Author Topic: Joining 457 plan mid-year questions (relevant to teaching)  (Read 1370 times)

jezebel

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Joining 457 plan mid-year questions (relevant to teaching)
« on: July 29, 2015, 08:57:57 AM »
My husband will enroll in a 457 plan in about a month, at the start of the 2015-2016 school year.  We want 100% of his 2015 salary to be contributed to the 457.  I hope that we will be able to adjust the contribution amount in January for 2016 to where he will be set to max the 457 and make additional contributions to a 403(b).   Is that possible, or are we locked into the contribution amount set at the beginning of the school year?  He will be paid twice monthly (24x/yr). The whole school year issue is throwing me. 

rubybeth

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Re: Joining 457 plan mid-year questions (relevant to teaching)
« Reply #1 on: July 29, 2015, 09:00:20 AM »
You should be able to change your 457b contributions at any time, unless there are some kind of local restrictions on this. Check with your husband's HR department on specifics. I asked my employer a similar question (thinking that once we save up our down payment, I could kick up the contributions)--they said it's kind of a hassle, but entirely do-able.

forummm

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Re: Joining 457 plan mid-year questions (relevant to teaching)
« Reply #2 on: July 29, 2015, 09:28:12 AM »
You should be able to change your 457b contributions at any time, unless there are some kind of local restrictions on this. Check with your husband's HR department on specifics. I asked my employer a similar question (thinking that once we save up our down payment, I could kick up the contributions)--they said it's kind of a hassle, but entirely do-able.

This sounds right to me. Sometimes you can even change your contribution level online.

rubybeth

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Re: Joining 457 plan mid-year questions (relevant to teaching)
« Reply #3 on: July 29, 2015, 09:30:13 AM »
You should be able to change your 457b contributions at any time, unless there are some kind of local restrictions on this. Check with your husband's HR department on specifics. I asked my employer a similar question (thinking that once we save up our down payment, I could kick up the contributions)--they said it's kind of a hassle, but entirely do-able.

This sounds right to me. Sometimes you can even change your contribution level online.

Yeah, I can change the amount online, however, our payroll staff has to change their end of things in our payroll system so that it matches what I want to contribute. That's the hassle factor, but not really my problem. ;)

KCM5

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Re: Joining 457 plan mid-year questions (relevant to teaching)
« Reply #4 on: July 29, 2015, 09:33:19 AM »
I change mine about once a year - with our system we have to fill out a form and can't do it online. Second asking your HR department. For us it's not a problem (state gov).

KisKis

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Re: Joining 457 plan mid-year questions (relevant to teaching)
« Reply #5 on: July 29, 2015, 09:33:55 AM »
I can't change mine online, but I just submit a one page form to HR with the dollar amount that I want withheld from each paycheck.  They always give me "that look" because it is a slight inconvenience for them, but I try to keep my changes to a minimum.  What you are requesting shouldn't be a problem.  You might want to set a calendar reminder to adjust your withholdings in January.

jezebel

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Re: Joining 457 plan mid-year questions (relevant to teaching)
« Reply #6 on: July 29, 2015, 10:04:50 AM »
Great advice on creating a reminder in January.  We should only have to change it once, and it will be worth it to get the most we can out of 2015.