Ohio 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 Ohio Deferred Compensation Investment Account Plan, also known as Ohio DC, is a voluntary retirement savings plan designed to help Ohio public employees, including state and local government employees, save for their retirement by investing their money in a variety of investment options. It is administered by the Ohio Department of Administrative Services. The Ohio Deferred Compensation Investment Account Plan offers several advantages to its participants. Firstly, it allows employees to save for retirement on a tax-deferred basis, meaning that contributions are made before taxes are deducted from the paycheck, resulting in potential immediate tax savings. These contributions, along with any earnings, accumulate and grow tax-deferred until they are withdrawn at the time of retirement. Participants can choose from a range of investment options that suit their risk tolerance and investment goals. These options include mutual funds, target date funds, fixed income funds, and stable value funds. Each option differs in terms of risk and potential return, enabling participants to create a diversified investment portfolio aligned with their unique financial objectives. Additionally, Ohio DC offers a variety of educational resources and tools to help participants make informed investment decisions. These resources include online calculators, retirement planning guides, webinars, and access to financial advisors, providing individuals with the knowledge and support necessary to navigate the retirement savings journey successfully. Furthermore, the Ohio Deferred Compensation Investment Account Plan also provides a Roth option, allowing participants to make after-tax contributions. While Roth contributions do not provide immediate tax savings, the earnings and qualified withdrawals from Roth contributions are tax-free, making it an appealing choice for individuals anticipating higher tax rates during retirement. It is worth noting that Ohio DC offers two distinct types of plans to cater to the needs of different public sector employees. The first is the Traditional Plan, available to most Ohio public employees, which enables pre-tax contributions. The second is the Roth Plan, available to employees who opt for after-tax contributions. Both plans offer the same range of investment options, education resources, and administrative services. In conclusion, the Ohio Deferred Compensation Investment Account Plan is a valuable retirement savings option for Ohio public employees. It allows participants to save for retirement on a tax-deferred or Roth basis, choose from a diverse array of investment options, and access comprehensive educational resources. By providing a flexible and well-rounded retirement plan, Ohio DC plays a crucial role in helping employees secure a comfortable financial future.

Ohio Deferred Compensation Investment Account Plan, also known as Ohio DC, is a voluntary retirement savings plan designed to help Ohio public employees, including state and local government employees, save for their retirement by investing their money in a variety of investment options. It is administered by the Ohio Department of Administrative Services. The Ohio Deferred Compensation Investment Account Plan offers several advantages to its participants. Firstly, it allows employees to save for retirement on a tax-deferred basis, meaning that contributions are made before taxes are deducted from the paycheck, resulting in potential immediate tax savings. These contributions, along with any earnings, accumulate and grow tax-deferred until they are withdrawn at the time of retirement. Participants can choose from a range of investment options that suit their risk tolerance and investment goals. These options include mutual funds, target date funds, fixed income funds, and stable value funds. Each option differs in terms of risk and potential return, enabling participants to create a diversified investment portfolio aligned with their unique financial objectives. Additionally, Ohio DC offers a variety of educational resources and tools to help participants make informed investment decisions. These resources include online calculators, retirement planning guides, webinars, and access to financial advisors, providing individuals with the knowledge and support necessary to navigate the retirement savings journey successfully. Furthermore, the Ohio Deferred Compensation Investment Account Plan also provides a Roth option, allowing participants to make after-tax contributions. While Roth contributions do not provide immediate tax savings, the earnings and qualified withdrawals from Roth contributions are tax-free, making it an appealing choice for individuals anticipating higher tax rates during retirement. It is worth noting that Ohio DC offers two distinct types of plans to cater to the needs of different public sector employees. The first is the Traditional Plan, available to most Ohio public employees, which enables pre-tax contributions. The second is the Roth Plan, available to employees who opt for after-tax contributions. Both plans offer the same range of investment options, education resources, and administrative services. In conclusion, the Ohio Deferred Compensation Investment Account Plan is a valuable retirement savings option for Ohio public employees. It allows participants to save for retirement on a tax-deferred or Roth basis, choose from a diverse array of investment options, and access comprehensive educational resources. By providing a flexible and well-rounded retirement plan, Ohio DC plays a crucial role in helping employees secure a comfortable financial future.