We are pleased to announce that on July 24, 2023, we are adding a Roth contribution option to your existing University of Nebraska 457(b) Deferred Compensation Plan (“457(b) Plan”), as well as a Roth In-Plan Conversion option.
With the addition of these new Roth features, you will have another way to save for your retirement–with the potential of tax-free growth and withdrawals (provided certain requirements are met*) and an opportunity to convert non-Roth assets.
Who might benefit from Roth contributions?
- Younger employees who have a longer retirement horizon and more time to accumulate tax-free earnings
- Highly compensated individuals who are not eligible for Roth IRAs but who want a pool of tax-free money to draw from in retirement
- Employees who wish to make catch-up contributions in 2024 and beyond
For more information on this contribution option:
What is a Roth In-Plan Conversion?
This new plan feature will allow you an opportunity to convert non-Roth assets, such as eligible vested plan balances currently in your plan or assets rolled over from a former employer’s plan, into a designated Roth account.
Interested in finding out whether Roth contributions or a Roth In-Plan Conversion might make sense for you? Visit www.fidelity.com/schedule to schedule a complimentary consultation with Fidelity or visit www.tiaa.org/nebraska to schedule a complimentary consultation with TIAA. We will work with you to evaluate all your options and help you create a retirement savings strategy that is right for your needs.
The decision to add Roth within your plan depends on multiple factors that you should weigh carefully. We encourage you to consult your tax advisor before deciding if this type of account is right for you.