Supplemental Retirement Programs

Clemson University is a tax-exempt public education entity eligible to offer voluntary supplemental retirement programs as described under sections 401(k), 403(b) and 457(b) of the Internal Revenue Service (IRS). Eligible employees can elect to defer a portion of their compensation on a before-tax or after-tax basis to a 401(k) plan, 403(b) plan and/or a 457(b) plan to supplement their retirement savings. Questions regarding these programs can be answered by contacting an Office of Human Resources (OHR) at (864) 656-2000 or online at Ask-HR or by contacting a plan vendor.

All Clemson University employees (excluding student workers) are eligible to participate in a 401(k) plan, a 403(b) plan and a 457(b) plan.

Eligible employees may elect to contribute on a before-tax or after-tax basis or contribute a combination of tax-deferred and Roth after-tax funds.

Before-tax Contributions

Contributions are deducted from the employee’s pay before taxes are calculated lowering the employee’s current taxable income.

Available through:

  • 401(k)
  • 457
  • 403(b)

Roth/After-tax Contributions

Contributions are deducted from the employee’s pay after taxes are calculated allowing the funds to be taxed before they enter the account.

Available through:

  • 401(k)
  • 457

Annual contribution limits are set by the IRS. The IRS provides regular calendar-year limits as well as an additional catch-up contribution limit beginning in the year in which the employee turns age 50. It is the responsibility of the participating employee and 401(k), 403(b), 457(b) company handling the contract to make certain the authorized maximum is not exceeded.

 

2018 Limit

2019 Limit

Regular Contributions:

 

 

401(k) & 403(b) coordinated limit

$18,500

$19,000

457(b) not coordinated

$18,500

$19,000

Catch-up Contributions:

 

 

401(k) & 403(b) over age 50 coordinated limit

$6,000

$6,000

457 Over age 50 not coordinated

$6,000

$6,000

457(b) Within 3 years of retirement (conditions apply)

$18,500

$19,000

Note: Contribution limits include the combination of before-tax and after-tax funds.

9 Month Employees: 16 deferrals allowed annually; deducted from check dates  of January through April and September thru December

12 Month Employees: 24 deferrals allowed annually; deducted from check dates of January through December

Eligible employees must contact an approved vendor for account set up. Employees enrolled in a plan can request salary deferrals by completing a “Request for Salary Reduction Agreement” form, which can be obtained from OHR.

Approved Service Providers

Employees can increase, decrease or stop future contributions to the plans at any time by completing a “Request for Salary Reduction Agreement” form, which can be obtained from OHR.