Through payroll deductions, you can contribute additional pretax funds to a supplemental plan above and beyond what is contributed to the ORP, 457(b) or Match plan up to the IRS maximum. Elective deferrals you have made to another 403(b), 401(k), SEP-IRA, 408(k)(6) SARSEP, Keogh or SIMPLE plan will offset the amount you can contribute to the MD supplemental retirement plan.
Consult a tax adviser to determine whether the combined contributions you make to the plan and to other retirement plans do not exceed Internal Revenue Code limits.
Please keep in mind that such plans are designed for retirement and other long-term goals. Although generally meant to be invested until age 59 ½, these plans may permit withdrawals while you are still working if you incur financial hardship. If you make a withdrawal before that age, the money will be taxed as ordinary income, and you may be subject to an additional 10% early-withdrawal penalty. You can use all of the same investment choices as the ORP, along with have two more options. In addition, loans are available but certain restrictions may apply. Please call us for details.