403(b) Tax Deferred Savings Plan
The 403(b) tax deferred savings plan provides an excellent opportunity to invest pre or post-taxed dollars and can be an integral part of longer term financial and/or retirement planning. All employees, including adjunct faculty and wage, are eligible to participate in the 403(b) tax deferred savings plan. However, only full and part-time faculty and staff employees are eligible to receive the employer cash match. Employees may participate in the 403(b) tax deferred savings plan and the 457(b) deferred compensation plan at the same time.
The limit that may be deferred for 2023, as determined by the Internal Revenue Service, is:
- Under age 50 - $22,500
- Age 50 or older - $30,000
- Individuals with at least 15 years of service may also be eligible for an additional $3,000 “catch up” per year, not to exceed $15,000 in a lifetime. Contact your vendor directly to determine eligibility.
The annual limit for 403(b) contributions is a combined limit. This limit applies whether 403(b) contributions are made pre-tax (under the 403(b) Tax Deferred Savings Plan), after-tax (as Roth contributions) or a combination of both. Please note that the contribution limits for each retirement plan option are cumulative. If you have made contributions to a plan with any another employer(s) those amounts should be taken into consideration when determining contributions to the plan with VT.
The following companies are approved vendors:
Details about the plan
Virginia Tech 403(b) Plan Document
(This Volume Submitter Plan, adopted from Fidelity, applies to all contributions to the Virginia Tech 403(b) plan.)
Enroll or change an existing contribution
To enroll in a 403(b) tax deferred savings plan or change an existing contribution, return a completed Voluntary 403(b) Retirement Contribution Election form (P111) to Human Resources.