Type of Plan

IRC Section 403(b)

Who's Eligible

Members of the Public Employees' Retirement System (PERS) and Police and Firemen's Retirement System (PFRS)

Employee Contribution

You may contribute between 1% and 10% of your base salary.

Limits:

  • Under age 50: A combined pre-tax and after-tax contributions: $18,000 in 2017
  • Age 50 & Over: A maximum pre-tax and after-tax contributions: $24,000 in 2017

How it Works

SACT is a voluntary investment program that provides retirement income in addition to your basic pension plan. Contributions are invested conservatively in the stock market.

SACT Regular Plan

Contributions are made post-tax. When funds are withdrawn, contributions are not subject to federal tax. However, your earnings are taxable.

SACT Tax-Sheltered Plan

A portion of your salary is tax deferred. Federal income tax is not due on deferred amounts or accumulated earnings until you receive a distribution (payment) from your account.

How to Enroll

  • Enrollment is done on a quarterly basis.
  • Complete a SACT Enrollment Request.
  • Complete a SACT Salary Reduction Agreement required for SACT Tax Sheltered Plan.
  • Mail completed forms to University Human Resources, 57 US. Highway 1, New Brunswick, NJ 08901-8554. Campus mailing address: ASB II, Cook Campus.
  • University Human Resources will certify the enrollment and forward it to the SACT office. Enrollment will be effective the 1st of the next quarter.

How to make Changes

  • You may change or suspend your salary reduction amount by completing and submitting a SACT Salary Reduction Agreement form to University Human Resources, 57 US. Highway 1, New Brunswick, NJ 08901-8554. Campus mailing address: ASB II, Cook Campus.
  • University Human Resources will certify the change and forward it to the SACT office. The change will be effective the 1st of the next quarter.
  • The SACT Salary Reduction Agreements may be filed quarterly.