Tax-sheltered Annuities (TSAs)/Deferred Compensation Plans
Employees may elect to have tax-sheltered annuities deducted from their paychecks. As a result of IRS regulation changes pertaining to 403(b) plans, Lunenburg Public Schools, in conjunction with a multi-school consortium, selected MidAmerica Administrative & Retirement Solutions, Inc. to serve as its third party administrator (TPA) effective January 2009. All 403(b) plan-related matters and questions should be directed to MidAmerica. You may obtain more information as well as 403(b)-related forms and a list of approved investment providers by visiting Mid-America’s website www.Spokeskids.com/LunenburgPS. Employees may visit www.spokeskids.com/photos/756bef79.pdf to review a copy of the Employee Notice that was disseminated in January 2009.
Employees also may defer income on a pre-tax basis through a 457 deferred compensation plan. Employees who contribute to the Worcester Regional Retirement System (WRRS) or the Massachusetts Teachers Retirement System (MTRS) would do so under the classification of non-OBRA participant. OBRA-mandatory employees (employees not eligible for WRRS or MTRS membership) who contribute to the SMART Plan may contribute additional funds (above the mandatory contribution rate of 7.5%) under the OBRA-voluntary classification.
Great-West Retirement Services administers Massachusetts’ 457 plan (SMART Plan). For SMART Plan information, contact Great-West Retirement Services at 877.457.1900 or visit the SMART Plan website (www.mass.gov/smartplan).