Employee Supplemental 403(b) Plan
These are important details regarding this plan.
All employees, including Special Term Appointees, may participate in the ANL Employee Supplemental 403(b) Plan on or after their date of hire.
You can elect to contribute an additional percentage of your bi-weekly or monthly compensation, subject to IRS limitations, to the ANL Employee Supplemental 403(b) Plan.
There is no employer match with the supplemental 403(b) plan.
"Vesting" refers to an employee's right, usually earned over time, to receive some retirement benefits regardless of whether or not they remain with the employer. Your contribution to the plan will always be 100% vested immediately.
Your employer offers you a variety of investment choices from an array of asset classes. You can see a list of the investment choices under this plan on the Investment Choices page.
Expenses vary from investment to investment. To learn about expenses associated with an investment, see a list of the investment choices under this plan on the Investment Choices page, and read the Fact Sheet or the prospectus for that investment.
You have a variety of options1 when it’s time to take income from this plan:
This plan is designed to provide you with income throughout your retirement. Leaving money in your account may allow the funds to grow on a tax-deferred basis.
59½ in Service
You generally can withdraw funds, attributable to elective deferrals, from your account while still employed once you have reached age 59½. The amount you can withdraw is subject to your plan's rules.
You can choose to receive income for a set period of two to 30 years, depending on the terms of our contract and your plan's rules (and not to exceed your life expectancy).
Payments stop at the end of the period, during which you will have received all your principal and earnings.
If your plan permits, you can withdraw your elective deferrals (but not earnings) due to financial hardship while still employed.
Generally, you must show an immediate, significant need that cannot be met with other resources, including loans from your retirement plan.
Lifetime Retirement Income
One-life annuity — provides income for as long as you live.
Two-life annuity — provides lifetime income for you and an annuity partner (your spouse or someone else you name) for as long as either of you live.
One- or two-life annuity with guaranteed period — guarantees income for up to 20 years, as long as the period you choose does not exceed your life expectancy. It ensures that income continues to go to your beneficiaries for the remainder of the guaranteed period if you (one-life annuity) or both you and your annuity partner (two-life annuity) die before the end of that period.
You can withdraw all or part of your account in a single cash payment, depending on your plan rules and the terms of your contracts.
Your right to a lump-sum distribution from your TIAA Traditional Account may be restricted to taking 10 annual payments under those terms.
Minimum Distribution Option
Generally, you must begin taking minimum withdrawals from your account by April 1 following the year in which you turn age 70½ or retire, whichever is later.
This can help you defer the minimum required distribution while keeping you in compliance with federal regulations.
If you have had an IRS-defined "triggering event," and your plan allows withdrawals, you can roll over your accumulations to another retirement plan that will accept them or to an Individual Retirement Account (IRA).
Direct rollovers — from one account to another — are nontaxable and not reported as income to the federal government. Your plan's rules specify when you are eligible for a distribution.
Retirement Transition Benefit
If your contract allows, you can withdraw, in cash, up to 10% of your accumulation at the beginning of a conversion to lifetime annuity income. The amount you withdraw will reduce your lifetime annuity income accordingly.
Single-Sum Death Benefit
A set amount your beneficiary(ies) will receive from your retirement account if you die before taking income.
If your plan allows, you can choose to receive regular income payments (minimum $100) on a semimonthly, monthly, quarterly, semiannual or annual basis. You can increase, decrease or suspend the payments at any time.
These withdrawals are not available from TIAA Traditional Account balances.
TPA to Cash
If your plan allows, you can withdraw your TIAA Traditional Account accumulation through a Transfer Payout Annuity (TPA) in 10 approximately equal annual payments. A lump-sum payment, subject to a surrender fee, may be available depending on your plan rules and the terms of your contract.
This plan allows you to receive a cash withdrawal. This may be restricted by the terms of your TIAA-CREF contracts. Taxes and penalties may apply.
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Because you make contributions with pretax dollars, federal income taxes are deferred on supplemental plans until you begin taking withdrawals later on.
No taxes are due on contributions and earnings until the money is withdrawn, but because these plans are intended primarily for retirement, you can generally withdraw funds only after termination of employment or age 59½ (subject to plan rules). If you withdraw funds before age 59½, they may be subject to an additional 10% early-withdrawal penalty.
For additional information and guidance, contact your tax advisor.
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You can borrow against accumulations attributable to your supplemental contributions to the ANL Supplemental 403(b) Plan.
1 The availability of certain distributions may depend on the type of contract underlying your plan. Also, if you're married, your right to choose an option may be subject to your spouse's right to survivor benefits. Talk to your benefits office for details.