403(b) Retirement Plan Updates
Please see the following updates regarding Smith’s 2023 403(b) Retirement Plan.
- As shared during Open Enrollment, beginning on 1/1/23 the age of eligibility to receive employer contributions was reduced from age 26 to 21 to enable eligible employees to start receiving employer contributions earlier.
To qualify for employer contributions, an employee must be at least 21 years old (starting 1/1/23) and have one year of eligibility service (910 hours worked in their anniversary year or a subsequent plan year). After an employee meets the eligibility criteria, Workday will automatically start making employer contributions to the employee’s Voya account in the following pay cycle.
Note, if you are a new hire at Smith College who worked at another college or university within 90 days of your date of hire at Smith, you may qualify to receive employer contributions without having to wait one year. Please have the completed Eligibility Verification Form emailed to HRBenefits@smith.edu. Retroactive employer contributions are not made so don’t delay.
- The integration level for calendar year 2023 is $76,127. For eligible employees, as part of each bi-weekly pay cycle Smith College contributes 9% of eligible earnings up to the integration level, and then 13.3% of eligible earnings at/above the integration level until the end of the calendar year. Employer contributions reset to 9% at the beginning of every calendar year. The integration level is reviewed annually and may change.
- In 2023, the IRS limits all voluntary deferrals for those under age 50 increased to $22,500. Those who are age 50 or older in 2023, may contribute an additional $7,500 for a total of $30,000.
All employees are eligible to make voluntary retirement contributions to an account in their name at Voya Financial. To start, change or stop your contributions, submit a Change Benefits / Change Retirement Savings - Pre-tax or Roth (voluntary change) action in Workday using these instructions.
For additional information, please visit the Benefit website. If you have a question not answered on the website, contact us at HRBenefits@smith.edu.