COUNTY OF ORANGE
1.62 DEFINED
CONTRIBUTION PLAN
For Institutional Investor Use Only. Not For Distribution To The General Public.
TIAA-CREF is the 1.62
Defined Contribution Plan Administrator
• Non-Commissioned Representatives
•
Personalized Third-Party Investment Advice
•
Local Office in Newport Beach 1-800-209-3140
•
National Call Center at 1-800-842-2252
•
24/7 Online Services
•
Financial Education
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Defined Contribution Plans
•
The County has two 457 Defined Contribution Plans
•
A 457 Plan is governed by Internal Revenue Code
•
This presentation will focus on the 1.62% Defined Contribution Plan
•
Employees hired on or after 5/7/2010 are eligible to elect the 1.62% at
65 Retirement formula
•
Only Employees that elect the 1.62% Retirement formula are eligible to
participate in the 1.62% Defined Contribution Plan
•
You can voluntarily set aside a portion of your bi-weekly income on a pretax basis
•
It can help you save and invest money for retirement
3
Voluntary Contributions
• Contributions
to the 1.62% Defined Contribution Plan are voluntary &
are in addition to your (mandatory) OCERS Defined Benefit Pension
contributions
• You
may increase or decrease your employee contribution at any time
• The
minimum contribution amount is $1.00 bi-weekly
• You
can contribute 100% of your includible income up to $17,000
combined with the other 457 plan in 2012
• Loans
and Hardships are not available under the 1.62% Defined
Contribution Plan
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Employer Matching Contributions
•
The County will match bi-weekly employee contributions to the plan, up
to 2% of base salary per pay period. This amount may change based on
changes to the Plans.
•
Employee contributions vest immediately on behalf of the employee
•
Employer matching contributions vest on behalf of the employee after
five (5) years of continuous employment with the County
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Maximizing Matching Contributions
•
Employee contributions towards the 1.62% Defined Contribution Plan &
the County Voluntary 457 plan (should you choose to participate) are
subject to the same collective IRS yearly maximums.
•
Please contact TIAA-CREF to discuss your individual situation or make an
appointment to meet with an Individual Consultant from their Newport
Beach Office at 1-877-209-3140.
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Managing Your Account
• Your
employee contributions will go into the 1.62 Defined Contribution
Plan (457 plan) for you to manage
• The
employer matching contributions will go into a 401(a) plan for you
to manage
• Your
1.62 Defined Contribution Plan’s 457 and your 401(a) accounts
will be invested in the TIAA-CREF Age Appropriate Lifecycle Fund
unless you make an active investment election
• To
enroll, go online at www.tiaa-cref.org/oc162dcplan or call TIAACREF toll-free at 1-800-842-2252, Monday-Friday 5:00 a.m. to 7:00
p.m. & Saturday 6:00 a.m. to 3:00 p.m. Pacific Time.
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Resources & Tools
www.tiaa-cref.org/oc162dcplan
• Manage
Account Online
• Find
overview of retirement and
investment education
• Perform
• Review
paycheck comparisons
available funds
• Set
up your account for Automatic
Rebalancing
• Schedule
an Individual
Consultation with a local TIAACREF Representative from their
Newport Beach Office
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1-800-842-2252
•TIAA-CREF National Call Center
• Representatives are Available
Mon-Fri 5:00 am – 7:00 pm PST
•Personalized Third Party Investment
Advice Available
•Review your account balance
•Transfer between funds
•Change your contribution
•Change your allocations
Benefits Of Participating
•
Employer matching contributions
•
Easy payroll deduction
•
Contributions and any earnings grow on a tax deferred basis
•
Wide variety of investment choices
•
Manage your account on-line 24/7
•
Non-Commissioned TIAA-CREF Customer Service Representatives are
available to assist you Monday-Friday 5:00 am - 7:00 pm (Pacific
Standard Time)
•
Access your money when you:
– Terminate
– Retire
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employment from the County
Investment Options
GUARANTEED
MONEY MARKET
FIXED INCOME
REAL ESTATE
Funds to be mapped
Funds to be mapped
Funds to be mapped
ING Global Real
Estate Fund
MULTI-ASSET
EQUITIES
TIAA-CREF Lifecycle Fund
2050
(TFTIX)
Funds to be mapped
TIAA-CREF Lifecycle Fund
2045
(TTFIX)
TIAA-CREF Lifecycle Fund
2040
(TCOIX)
TIAA-CREF Lifecycle Fund
2035
(TCIIX)
TIAA-CREF Lifecycle Fund
2030
(TCRIX)
TIAA-CREF Lifecycle Fund
2025
(TCYIX)
TIAA-CREF Lifecycle Fund
2020
(TCWIX)
TIAA-CREF Lifecycle Fund
2015
(TCNIX)
TIAA-CREF Lifecycle Fund
2010
(TCTIX)
TIAA-CREF Lifecycle
Retire Inc Instl
(TLRIX)
TIAA-CREF Lifecycle
Retirement income Fund
(TLIRX)
CREF Social Choice
Investing involves risk, including possible loss of principal.
