5 Reasons your employees should consider consolidating their deferred compensation plans

Your employees have the ability to transfer deferred compensation plans with previous employers into the CalPERS 457 Plan. Here are five good reasons why employees should consider consolidating funds, which they can read more about in the latest CalPERS PERSPECTIVE.

1. They can’t contribute more funds to a previous employer’s sponsored plan.
2. If they weren’t fully vested by a previous employer, a percentage of their plan will go back to the employer.
3. Their previous employer has the power to move their money to different financial institutions.
4. They may be paying unnecessary fees.
5. All their money can be easily managed in one place. 

For more information about consolidating assets from former employer retirement plans into the CalPERS 457 Plan, employees can schedule a personal account review with their local Account Manager by visiting calpers457.timetap.com or calling 888-713-8244 weekdays between 8 a.m. – 5 p.m. PT.

More agencies (and participants) are
signing up for the Roth 457 option!

Since it became available in March, 2019, 218 agencies throughout the state have signed up to add the Roth 457 option to the CalPERS 457 Plan for their employees. In the two years since becoming available, 1,023 CalPERS 457 Plan participants now have a total of $5,611,086.27 in Roth accounts, giving them the ability to withdraw Roth contributions and earnings tax-free when they retire (qualifying factors apply). 

Have you added the Roth option for your CalPERS 457 Plan? If you haven’t, now is a great time to review the option and ask questions to determine if it’s right for your Plan. Learn more by reading the Roth Option Overview and the Roth Option Brochure for participants. When you’re ready to offer your employees the ability to save with Roth contributions, it’s simple for your agency to add the option to your CalPERS 457 Plan. Just complete and return the Roth Adoption Form to the attention of “CalPERS 457 Plan."

Once CalPERS approves your Roth adoption request, the adoption agreement becomes effective the calendar month following the month when the agreement is made. Your employees may then elect to make Roth after-tax contributions to the CalPERS 457 Plan through payroll deduction. Roth contributions are processed and reported in my|CalPERS, just like traditional pre-tax contributions.

For more information about the Roth 457 Option, call us toll free 800-696-3907 or email CalPERS_457_Plan@calpers.ca.gov. We’re happy to help.

New CalPERS employee education kit focuses on helping your employees achieve financial wellness

Financial stress, caused by financial unwellness, is overwhelming workers. Financial stress is one of the leading stressors in the workplace and may be affecting the way your employees feel and perform. The CalPERS 457 Plan offers a financial wellness experience that can help your employees reach retirement readiness on time and with preventative care for their finances.

To help employees take the next step on their financial wellness journey, CalPERS has created a quarterly education “kit” with materials that you can share with all employees, even those who are not currently participating in the CalPERS 457 Plan. The financial wellness kit, “Tomorrow starts today,” will be sent to your agency by email in August.  

We hope you use these quarterly kits to educate all of your employees about their financial wellness journey and participating in the CalPERS 457 Plan. Please call the CalPERS 457 Employer Plan Line at 800-696-3907 or email CalPERS_457_Plan@calpers.ca.gov with any questions about distributing the quarterly kit’s materials to your employees.

Schedule a CalPERS 457 Plan presentation led by your Account Manager!

Your agency’s local Voya Account Manager* is available for virtual presentations with your employees to educate them about the CalPERS 457 Plan and saving for retirement. Group meetings are perfect for all employees, even those who are not enrolled in the CalPERS 457 Plan, and help promote the unique retirement benefit that is available to them through your agency.

Employees can schedule personal one-on-one phone appointments by visiting calpers457.timetap.com to sign up. To discuss hosting an employee webinar presentation led by your Account Manager, please call 888-713-8244 weekdays between 8 a.m. – 5 p.m. PT.

* Information from registered Plan Service Representatives is for educational purposes only and is not legal, tax or investment advice. Local Plan Service Representatives are registered representatives of Voya Financial Advisors, Inc. (member SIPC).

Request a plan review to help satisfy your fiduciary responsibility

A review of your agency’s CalPERS 457 Plan is available at your request. Staying informed can help you satisfy your fiduciary responsibility to oversee the CalPERS 457 Plan at your agency. Email Dave Saavedra or call 916-795-3908 to arrange a review by phone.

Contact Us

CalPERS 457 Plan representatives are available for my|CalPERS and payroll assistance.
Email us or call 800-696-3907, Monday – Friday, 8 a.m. – 5 p.m. (Pacific Time).