D.C. Mun. Regs. tit. 6, r. 6-B2613

Current through Register Vol. 71, No. 49, December 6, 2024

Rule 6-B2613 - ELECTIVE ENROLLMENT; MODIFICATIONS TO ENROLLMENT

2613.1

An employee who opts out of automatic enrollment under § 2612 may elect to participate in the 457(b) Plan after the end of the thirty (30) calendar days after the first day of employment. An employee who was not automatically enrolled in the 457(b) Plan may elect to participate in the 457(b) Plan at any time after the employee's date of hire.

2613.2

To participant, complete the Salary Deferral Agreement through the Employee Self-Service (ESS) in the People Soft System. The agreement shall include:

(a) The option of selecting pre-tax deferrals or after-tax (Roth) deferrals;

(b) Amount of compensation to be deferred; and

(c) Investment elections.

2613.3

An employee enrolled in the 457(b) Plan may change his or her deferral amounts by completing the Salary Deferral Agreement. The change to the deferral amounts shall take effect not earlier than the first day of the first pay period following the date when the Salary Deferral Agreement is executed.

2613.4

Participants shall have the option of electing through payroll deduction to make either pre-tax deferrals that will reduce their taxable income for the year, or aftertax deferrals (Roth deferrals) that will not reduce their taxable income for the year.

2613.5

Participant s may elect to defer a minimum of twenty dollars ($20) per pay period or forty-three dollars ($43) per month.

2613.6

The maximum amount of compensation that a participant may defer through pretax and Roth deferrals under the 457(b) Plan in any taxable year shall not exceed the lesser of:

(a) The applicable dollar amount under § 457(b)(2)(A) of the IRC, or

(b) One hundred percent (100%) of the participant's base salary, as provided for in § 457(b)(2)(B) of the IRC.

2613.7

The 457(b) Plan special catch-up limitation allows a participant, for the last three (3) taxable years ending before a participant attains normal retirement age, to make contributions in excess of the limits set forth in § 2613.6.The maximum catch-up deferral amount shall be the lesser of:

(a) Twice the maximum deferral dollar amount in effect under § 2613.6, or

(b) An amount equal to:

(1) The aggregate § 2613.6 limitation for the current year, plus, and

(2) The portion of the primary limitation amount not utilized in prior taxable years in which the participant was eligible to participate in the 457(b) Plan. A participant may use a prior year only if the deferrals under the 457(b) Plan in existence during that year were subject to a maximum deferral amount.

2613.8

All participants who have attained age fifty (50) or over before the close of the 457(b) Plan year shall be eligible to make additional deferrals that exceed the maximum limitation for the 457(b) Plan year, in accordance with, and subject to the limitation of, 26 CFR § 1.414(v).

2613.9

Any deferrals to the 457(b) Plan account that exceed the amounts authorized by § 2613.6 shall be refunded to the participant in accordance with 26 CFR § 1.457-4(e).

D.C. Mun. Regs. tit. 6, r. 6-B2613

Final Rulemaking published at 67 DCR 004744 (5/1/2020)