North Dakota Deferred Compensation Investment Account Plan

• Category: Corporations - Public - Incentive Compensation Plans
• State: Multi-State
• Control #: US-CC-20-146
• Format: Word; Rich Text

Description

20-146 20-146 . . . Deferred Compensation Investment Account Plan under which Board of Directors of Savings and Loan Association allocates a portion of annual bonuses which would otherwise be paid to selected officers and employees to a separate account. The deferred compensation in such account is deemed, for purposes of Plan only, to represent specified percentages of Association's investments in certain portfolios of equity securities, and it is increased or decreased to same extent as performance of such securities The North Dakota Deferred Compensation Investment Account Plan is a retirement savings program sponsored by the state of North Dakota for its eligible employees. It allows participants to contribute a portion of their pre-tax salary to a personalized investment account, providing a means to save and grow their retirement funds. This voluntary plan offers several benefits including tax advantages, diversified investment options, and flexibility in managing contributions. Participants can choose to contribute a percentage of their salary, up to the maximum allowed by the plan, into their Deferred Compensation Investment Account. The contributions are deducted from their paycheck before taxes are calculated, resulting in immediate tax savings. Additionally, contributions and any investment earnings grow on a tax-deferred basis, meaning participants only pay taxes upon withdrawal during retirement when they may be in a lower tax bracket. The North Dakota Deferred Compensation Investment Account Plan offers a range of investment options to suit various risk tolerance levels and investment goals. Participants can choose from a selection of mutual funds, index funds, and target-date funds carefully chosen by the plan sponsor. The plan provides resources, such as educational materials and access to professional investment advisors, to assist participants in making informed investment decisions. Furthermore, the plan offers flexibility when it comes to managing contributions. Participants can adjust their contributions at any time, either through percentage changes or by opting for additional catch-up contributions as they near retirement age. This adaptability allows employees to align their savings strategy with changing financial situations and retirement goals. It is worth noting that while the North Dakota Deferred Compensation Investment Account Plan primarily focuses on retirement savings, participants may also be eligible for certain hardship withdrawal provisions or loans under specific circumstances, although these options should be utilized sparingly. In summary, the North Dakota Deferred Compensation Investment Account Plan provides a tax-advantaged and personalized approach to retirement savings for eligible employees in the state. With a variety of investment options, contribution control, and resources, participants can effectively tailor their savings strategy to meet their long-term financial objectives.

The North Dakota Deferred Compensation Investment Account Plan is a retirement savings program sponsored by the state of North Dakota for its eligible employees. It allows participants to contribute a portion of their pre-tax salary to a personalized investment account, providing a means to save and grow their retirement funds. This voluntary plan offers several benefits including tax advantages, diversified investment options, and flexibility in managing contributions. Participants can choose to contribute a percentage of their salary, up to the maximum allowed by the plan, into their Deferred Compensation Investment Account. The contributions are deducted from their paycheck before taxes are calculated, resulting in immediate tax savings. Additionally, contributions and any investment earnings grow on a tax-deferred basis, meaning participants only pay taxes upon withdrawal during retirement when they may be in a lower tax bracket. The North Dakota Deferred Compensation Investment Account Plan offers a range of investment options to suit various risk tolerance levels and investment goals. Participants can choose from a selection of mutual funds, index funds, and target-date funds carefully chosen by the plan sponsor. The plan provides resources, such as educational materials and access to professional investment advisors, to assist participants in making informed investment decisions. Furthermore, the plan offers flexibility when it comes to managing contributions. Participants can adjust their contributions at any time, either through percentage changes or by opting for additional catch-up contributions as they near retirement age. This adaptability allows employees to align their savings strategy with changing financial situations and retirement goals. It is worth noting that while the North Dakota Deferred Compensation Investment Account Plan primarily focuses on retirement savings, participants may also be eligible for certain hardship withdrawal provisions or loans under specific circumstances, although these options should be utilized sparingly. In summary, the North Dakota Deferred Compensation Investment Account Plan provides a tax-advantaged and personalized approach to retirement savings for eligible employees in the state. With a variety of investment options, contribution control, and resources, participants can effectively tailor their savings strategy to meet their long-term financial objectives.