To notify Agencies of the following changes to Deferred Compensation rules, rates, and limits effective 01-01-2002.
- The yearly regular contribution amount for Deferred Compensation has been increased from $8,500 to $11,000.
- The Deferred Compensation "Catch Up" provision, available to employees in each of the last three years prior to normal retirement age, has been increased to $11,000, or twice the allowable regular contribution, for a combined maximum total contribution of $22,000 for calendar year 2002.
- An additional deferment is now available to employees age 50 and over. These employees can defer up to $1000 in addition to their regular contribution amount, for a combined total contribution of $12,000 in 2002. Employees cannot have both "Catch Up" and "50 and over" additional amounts deferred in the same year.
Please note that the total contribution amount from any participant may not exceed 100% of net pay after all involuntary and voluntary deductions and required tax withholdings are taken.
Employees enrolled in the Deferred Compensation Plan.
Administration checks dated 01/02/2002.
Institution checks dated 01/10/2002.
OSC will process a file from the New York State Deferred Compensation Plan's Administrative Service Agency each pay cycle that will start, change or cancel the deduction.
Questions regarding this bulletin may be directed to the Payroll Deductions mailbox.
Employees with questions on their Deferred Compensation percentages and deductions should be directed to the New York State Deferred Compensation Plan's HELPLINE at(800) 422-8463.