RETIREMENT FAQ

What state retirement benefits do I get from working at BCSC?

• As a public employee, once you meet the state's requirements, you qualify for a pension benefit.

How do I know how much state retirement benefits I will receive upon retirement?

• Go to the INPRS link on this page to create your online account to view your estimated benefits

Am I eligible to retire with state pension benefits?

• Eligibility for state retirement benefits is determined by INPRS.

How do I learn more about my state retirement benefits?

• The advisors that work with BCSC employees on the 403b/401a benefits are very knowledgeable and willing to help with your questions. INPRS also conducts workshops and schedules consultations with you. Use this link or go to the INPRS website.

What 403b/401a investment benefits do I get from working at BCSC?

• BCSC matches your 403b contributions into a 401a account, up to a limit (see 403b/401a page on this site).

When am I vested in my 403b/401a benefits?

• You are 100% vested in 403b account immediately; you are vested in your 401a account after 5 years of service.

When can I access my 403b/401a funds?

• IRS regulations only allow you to access 403b/401a funds after you have left employment, retired, or after you are 59 1/2 years of age.

Can I withdrawal funds early?

• BCSC's 403b/401a plan does NOT allow for hardship withdrawals or loans.

How much should I deduct and contribute to a 403b to get the maximum benefit?

• Current matching amounts are the greater of 3% or $500/year for support staff, 3% for teachers, and $4,000/year for administrators.

How do I change my 403b deduction amount?

• To change your 403b deduction, login to your Equitable account and click on “Change Contributions.” Changes submitted by the 25th of each month will be effective on the first paycheck in the following month.

How do I withdrawal funds from my 403b or 401a accounts?

• The IRS only allows withdrawals for employees who are at least 59 1/2 years old, retired, or no longer employed by BCSC

• If you meet the criteria above, login to your Equitable account and click on “Withdrawals" or "Withdraw money" and follow the instructions.

Why the change?

• Improve your employee experience by simplifying your accounts in a single, user-friendly platform.

• Get competitive platform and advisor fees (see fee disclosures) for you so that more of your money goes to retirement.

• Improve participation in this benefit that helps employees save for retirement.

What will change for me?

• Your future 403b deductions and 401a benefits will both be with Equitable.

• You will have one login on one platform to see both of your accounts.

• You can change your deductions using the Equitable website.

• Deductions are now a % of your pay instead of a $ amount. See more detail in questions below.

When will this change happen?

• New deductions will go to Equitable starting November 1, 2021.

• A blackout period (no changes) will happen in late October, 2021. Your 401a assets will move to Equitable during this time.

What do I need to do?

• Sign-up with Equitable. Advisors will be in buildings during September and October. You can also sign-up for an appointment during another time using this link.

• Select the % of your primary salary you want to contribute to your 403b.

• Decide whether to transfer your current 403b assets to Equitable to pay the lower fees and have all of your assets on one platform.

Am I required to meet with an Equitable advisor?

• No, but it is highly encouraged. You will have an opportunity to select your % deduction and complete the paperwork to transfer 403b assets, if you choose to do so.

• You can choose to register online at this link using these instructions.

What if my current advisor says I should not meet with an Equitable advisor?

• You are not required to meet with an Equitable advisor, but it is highly encouraged. You can choose to register online using the links in the question above.

• Any advisor should be comfortable with you meeting with another advisor and it is questionable why they would discourage you from talking to competitors.

• You should ask your current advisor how the fees you will pay by staying with them compares to the fees with Equitable.

How do % deductions work vs. $ amounts?

• The % you enter will be applied to your primary pay code every time you are paid with that pay code (teacher contract, primary hourly rate, etc.).

• The maximum match is 3% for teachers, 3% or $500 for support staff (whichever is greater), and $4,000 for administrators.

• Talk with your advisor about how much you want to contribute and they will help you calculate the correct %.

Does my 403b deductuion apply to referendum pay?

• For teachers only, the % you enter for a deduction will apply to both your priomary teacher contract amount AND the referendum pay amount. You will also earn the match in your 401a for both deductions (up to the maximum 3%.

What VEBA retirement benefits do I receive from working at BCSC?

• BCSC purchases unused sick and personal days and contributes those funds to your VEBA account

How do I access my VEBA account to see my balance and submit claims?

• Login to your VEBA account by clicking on the "VEBA Benefits" page on this website.

For what expenses can I use my VEBA funds?

• This is regulated by the IRS, but generally you can use your VEBA to pay for any healthcare-related expense, including premiums.

Why should I put funds into a 529 College Savings Account?

• You can save for college expenses for any child and the state provides a 20% tax credit for 529 contributions (up to a limit).

How do I set up a 529 account?

• You can set one up yourself and pay no advisor fee or you can go through a financial advisor.

• Simply print the payroll deduction form after you have created your account and turn it in to the BCSC payroll department.

How do I get a Health Savings Account (HSA)?

• You must open an account at CENTRA credit union. Contact Heather Downin to get details.

What if I am a new BCSC staff member? What do I need to know?

• An overview of financial and retirement benefits for certified staff is at this link.

• An overview of financial and retirement benefits for non-certified staff is at this link.

• The most recent new teacher orientation presentation is at this link.

How do I enroll?

• Starting in 2022-23, new teachers will be automatically enrolled in a pre-tax 403b at 3% and invested in a target date fund based upon birth year. To change the deduction amount and/or investment options, login to your Equitable account.

• Other employees should meet with an advisor or self-enroll online.