Replace Dropdown into the Deferred Compensation Plan and eSign it in minutes

Aug 6th, 2022
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How to Replace Dropdown into the Deferred Compensation Plan

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welcome everyone to another in our continuing series of educational webcasts this will be a level 1 session for non-qualified deferred compensation plans it is intended as a basics class but there will lease the meet in the presentation and the presentation will be posted so you need not take detailed notes but I would emphasize there are a couple things in here that I learn my guest speaker today is Chris Fernandez from the principle group he is and kind enough to join us and give us a rundown on what he sees as the key basic concepts of non qualified plans Chris you want to go ahead and introduce yourself yeah absolutely thanks Scott and thanks everybody for joining us today Scott mentioned Im Chris Fernandez Im a senior consultant on non-qualified deferred comp plans with Principal Financial Group Ive been working in this capacity for the last 17 years my day-to-day function is working with financial advisors and their corporate clients to design and implement a non-qualified arr

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HOW ARE ROTH 457 CONTRIBUTIONS DIFFERENT FROM TRADITIONAL 457 CONTRIBUTIONS? Roth 457 contributions are made with after-tax dollars. Traditional 457 contributions are made on a before-tax basis and you pay taxes only when you take a distribution.
Your account is tax-deferred until you withdraw money after separation from employment. Withdrawals from this Program are taxable as ordinary income during the years in which they are paid to you or to your beneficiary(ies).
The CT state-sponsored retirement plan is a Roth IRA, which means that employees contribute post-tax dollars to their savings account. When they retire and draw on the plan, their income is generally tax free.
When you receive a distribution, your benefit will be considered taxable income and subject to the tax laws in effect when you receive payment. You will be provided with additional tax information when you apply for a distribution from the plan.
What Is the Deferred Compensation 457 Plan? The State of Connecticut Deferred Compensation 457 Plan (457 Plan) is a voluntary retirement program that is available to any common law employee or any individual performing services for the State either by appointment or election (including members of the General Assembly).
Yes. When you are ready to take money from your pre-tax account, your withdrawal will be subject to federal income taxes. The payment of state income taxes will depend on your state of residence when you are receiving benefits from your Plan account.
In the 457 Plan, you may choose to make pre-tax contributions and/or Roth (after-tax) contributions. However, the combined deferral cannot exceed $22,500. In the 401(k) Plan, you may choose to make pre-tax contributions and/ or Roth (after-tax) contributions. However, the combined deferral cannot exceed $22,500.
Deferred compensation is a remuneration model that enables employees to postpone receiving a portion of their salary to a later date to secure beneficial retirement and investment plans, and reduced tax rates.

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