381 Retirement Benefit Plan
Effective Date: 7/17/03
The District offers a 401K Deferred Compensation Retirement Plan. This is in addition to the CERS and is optional. Upon successful completion of the working test period, the accounting department shall notify you of this option.
The accounting department shall alert the employee’s team leader at the end of the fifth pay period that the probationary period is due to end. The team leader is responsible for completing the evaluation and alerting the accounting department of continuation or alternative action before the sixth pay period for any new employee.
Upon notification of the continuation of employment, the accounting department shall disperse the appropriate forms for the employee; employees must complete and return the forms within two weeks.
Employees hired prior to April 1, 2001 have the option of choosing either the CERS or the 401k Deferred Compensation Retirement Plan or both. Anyone hired after April 1, 2001 must enroll in the CERS and may also enroll in the 401k as an optional benefit. The District shall contribute two percent (2%), subject to the annual allocation plan. Contributions shall be made to employee’s account regardless of their decision to participate.
If an employee chooses to participate in the 401k Deferred Compensation Retirement Plan in addition to the CERS, the District shall not match any funds to the 401k.
If an employee chooses to participate, the accounting department shall make payroll deductions based upon the employee’s completed documentation. The District will match an employee’s payroll deduction not to exceed the state rate governed by the Kentucky Employees Retirement System.
The withholdings and match, where applicable, shall be submitted to the 401k Deferred Compensation Authority semi-monthly.
Any change in status, amount of employee contribution, mutual fund allocation must be made to the Accounting Department in writing.
H. In the event the employee leaves the District, the individual should contact the accounting department for options.