Retirement Savings Plan

• You must contribute 5% of your regular salary, pre-tax, to the 403(b)
• The University will contribute 5% of your regular salary automatically to the 403(b)

If you elect to contribute more than 5% of your regular salary (pre-tax or after-tax Roth), the University will match your contribution, dollar-for-dollar, up to 10% of your regular salary.

There are two types of contributions you can make to your 403(b):

• Pre-tax: Contributions are made from your salary before state and federal taxes are taken out. You pay taxes on the money you withdraw at and after retirement. The required 5% contribution is pre-tax.
• After-tax (Roth): Contributions are made from your salary after state and federal taxes are taken out. Since you’ve already paid taxes on these contributions, you won’t pay them when you withdraw the money at or after retirement.

Note: You can only participate in the 457(b) Plan after you have reached the 403(b) Plan contribution limits before the end of each calendar year. To make a 457(b) contribution, contact your campus Human Resources.

• If you were benefits-eligible prior to July 1, 2020, you must contribute 6% of your regular salary, pre-tax, to the 403(b). The University will contribute 14% of your regular salary automatically to the 403(b).
• If you were hired or re-hired, transferred from another campus, or became benefits-eligible after July 1, 2020, you must contribute 5% of your regular salary, pre-tax, to the 403(b). The University will contribute 5% of your regular salary automatically to the 403(b). If you voluntarily contribute over 5%, the University will match your contributions up to 10% (within IRS limits).

There are two types of contributions you can make to your 403(b):

• Pre-tax: Contributions are made from your salary before state and federal taxes are taken out. You pay taxes on the money you withdraw at and after retirement. The required contribution is pre-tax.
• After-tax (Roth): Contributions are made from your salary after state and federal taxes are taken out. Since you’ve already paid taxes on these contributions, you won’t pay them when you withdraw the money at or after retirement.

Note: You can only participate in the 457(b) Plan after you have reached the 403(b) Plan contribution limits before the end of each calendar year. To make a 457(b) contribution, contact your campus Human Resources.

• If you were benefits-eligible before July 1, 2020, you must contribute 6% of your regular salary, pre-tax, to the 403(b). The University will contribute 13% of your regular salary automatically to the 403(b).
• If you were hired or re-hired, transferred from another campus, or became benefits-eligible after July 1, 2020, you must contribute 5% of your regular salary, pre-tax, to the 403(b). The University will contribute 5% of your regular salary automatically to the 403(b). If you voluntarily contribute over 5%, the University will match your contributions up to 10% (within IRS limits).

There are two types of contributions you can make to your 403(b):

• Pre-tax: Contributions are made from your salary before state and federal taxes are taken out. You pay taxes on the money you withdraw at and after retirement. The required contribution is pre-tax.
• After-tax (Roth): Contributions are made from your salary after state and federal taxes are taken out. Since you’ve already paid taxes on these contributions, you won’t pay them when you withdraw the money at or after retirement.

Note: You can only participate in the 457(b) Plan after you have reached the 403(b) Plan contribution limits before the end of each calendar year. To make a 457(b) contribution, contact your campus Human Resources.

• If you were benefits-eligible before July 1, 2020, you must contribute 6% of your regular salary, pre-tax, to the 403(b). The University will contribute 11% of your regular salary automatically to the 403(b). 
• If you were hired or re-hired, transferred from another campus, or became benefits-eligible after July 1, 2020, you must contribute 5% of your regular salary, pre-tax, to the 403(b). The University will contribute 5% of your regular salary automatically to the 403(b). If you voluntarily contribute over 5%, the University will match your contributions up to 10% (within IRS limits).

There are two types of contributions you can make to your 403(b):

• Pre-tax: Contributions are made from your salary before state and federal taxes are taken out. You pay taxes on the money you withdraw at and after retirement. The required contribution is pre-tax.
• After-tax (Roth): Contributions are made from your salary after state and federal taxes are taken out. Since you’ve already paid taxes on these contributions, you won’t pay them when you withdraw the money at or after retirement.

Note: You can only participate in the 457(b) Plan after you have reached the 403(b) Plan contribution limits before the end of each calendar year. To make a 457(b) contribution, contact your campus Human Resources.

• If you were benefits-eligible before July 1, 2020, you must contribute 6% of your regular salary, pre-tax, to the 403(b). The University will contribute a percentage of your regular salary automatically to the 403(b) based on your date of hire:
  • If you were hired before July 1, 1992, the University will contribute 12% of your regular salary
  • If you were hired after June 30, 1992, the University will contribute 10% of your regular salary.
• If you were hired or re-hired, transferred from another campus, or became benefits-eligible after July 1, 2020, you must contribute 5% of your regular salary, pre-tax, to the 403(b). The University will contribute 5% of your regular salary automatically to the 403(b). If you voluntarily contribute over 5%, the University will match your contributions up to 10% (within IRS limits).

