensation Plan
Eligible employees may participate in all three plans if desired.
Check out the Plan Comparison Chart (PDF) to compare the plans.
These plans allow you to build a retirement savings account using automatic payroll deductions that go into investments you select from a wide variety of investment options and access to a Personal Retirement Consultant and Nationwide’s Retirement Specialists.
Neither Nationwide nor its representatives may offer investment, tax or legal advice. You should consult your own counsel before making decisions about County of San Diego 457(b) Plan and 401(a) Plan participation.
The 401(a) is available to full-time and part-time permanent employees of the County of San Diego. You may make a one time, irrevocable commitment to make contributions of 2.5%, 5%, 10%, 15%, 20% or 25% of your pay to the Plan, up to the maximum limit allowed under the Internal Revenue Code. Once you make your election, it cannot be changed.
The County will consider your election as employer contributions to the Plan (called a “pick-up” contribution), which means, if you decide to also participate in the 457 Plan, your 401(a) contributions will not affect the limits that apply to your 457 Plan contributions. Contributions will not be subject to federal or state income taxes at the time the contribution is made. You will pay ordinary income taxes when you withdraw from your 401(a) Plan account. Distributions made prior to 59½ may be subject to a 10% penalty tax. Surrender charges may apply
457(b) Traditional Plan
The 457 Traditional Plan is available to any County and Court employee. You may elect to make contributions of any amount per pay, up to the maximum limit allowed under the Internal Revenue Code, and adjust the amount that you contribute at any time. Your contributions are made with pre-tax dollars and any earnings grow tax-deferred. You will pay ordinary income taxes when you withdraw from your 457 Traditional Plan account.
457 Roth Plan
A Roth 457(b) Plan is also available to any County and Court employee. The 457(b) Roth Plan allows you to pay income tax now so that the growth in your account can be withdrawn tax free. You won’t have to pay any income tax on your withdrawals in retirement if certain conditions are met.
Get the help you need
The sooner you enroll, the more you can possibly save. Take a look at the Enrollment Checklist to see what you’ll need to have handy and enroll today!
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