* TIAA Traditional is a guaranteed insurance contract and not an investment for Federal Securities Law purposes.
Guarantees are based on the claims-paying ability of TIAA.
** An investment in the CREF Money Market Account is not a deposit of any bank and is neither insured
nor guaranteed by the Federal Deposit Insurance Corporation or any other U.S. government agency.
TIAA-CREF Lifecycle Funds available through the Institutional Class of shares of TIAA-CREF Institutional Mutual Funds.
TIAA-CREF Mutual Funds available through the Retirement Class of shares of TIAA-CREF Institutional Mutual Funds.
10LOWER RISK
6
MEDIUM RISK
HIGHER RISK
Lifecycle Funds
 Use a Fund of Funds representing different asset classes
 Choose the Fund with the “End Date” that most closely matches
the approximate year you'll begin withdrawals (target retirement date)
 Funds are Professionally Managed
Allocation Mix Adjusted Automatically over the years as the
retirement year approaches*
Please note that as with all mutual funds, the principal value of a Lifecycle
Fund isn’t guaranteed. Also, please note that the target date of a Lifecycle
Fund is an approximate date when investors may begin withdrawing from
the Fund.
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* Approximately seven to ten years after a Lifecycle Fund’s target date, the fund may merge into the Lifecycle Retirement
Income Fund or a similar fund.
TIAA-CREF Lifecycle Funds share the risks associated with the types of securities held by each of the underlying funds in
which they invest. In addition to the fees and expenses associated with the Lifecycle Funds, there is exposure to the fees
and expenses associated with the underlying mutual funds as well.
Building Your Own Portfolio
New investment menu features a variety of funds from
different companies
Make
–
Get
your own selections
Choose from a variety of mutual funds and variable annuities
guidance with Asset Allocation Evaluator
Get
personalized fund-level advice from
noncommissioned consultants1
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TIAA CREF compensates the consultants through a salary-plus-incentive program based on client service excellence
and financial results. Advisors will only recommend products that help achieve our clients’ goals.
1
Investment Advice
Personalized Fund-Level Advice
–
based on your goals
–
developed through partnership with
Ibbotson Associates
1. How much do I need to save now?
2. How should I allocate my portfolio?
3. When can I retire?
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QUESTIONS?
For Institutional Investor Use Only. Not For Distribution To The General Public.
Investment products are not FDIC insured, may lose value and are not bank
guaranteed.
You should consider the investment objectives, risks, charges and expenses
carefully before investing. Please call 1-800-842-2252 for additional copies, or
visit tiaa-cref.org for a current prospectus that contains this and other
information. Please read the prospectus carefully before investing.
The tax information contained herein is not intended to be used, and cannot be used, by any taxpayer for the purpose of
avoiding tax penalties that may be imposed on the taxpayer. It was written to support the promotion of the products and
services addressed herein. Taxpayers should seek advice based on their own particular circumstances from an independent tax
advisor.
TIAA-CREF Individual & Institutional Services, LLC and Teachers Personal Investors Services, Inc., members FINRA, distribute
securities products. Annuity contracts and certificates are issued by Teachers Insurance and Annuity Association (TIAA) and
College Retirement Equities Fund (CREF), New York, NY. Brokerage Services are provided by TIAA-CREF Brokerage Services, a
division of TIAA-CREF Individual & Institutional Services, LLC, members FINRA and SIPC.
Retirement Choice TIAA Contract form Series IGRS-01-5-ACC, IGRS-01-60-ACC, and IGRS-01-84-ACC; TIAA Certificate Series
IGRS-CERT1-5-ACC, IGRS-CERT1-60-ACC, IGRS-CERT1-84-ACC; CREF Contract form series CIGRS; CREF Certificate series:
CIGRS-CERT1.
Retirement Choice Plus TIAA Contract form Series IGRSP-01-5-ACC, IGRSP-01-60-ACC, IGRSP-01-84-ACC; TIAA Certificate
Series - IGRSP-CERT1-5-ACC, IGRSP-CERT1-60-ACC, IGRSP-CERT1-84-ACC; CREF Contract form series: CIGRSP; CREF
Certificate series: CIGRSP-CERT1.
©2010 Teachers Insurance and Annuity Association–College Retirement Equities Fund (TIAA-CREF), 730 Third Avenue, New
York, NY 10017
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Defined Contribution Plans