There are two types of contributions you can make to your 403(b):

• Pre-tax: Contributions are made from your salary before state and federal taxes are taken out. You pay taxes on the money you withdraw at and after retirement. The required contribution is pre-tax.
• After-tax (Roth): Contributions are made from your salary after state and federal taxes are taken out. Since you’ve already paid taxes on these contributions, you won’t pay them when you withdraw the money at or after retirement.

Note: You can only participate in the 457(b) Plan after you have reached the 403(b) Plan contribution limits before the end of each calendar year. To make a 457(b) contribution, contact your campus Human Resources.

• If you were benefits-eligible by July 1, 2020, you must contribute 6% of your regular salary, pre-tax, to the 403(b). The University will contribute a percentage of your regular salary automatically to the 403(b) based on your date of hire:
  • If you were hired before July 1, 1991, the University will contribute 12% of your regular salary
  • If you were hired after June 30, 1991, the University will contribute 10% of your regular salary.
• If you were hired or re-hired, transferred from another campus, or became benefits-eligible after July 1, 2020, you must contribute 5% of your regular salary, pre-tax, to the 403(b). The University will contribute 5% of your regular salary automatically to the 403(b). If you voluntarily contribute over 5%, the University will match your contributions up to 10% (within IRS limits).

There are two types of contributions you can make to your 403(b):

• Pre-tax: Contributions are made from your salary before state and federal taxes are taken out. You pay taxes on the money you withdraw at and after retirement. The required contribution is pre-tax.
• After-tax (Roth): Contributions are made from your salary after state and federal taxes are taken out. Since you’ve already paid taxes on these contributions, you won’t pay them when you withdraw the money at or after retirement.

Note: You can only participate in the 457(b) Plan after you have reached the 403(b) Plan contribution limits before the end of each calendar year. To make a 457(b) contribution, contact your campus Human Resources.

In 2022, you can contribute up to the IRS annual limit of $20,500 to your 403(b). If you will be age 50 or older in 2022, you can contribute an additional $6,500 in catch-up contributions in 2022. If you reach the 2022 403(b) contribution limits, you can contribute up to $20,500 (or up to $27,000, if you’re 50 years old or older) to the 457(b) in 2022.

If you do not make an investment election, you are defaulted to the Vanguard suite of target date funds (TDF).

TDFs are based on your age and expected retirement age. They assume that all participants in that particular age range have the same investment characteristics, which is not accurate since there are varying degrees of risk aversion, retirement fund availability, and other characteristics. It is important for you to understand the characteristics, risks, and rewards of the TDF in which you are invested. 

You are not locked into participating in the default TDF. You can move current or future contributions into or out of the TDF.

You are vested automatically in your own contributions. This means you can take them with you if you leave the University for any reason.

You become vested in the University contributions if you:

• Complete 24 consecutive months of employment in a benefits eligible position; OR
• Die; OR
• Reach age 65; OR
• Become disabled as determined by the Social Security Administration or the University's long-term disability insurance provider.

If you are not vested when you leave University employment and return to the University after 30 or more days, your vesting period starts over. If you are vested when you leave University employment and then return as an employee at the same or another University of Arkansas campus, you will still be vested. Once you are vested in the University retirement plan, you are always vested.

After you have chosen the retirement plan vendor to use (TIAA or Fidelity), you must set-up your retirement plan account directly with the vendor.

You can participate with one retirement plan vendor at a time. Retirement income planning tools are available on the TIAA and Fidelity websites if you need assistance.

Changes to Your 403(b)

Login to Workday to:

• Start, stop, increase, or decrease your voluntary 403(b) contribution
• Choose between pre-tax and/or after-tax (Roth) contributions
• Switch between TIAA and Fidelity. Note: Only one retirement plan vendor can be selected each pay period. You can switch vendors as often as you choose.

Note: When enrolling for the first time, you must complete an application with TIAA or Fidelity.

Changes to your 403(b) will be effective in the month you make them, as long as they are made before the applicable payroll processing date.

Changes to your 457(b) will be effective the first day of the following month, since these changes must be made prospectively. You will be notified by your retirement plan vendor that you must complete a new application when your first 457(b) contribution is made (if you have not already completed this step).

To change your elections, follow the steps outlined in the Manage Benefits Job Aid.