320 403 (b) Retirement Plan
The College established the Spelman College Defined Contribution Plan, a 403(b) retirement plan to allow eligible full-time and part-time employees (excluding students, temporaries, and summer service providers) to build income for the future. The plan offers employees various investment options. Teachers Insurance Annuity Association (TIAA) and College Retirement Equities Fund (CREF) administer this plan.
Eligible full-time employees may begin participating in the plan on the first day of the month following the month in which they complete three (3) consecutive months of full-time employment. Eligible part-time employees may begin participating upon completion of eligible hours as calculated in accordance with rules issued by the Department of Labor, and subject to the Plan's enrollment policies. Plan participants must be at least eighteen (18) years of age.
Participation in the plan is mandatory for eligible employees, even if the employee deferral level is zero. Eligible employees electing to make pre-tax deferrals to the Plan receive employer contributions from the College. The current employee deferral and College contribution schedule is below:
You
Contribute Spelman's Contribution
| Employee Pre-Tax Deferral |
Spelman's Contribution |
Total Contribution |
| 0% |
3% |
3% |
| 2% |
4% |
6% |
| 5% |
6% |
11% |
Employee pre-tax deferrals and employer contributions are calculated on base compensation, as defined in the Plan. Participants elect the investment options/fund allocation that best meets their needs from the options offered by the Plan. Employees may contact a representative at TIAA-CREF at 1-800-842-2733 to receive information and general guidance on investment options. All deferrals and contributions are subject to IRS section 403(b) plan contribution limit guidelines, and the plan is administered in accordance with the terms and conditions of the plan.
Employees hired after January 1, 2001 are vested in the employer contributions to the defined contribution plan upon completion of three (3) consecutive years of full-time employment or three (3) years of meeting the eligible hours requirement. This means the employee owns the funds contributed by the College after this time. Employee contributions are always vested. Employees hired prior to January 1, 2001 are fully vested in all contributions.
The College also offers a Spelman College Tax Deferred Annuity Plan, a 403(b) retirement plan administered by TIAA-CREF – this plan is sometimes referred to as the Group Supplemental Retirement Annuity (GSRA) plan. Full-time and part-time employees (excluding students, temporaries, and summer service providers) may participate in this plan immediately upon employment and completion of the necessary enrollment forms. Employee participation in the GSRA is voluntary. The GSRA offers a way for employees to save additional money for retirement on a tax deferred basis. The GSRA provides various investment options and features such as a loan option and a hardship provision. The College does not contribute to the GSRA. All deferrals are subject to IRS Section 403(b) plan contribution limit guidelines.
Details regarding the Spelman College Defined Contribution Plan and the Spelman College Tax Deferred Annuity Plan can be found in the summary plan description(s) provided to participants. Please contact the Office of Human Resources for more information.
Policy No. 320 Effective Date: 9/1/2000
Revision Date: 7/1/2011
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