Texas 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 Texas Deferred Compensation Investment Account Plan is a type of employer-sponsored retirement savings plan available for eligible employees in the state of Texas. This plan is designed to help employees save for retirement by contributing a portion of their pre-tax earnings into various investment options. The Texas Deferred Compensation Investment Account Plan offers several key advantages. It allows employees to make contributions through automatic payroll deductions, making it a convenient and effortless way to save for retirement. Additionally, contributions are made on a pre-tax basis, thereby reducing employees' taxable income and potentially lowering their overall tax liability. One of the primary benefits of the Texas Deferred Compensation Investment Account Plan is its wide range of investment options. Participants can choose from a diverse selection of investment funds, including mutual funds, exchange-traded funds (ETFs), and target-date funds. These investment options cater to different risk tolerances and investment objectives, allowing participants to customize their portfolios based on their individual preferences. Moreover, the Texas Deferred Compensation Investment Account Plan offers flexibility in terms of contributions. Employees can adjust the percentage of their salary that they contribute to the plan, within certain limits set by the Internal Revenue Service (IRS). Additionally, the plan allows for catch-up contributions for participants who are over the age of 50, enabling them to accelerate their savings as they approach retirement. It is important to note that there are different types of Texas Deferred Compensation Investment Account Plans available to eligible employees. These plans include both a 457(b) plan and a 401(k) plan. The 457(b) plan is available to state and local government employees, while the 401(k) plan is specifically designed for employees of higher education institutions. Both plans offer similar advantages and investment options but may have slight variations in terms of contribution limits and eligibility criteria. In conclusion, the Texas Deferred Compensation Investment Account Plan is a valuable retirement savings option for eligible employees in Texas. With its pre-tax contributions, diverse investment options, and flexibility, this plan empowers employees to take control of their financial future and work towards a comfortable retirement.

The Texas Deferred Compensation Investment Account Plan is a type of employer-sponsored retirement savings plan available for eligible employees in the state of Texas. This plan is designed to help employees save for retirement by contributing a portion of their pre-tax earnings into various investment options. The Texas Deferred Compensation Investment Account Plan offers several key advantages. It allows employees to make contributions through automatic payroll deductions, making it a convenient and effortless way to save for retirement. Additionally, contributions are made on a pre-tax basis, thereby reducing employees' taxable income and potentially lowering their overall tax liability. One of the primary benefits of the Texas Deferred Compensation Investment Account Plan is its wide range of investment options. Participants can choose from a diverse selection of investment funds, including mutual funds, exchange-traded funds (ETFs), and target-date funds. These investment options cater to different risk tolerances and investment objectives, allowing participants to customize their portfolios based on their individual preferences. Moreover, the Texas Deferred Compensation Investment Account Plan offers flexibility in terms of contributions. Employees can adjust the percentage of their salary that they contribute to the plan, within certain limits set by the Internal Revenue Service (IRS). Additionally, the plan allows for catch-up contributions for participants who are over the age of 50, enabling them to accelerate their savings as they approach retirement. It is important to note that there are different types of Texas Deferred Compensation Investment Account Plans available to eligible employees. These plans include both a 457(b) plan and a 401(k) plan. The 457(b) plan is available to state and local government employees, while the 401(k) plan is specifically designed for employees of higher education institutions. Both plans offer similar advantages and investment options but may have slight variations in terms of contribution limits and eligibility criteria. In conclusion, the Texas Deferred Compensation Investment Account Plan is a valuable retirement savings option for eligible employees in Texas. With its pre-tax contributions, diverse investment options, and flexibility, this plan empowers employees to take control of their financial future and work towards a comfortable retirement.