The Massachusetts 403(b) Supplemental Retirement Plan supplements benefits of the state’s core retirement plans, and can be an important component of your personal savings for retirement. It is intended to operate under Internal Revenue Code Section 403(b) and is subject to the fiduciary standards described in Massachusetts General Laws Chapter 32, Section 23(3).
The Plan accepts only your own voluntary Employee Contributions, which can be made on either a before-tax or after-tax basis. The Commonwealth does not contribute to the plan.
The Commonwealth sends your contributions to the Contract Provider you select. Contract Providers are those holding a valid Contract for Service with the Commonwealth. You control the investment of your contributions using investment funds available from your Provider.
While the Commonwealth expects your savings to be used over the long term, for retirement, you have access to your savings in a wide variety of payment methods, at different times. Additionally, the plan includes a loan provision. Also, emergency distributions are available through Hardship Withdrawals.
Please note that the tax treatment of distributions from the Plan, and defaulted loan amounts, will reflect the tax treatment of your contributions (before or after tax).
You can learn about the Plan’s provisions in subsequent sections of this web site.