Vermont Supplemental Retirement Plan

• Category: Corporations - Public - Retirement
• State: Multi-State
• Control #: US-CC-21-104
• Format: Word; Rich Text

Description

21-104 21-104 . . . Supplemental Executive Retirement Plan which permits eligible management and highly-compensated employees to receive benefits that will compensate them for limitations imposed by Sections 401(a)(17), 401(k), 401(m) and 402(g) of Internal Revenue Code on salary deferrals and matching contributions under 401(k) plan The Vermont Supplemental Retirement Plan (HSRP) is a retirement savings program specifically designed for employees of the state of Vermont. It is an additional retirement benefit offered to eligible employees to supplement their main retirement savings. The HSRP is intended to provide employees with a convenient and tax-advantaged way to save for retirement. It offers several key features that make it an attractive option for employees seeking to secure their financial future. One of the main advantages of the HSRP is that it allows participants to contribute to their retirement savings on a pre-tax basis. This means that the contributions made to the plan are deducted from the employee's gross income, lowering their taxable income for the year. This pre-tax contribution feature allows employees to maximize their retirement savings by reducing their overall tax burden. Another important feature of the HSRP is the employer match. The state of Vermont offers a generous employer match program for eligible employees who contribute to the plan. The employer match is essentially free money that is contributed to the employee's retirement account by the employer. This matching contribution helps accelerate the growth of the employee's retirement savings and serves as an additional incentive for employees to participate in the HSRP. The HSRP offers a range of investment options to suit different risk tolerance levels and investment goals. Participants can choose from a variety of investment funds, including stocks, bonds, and mutual funds. The HSRP also provides access to personalized financial advice and planning tools to help participants make informed investment decisions. In addition to the standard HSRP, there are a few different types of supplemental retirement plans available in Vermont. These include the HSRP Roth 401(k), which allows participants to make after-tax contributions and enjoy tax-free withdrawals in retirement. Another option is the HSRP Deferred Compensation Plan, which allows employees to defer a portion of their salary and invest it for retirement on a tax-deferred basis. Overall, the Vermont Supplemental Retirement Plan offers state employees a valuable opportunity to save for retirement with attractive tax benefits and employer matching contributions. It promotes long-term financial security for employees and encourages responsible retirement planning.

The Vermont Supplemental Retirement Plan (HSRP) is a retirement savings program specifically designed for employees of the state of Vermont. It is an additional retirement benefit offered to eligible employees to supplement their main retirement savings. The HSRP is intended to provide employees with a convenient and tax-advantaged way to save for retirement. It offers several key features that make it an attractive option for employees seeking to secure their financial future. One of the main advantages of the HSRP is that it allows participants to contribute to their retirement savings on a pre-tax basis. This means that the contributions made to the plan are deducted from the employee's gross income, lowering their taxable income for the year. This pre-tax contribution feature allows employees to maximize their retirement savings by reducing their overall tax burden. Another important feature of the HSRP is the employer match. The state of Vermont offers a generous employer match program for eligible employees who contribute to the plan. The employer match is essentially free money that is contributed to the employee's retirement account by the employer. This matching contribution helps accelerate the growth of the employee's retirement savings and serves as an additional incentive for employees to participate in the HSRP. The HSRP offers a range of investment options to suit different risk tolerance levels and investment goals. Participants can choose from a variety of investment funds, including stocks, bonds, and mutual funds. The HSRP also provides access to personalized financial advice and planning tools to help participants make informed investment decisions. In addition to the standard HSRP, there are a few different types of supplemental retirement plans available in Vermont. These include the HSRP Roth 401(k), which allows participants to make after-tax contributions and enjoy tax-free withdrawals in retirement. Another option is the HSRP Deferred Compensation Plan, which allows employees to defer a portion of their salary and invest it for retirement on a tax-deferred basis. Overall, the Vermont Supplemental Retirement Plan offers state employees a valuable opportunity to save for retirement with attractive tax benefits and employer matching contributions. It promotes long-term financial security for employees and encourages responsible retirement planning.