Commonwealth of Virginia 457 Deferred Compensation Plan: Salaried and wage employees who work for state agencies or for political subdivisions and school divisions that offer the plan.
Virginia Cash Match Plan: Full-time or part-time salaried employees of the Commonwealth and political subdivisions that adopted the Cash Match Plan are eligible if they are making continuous 457 contributions.
If you participate in a 403(b) in addition to your 457 Plan, you are eligible to receive only one cash match per pay date.
If you are a Hybrid Retirement Plan member, you must first maximize your voluntary contributions into the Hybrid 457 Deferred Compensation Plan before receiving a cash match in the Virginia Cash Match Plan.
457 Deferred Compensation Plan: Eligible participants can enroll online OR by calling toll-free 877-327-5261.
Cash Match Plan: It's automatic for eligible participants (full-time or part-time salaried employees) once you enroll in the 457 Deferred Compensation Plan and are making continuous contributions of at least $10 per pay period to the 457 Deferred Compensation Plan.
An annual record-keeping fee of $30.50 will be deducted from your account on a monthly basis ($2.54 per month). If you participate in more than one Commonwealth of Virginia plan, only one annual fee of $30.50 will be deducted from your account. In addition, each investment option has investment management and other fund costs that vary. Investment option fees and performance are available online within the Investment Option Performance report. For more information about fees associated with the Self-Directed Brokerage Account, refer to the profile online .
You will receive a quarterly account statement showing your account balance and activity for your plans. Check your account balance online or by calling toll-free 877-327-5261. You may elect to receive an electronic statement.
457 Deferred Compensation Plan: You may withdraw from your account only when you meet one of these conditions:
- Terminate employment from the employer that offers the plan
- Use your plan account to purchase VRS service credit, if approved
- Experience an unforeseeable emergency that is approved by the Plan Administrator
- Have a low balance and an inactive account (subject to IRS De Minimis withdrawal guidelines and plan requirements)
- Reach age 72*, even if still employed
- Rolled funds from another retirement plan into your 457 Deferred Compensation account
Cash Match Plan: You may withdraw when you terminate employment with the employer that offers the plan. Additionally, monies in your Cash Match Plan rollover account may be withdrawn at any time.
For more information about account withdrawals review the Plan Features and Highlights .
Note: RMDs are waived for 2020 and 2019, due to the CARES Act passed March 27, 2020, in response to COVID-19. Please note federal legislation also raised the required minimum distribution age to 72 on January 1, 2020 (does not affect individuals with a date of birth of June 30, 1949 or earlier).
Balances from an eligible retirement plan such as a 401(a), 401(k), 403(b), 457(b), traditional IRA or Federal Employees Thrift Savings Plan may be rolled over. Certain after-tax rollovers are permitted into the Cash Match Plan. However, balances from Roth IRAs cannot be rolled into the plan. Note that the rollovers from these plan types will be separately accounted for to ensure the distribution from these plan types will still be subject to the 10 percent penalty tax under IRS Section 72(t).
Purchase Service Credit
457 Deferred Compensation Plan: In-service trustee-to-trustee transfer of assets from a governmental 457(b) plan to a governmental defined benefit plan for the purchase of permissible service credit or repayment of contributions and earnings that were previously refunded, causing forfeiture of service credit under the defined benefit plan, is allowed. To use the option, you must be approved to purchase service by your defined benefit plan.
Cash Match Plan: Employer contributions cannot be used to purchase VRS service credit. Monies in the Cash Match Plan rollover account may be rolled over to VRS to purchase approved service credit.