Houston Texas Supplemental Retirement Plan

• Category: Corporations - Public - Retirement
• State: Multi-State
• City: Houston
• 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 Houston Texas Supplemental Retirement Plan is a voluntary retirement savings program offered to employees of the city of Houston, Texas, in addition to the regular pension benefits. This plan is designed to help individuals enhance their financial security in retirement by contributing additional savings on a tax-deferred basis. It provides employees with the opportunity to supplement their pension income and build a more robust retirement nest egg. The Houston Texas Supplemental Retirement Plan offers various types of accounts to suit the diverse needs and preferences of employees. These accounts include 401(k), 457(b), and Roth options. The 401(k) option allows employees to contribute a portion of their pre-tax income, thereby reducing their current taxable income while their contributions grow tax-deferred until withdrawal during retirement. Additionally, the plan may provide employer matching contributions, further boosting the employee's retirement savings. The 457(b) option is another tax-advantaged account available in the Houston Texas Supplemental Retirement Plan. It enables employees to defer a portion of their compensation on a pre-tax basis, similar to the 401(k) plan. The contributions and earnings grow tax-deferred until withdrawn during retirement. One significant advantage of the 457(b) plan is that it allows employees to make penalty-free withdrawals upon separation from service, even if they haven't reached the age of 59 ½. Lastly, the Houston Texas Supplemental Retirement Plan offers a Roth account option. With a Roth account, employees contribute after-tax income, meaning that contributions are not tax-deductible, but qualified distributions, including earnings, are tax-free during retirement. This option can be beneficial for employees who anticipate being in a higher tax bracket in the future or prefer tax diversification in retirement. By participating in any of these Houston Texas Supplemental Retirement Plan options, employees have the opportunity to save systematically, benefit from potential investment growth, and build a sizable retirement fund tailored to their specific needs and circumstances. Additionally, the plan offers various investment options, empowering employees to choose investments based on their risk tolerance and long-term goals. Overall, the Houston Texas Supplemental Retirement Plan is a comprehensive retirement savings program that aims to supplement the regular pension benefits by providing employees with additional investment opportunities and tax advantages. It offers flexibility, choice, and the potential for employees to build a more secure financial future during their retirement years.

Houston Texas Supplemental Retirement Plan is a voluntary retirement savings program offered to employees of the city of Houston, Texas, in addition to the regular pension benefits. This plan is designed to help individuals enhance their financial security in retirement by contributing additional savings on a tax-deferred basis. It provides employees with the opportunity to supplement their pension income and build a more robust retirement nest egg. The Houston Texas Supplemental Retirement Plan offers various types of accounts to suit the diverse needs and preferences of employees. These accounts include 401(k), 457(b), and Roth options. The 401(k) option allows employees to contribute a portion of their pre-tax income, thereby reducing their current taxable income while their contributions grow tax-deferred until withdrawal during retirement. Additionally, the plan may provide employer matching contributions, further boosting the employee's retirement savings. The 457(b) option is another tax-advantaged account available in the Houston Texas Supplemental Retirement Plan. It enables employees to defer a portion of their compensation on a pre-tax basis, similar to the 401(k) plan. The contributions and earnings grow tax-deferred until withdrawn during retirement. One significant advantage of the 457(b) plan is that it allows employees to make penalty-free withdrawals upon separation from service, even if they haven't reached the age of 59 ½. Lastly, the Houston Texas Supplemental Retirement Plan offers a Roth account option. With a Roth account, employees contribute after-tax income, meaning that contributions are not tax-deductible, but qualified distributions, including earnings, are tax-free during retirement. This option can be beneficial for employees who anticipate being in a higher tax bracket in the future or prefer tax diversification in retirement. By participating in any of these Houston Texas Supplemental Retirement Plan options, employees have the opportunity to save systematically, benefit from potential investment growth, and build a sizable retirement fund tailored to their specific needs and circumstances. Additionally, the plan offers various investment options, empowering employees to choose investments based on their risk tolerance and long-term goals. Overall, the Houston Texas Supplemental Retirement Plan is a comprehensive retirement savings program that aims to supplement the regular pension benefits by providing employees with additional investment opportunities and tax advantages. It offers flexibility, choice, and the potential for employees to build a more secure financial future during their retirement years.