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403(b) plan

Plan details 

Welcome to your 403(b) retirement plan. Click below to view the features and highlights of your employer’s retirement plan. 

The plan highlights are only a brief overview of the plan's features and are not a legally binding document. The information in this section does not modify the terms of the plan and in the event of a conflict, the terms of the plan control.

Summary Plan Description

  • To review the Summary Plan Description for your 403(b) plan, click here.

Roth 403(b) Account

  • Click here to find out more about the Roth 403(b) account which gives you more savings opportunities for your retirement.

 

Take advantage today

Participation in the plan for purposes of elective deferrals is open to all employees except leased employees.

Please note, you are not eligible for the employer matching contribution if you are a student, intern, resident, fellow, temporary employee, leased employee, School Health employee who participates in STRS or SERS through the Akron Public Schools contract, FCLC Parent Consultants and Regional Coordinators, and physicians who perform administrative but not professional services.

Starting early has its advantages

Your elective deferral contributions

Your 403(b) plan allows you to make pretax contributions up to the maximum allowed by the Internal Revenue Code. 

Contribution Limit

A special provision may allow you to contribute more than this amount: 

  • If you have 15 years or more of service with Akron Children's Hospital, you may have an additional catch-up opportunity allowing you to contribute an additional $3,000 per year to a cumulative maximum of $15,000 over five or more years.

  • This is a true catch-up opportunity available only to those who have not contributed the full amount in the past. The additional amount is permitted only if your 403(b) contributions averaged less than $5,000 per year over the course of your employment with Akron Children's Hospital.

  • Check with your Human Resources office to see if you qualify to contribute this additional amount.

If you are age 50 or older and make the maximum allowable deferral to your plan, you are entitled to contribute an additional "catch-up contribution." 

You may increase or decrease your contributions once per month by viewing your account online. If you discontinue contributions, you may only start again as administratively feasible.

 

Employer matching contributions

Akron Children's Hospital will match 50% up to the first 4% of compensation that you contribute to the plan.

If you are an employee of Children's Home Care Group, Akron Children's Hospital will match up to 50% up to the first 6% of compensation that you contribute to the plan.

*** To be eligible for the employer match, you must be at least 21 years or older and complete one year of service in which you have worked 1,000 hours.

You are not eligible for the employer matching contribution if you are a student, intern, resident, fellow, temporary employee, leased employee, School Health Services employee who participates in STRS or SERS through the Akron Public Schools contract, FCLC Parent Consultants and Regional Coordinators, and physicians who perform administrative but no professional services.

 

Vesting

Vesting is a participant’s right of ownership to the money in his or her plan account. You are 100% vested in your employee and employer matching contributions plus any earnings they generate.

 

Accessing your money before retirement

Withdrawals

You may withdraw vested money from the plan if you meet one of the following requirements:  
 

  • Death

  • Attaining age 59½ (from employee contributions only)

  • Severance from employment

  • Disability

  • Retirement

Income taxes are payable upon withdrawal and federal withdrawal restrictions and a 10% federal tax penalty may apply to early withdrawals prior to age 59½. Be sure to talk with your tax advisor before withdrawing any money from your plan account.

 

Hardship withdrawals

If you have an immediate financial need created by severe hardship and you lack other reasonably available resources to meet that need, you may be eligible to receive a hardship withdrawal from your voluntary contributions. A hardship may include:
 

  • Medical expenses for you, your spouse or your dependent

  • Expenses directly related to the purchase of your principal residence

  • Tuition, fees, room and board, for post-secondary education for the next 12 months for you, your spouse, your children, or your dependents

  • Amounts required to prevent eviction from, or foreclosure on, your principal residence

  • Funeral expenses for your deceased parent, spouse, children or dependents

  • Repairs for uninsured or underinsured damage to your home due to theft, fire, storm or other casualty

If you feel you are facing a financial hardship, you should see your financial advisor for more details including important information regarding required documentation.

 

Loans

The plan is intended to help you put aside money for your retirement. However, Akron Children's Hospital has included a plan feature that enables you to access money from the plan tax free without permanently reducing your account. Below is a summary of provisions in your 403(b) loan program.
 

  • The amount the plan may loan to you is limited by rules under the tax law. All loans will be limited to the lesser of: one-half of your vested account balance or $50,000.

  • Loans may only be taken from all of your vested contributions (employee, employer matching and rollovers) and earnings on those amounts.

  • The minimum loan amount is $1,000.

  • All loans must generally be repaid within five years. A longer term may be available if the loan is to be used to purchase your principal residence.

  • You may take a new loan once every three years and you may only have one loan outstanding at a time.

  • You pay interest back to your account. The interest rate on your loan will be Prime Rate plus 1%.

  • A $50.00 processing fee for all new loans and a $30.00 per year maintenance fee are charged to your account.

Unpaid loan amounts will be taxed as ordinary income and may incur a 10% federal tax penalty if you are under age 59½.

 

Other requirements and limits must be met prior to borrowing money from your accounts. For additional information regarding loans, please see your financial advisor. Refer to the Summary Plan Description for more details about the participant loan feature.

An array of investment choices

The following mutual funds and VALIC Fixed Interest-Option are available in your retirement plan. They provide you with the flexibility you need to create a suitably diversified portfolio that matches your personal retirement time horizon, investment risk tolerance and investment preferences.

You decide how to invest your plan account, selecting from investment choices provided under the plan, as determined by Akron Children's Hospital. You may change your investment choices once per month.
 

To view or print a prospectus, access “Prospectuses and Other Important Materials”. The prospectus contains the investment objectives, risks, charges, expenses and other information about the respective investment companies that you should consider carefully before investing. Please read the prospectus carefully before investing or sending money. You can also request a copy by calling 1-800-428-2542.