2014 Contribution Limits for 403(b) Plan
The Internal Revenue Service recently announced the annual 403(b) limits for 2014. They are as follows:
- Pre-tax Elective Deferral $ 17,500 (same as 2013)
- Age 50 & Over Catch-up $ 5,500 (same as 2013)
- Overall by Employer/Employee $ 52,000 (was $51,000 in 2013)
- Annual Compensation $260,000 (was $255,000 in 2013)
If you are currently contributing to the 403(b) retirement plan, your contribution will automatically continue in 2014 without the need for a new 403(b) Contribution Agreement (with the exception of participating Temporary, Limited and Casual employees who must submit a new agreement annually). Remember, if you choose to contribute the maximum amount and you will be turning 50 during 2014, your contribution will automatically include the additional $5,500 catch-up. The university will no longer offer the 15-year catch-up contribution effective January 1, 2014. If you are directly impacted, you will receive a separate notification regarding this decision.
To change the amount you are voluntarily contributing to the 403(b), you must submit a new 403(b) Contribution Agreement form. Forms may be returned to the Benefits Service Center by fax to 443-997-5820 or email to email@example.com. Completed paperwork received by the 5th of the month will be effective in the second pay for that month. Completed paperwork received by the 20th of the month will be effective with the first pay of the following month.
If you are a Temporary, Limited and Casual employee, you must submit a new 403(b) Contribution Agreement before January 1 of each calendar year. If you do not submit a new Agreement before the beginning of the year, you will not contribute to the Plan in the new year until after you have submitted a properly completed form.
If you are not currently enrolled in the 403(b) and would like to do so, contact the Benefits Service Center at 410-516-2000 to request an information kit to be mailed to your home.