Kansas Board of Regents Voluntary 403(b) Plan

A voluntary retirement plan permits you to make contributions to an investment company without paying tax during the current year on the amounts invested. Additionally, until you start taking money out of such a plan your investment compounds tax-free. It is only when you receive money at retirement that you will be taxed - usually at a lower level than during your prime earning years. (In certain circumstances early withdrawal can incur substantial tax penalties.) For details please read your company's prospectus or check with your financial planner.

Depending on whether you chose a life insurance company or a mutual fund, you will be guaranteed a lifetime income, or periodic withdrawals based on your life expectancy. The amount of lifetime income depends on the amount of money paid in, earnings accrued on that money, and the option selected.

For additional information about the Voluntary Retirement Plan, please visit the Kansas Board of Regents website.

Eligibility

Employees participating in, or in a waiting period for either KPERS, KP&F or the Board of Regents Retirement Plans are eligible to participate.

Contributions

Most employees may defer $16,500 in 2009 with increases phased in over the next few years. If you are age 50+, you may contribute an additional $5,500. If you have more than 15 years of service, you may contribute up to an additional $3,000. The Benefits Office will calculate your maximum deferral taking into account these and other IRS limits.

An eligible employee may contribute to a retirement plan with any company which has been approved by the Board of Regents. These companies offer various types of accounts in which to invest (e.g., corporate bonds, long term mortgages, common stocks, etc.). VTSA Companies Authorized through the Kansas Board of Regents Plan.

Enrollment

An employee need only contact an authorized agent who will process the required forms to begin a retirement plan. Contact the Benefits Office for names of authorized agents. An exception is TIAA/CREF, which has no local agents. The Benefits Office handles the applications for that company. Download Investment Agreement - Voluntary Retirement Plan Form (MS Word).

Contacts:

Please feel free to contact KUMC Human Resources, 913-588-5087 with any questions. The Wichita School of Medicine Campus contact is Tracy Clarke, (316) 293-1802.