Page 22 - CC 2018 Benefits Booklet_revised

2018 EMPLOYEE BENEFITS GUIDE
RETIREMENT

Columbia College 403 (b) Plan

The retirement plan (Plan) is a defined contribution tax deferred 403B plan, set up under
Internal Revenue Service Code 403(b), with its plan year beginning on July 1 each year and
ending on June 30. It is mandatory, both as a condition of employment, and as required by
the Plan, that all eligible employees participate in the Plan.

The Columbia College 403(b) plan provides contribution in the first quarter following a
one of the best ways to save money for year of service.

retirement while deferring current income
taxes. The plan allows both voluntary At its discretion, the Columbia College may
and College contributions (for eligible contribute a certain percentage of annual
employees). eligible wages to the retirement plan. This
amount will be determined annually by the
Employees must satisfy an eligibility Board of Trustees and will be announced at
waiting period of one (1) year, be 21 years the beginning of each plan year on July

of age, and worked at least 1,000 hours or 1. Employees vest 20% in their account
more per Plan year in order to receive the balance during the first year in the plan, and
College’s contribution. Part-time employees an additional 20% in each year of eligible
are eligible for the College’s contribution service thereafter. Employees are fully vested
if they work 1,000 hours or more in a plan in the retirement plan after 6 full years of
year. Adjunct Faculty are not eligible for the continuous employment.
College’s contribution.
It is not mandatory that an employee
Employees who are at least 21 years of contribute to the retirement plan. However,

age and are projected to work at least for retirement purposes, he/she may elect
1000 hours in the Plan year are eligible to to contribute up to a certain maximum
start self-contribution on their first day of percentage of his/her annual wages
employment. (excluding the College’s contribution) toward
his/her retirement. The elective maximum
After the eligibility requirements are met, percentage allowed is controlled by Internal
employees are able to enroll in the College’s Revenue Service regulations.

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