Supplemental Retirement Accounts

• They provide an opportunity to save more for your retirement through easy payroll deductions
• Even small contributions can result in significant account balances over time
• Annual investment growth is not taxed* (taxes may apply upon withdrawal of funds)
• There is a range of investment funds to select from
• You can choose from pre or post (Roth) tax options:
  • Pre-tax contributions lower your taxable income now*
  • Post-tax (Roth) contributions provide for tax-free withdrawals later*

*This information is for general education only and is not financial or tax advice.

Pre-Tax Contributions*

• Lower your taxes today
• Taxes are paid when you withdraw money at retirement

Post-tax Contributions*- Available starting May 27, 2026

• You pay taxes now 
• Qualified withdrawals in retirement are largely tax-free. Federal and State income taxes do not apply to withdrawals

*This information is for general education only and is not financial or tax advice.

• These plans are generally the same. They both:
   Have pre-tax and post-tax (Roth) contribution options
• Have identical investment options (mutual funds, target date funds, etc.)
• Allow contributions of up to $24,500 for calendar year 2026 with additional “catch up” contributions allowed in certain circumstances.  See below for information regarding catch up options.

The main difference is when you can access your funds.

For the 403(b), you can access funds at age 59 ½ while still employed at Ohio University.  You can also access funds after a separation of service from the university.  You cannot access funds while actively employed if you are under the age of 59 ½.  And, withdrawals from a 403(b) prior to age 59 ½ may be subject to a 10% IRS withdrawal penalty regardless while actively employed and after separation of service.

For the 457(b), you can access funds at age 59 ½ while still employed at Ohio University. You may also access funds after a separation of service from the university.  You cannot access funds while actively employed if you are under the age of 59 ½. Unlike the 403(b) plan, there is no 10% IRS withdrawal penalty for 457(b) plans if you are withdrawing funds after a separation of service.

1. Consider scheduling a retirement planning meeting with Captrust Financial Advisors to review your individual goals and create a Retirement Blueprint. Captrust’s services are provided at no cost to faculty and staff.
2. Decide how much you’d like to contribute
3. Decide which retirement provider you would like to invest with
4. Contact your chosen retirement plan provider to open an account and select your investment options
5. Starting May 27, 2026 you may visit Retirement@Work to select a plan and the amount you would like to contribute each pay