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FIRST QUARTER
2015
Do you understand your DC 401(a) Retirement Plan?
The DC 401(a) Retirement
Plan is a defined contribution
plan that allows assets to
accumulate for your retirement
on a tax-deferred basis. It is
one part of a total retirement
program that includes Social
Security and the voluntary
District of Columbia 457
Deferred Compensation
Plan (DCPLUS).
You were automatically enrolled in the
DC 401(a) Retirement Plan after one year
of creditable service if you were hired for the
first time on or after October 1, 1987 (except
police officers, firefighters, teachers and
Civil Service Retirement System employees).
The Plan does not accept contributions by
participants. The District contributes 5%
of your base salary (5.5% for detention
officers) into your participant account
under the DC 401(a) Retirement Plan at
Voya Financial®.
You may choose how to invest your account
in any combination of the Plan’s investment
options. If you do not make an investment
election before the District makes the
first contribution to your account, the
contributions are automatically invested
in the target retirement date fund for
the year you are anticipated to retire,
based on your age.
A target retirement date fund offers a
diversified investment mix that gradually
shifts its emphasis from more aggressive
investments to more conservative ones
based the fund’s target retirement date.
The year in the fund name refers to the
approximate year (the target date) when a
Plan participant in the fund might retire and
leave the workforce. Investments in target
retirement date funds are subject to the risks
of their underlying funds. An investment
in the target retirement date fund is not
guaranteed at any time, including on or
after the target date. While this default
option may be a good choice for you,
it’s important to know that you have
the opportunity to select your own mix
of options for your account at any time.
Your right to access the amount in your
account is based on a vesting schedule
of creditable service years. The entire
amount belongs to you once it is fully
vested. The D.C. Department of Human
Resources (DCHR) reviews your employment
history to determine your account’s vesting
percentage. If you see an error in the vesting
information on your account statements,
call DCHR at (202) 442-7627.
Generally, you receive your vested
account balance when you retire. You
have many distribution choices: payment in
installments, specific dollar amounts or a
lump sum; rollovers into another eligible
retirement plan in which you are a participant
or your individual retirement accounts that
accept rollovers; the purchase of an annuity
to provide guaranteed monthly income; or a
combination of these payout options. Keep
in mind that IRS rules provide that you must
begin taking your first required minimum
distribution from your account by April 1st
following the year in which you reach age
70½ or the year in which you retire,
whichever is later. Amounts distributed to
you will be subject to applicable federal,
state and DC income tax withholding.
Consider all of your options before making
a financial or investment decision.
The Plan Summary contains complete details to
help you understand the DC 401(a) Retirement
Plan. Go to dc401a.voyaplans.com or call
(866) 772-4012 for the Plan Summary and
fund fact sheets. Prior to investing, be
sure to read the fund fact sheets and review
all fund information, including investment
objectives, risks, fees and fund pricing
information.
Plan Information Line: (866) 772-4012
Plan website: dc401a.voyaplans.com
Live seminars to sharpen your investing skills
As a DC 401(a) Retirement
Plan participant, you have
access to live and online
financial education seminars
at no additional charge.
For details or to register, go to
dc401a.voyaplans.com and select
Retirement Education Seminars on
the login page. All of this quarter’s
live seminars are designed to help
you feel more comfortable with
investing for your retirement. Two
of the seminars are brand new!
Asset Allocation explains how Plan participants can take advantage of two strategies
investment professionals use to guide their investment choices and help manage risk.
April 10
1-2 p.m.
Room 838
441 4th Street NW, 8th Floor Northside
May 8
1-2 p.m.
Room 844
441 4th Street NW, 8th Floor Northside
NEW! Investor Behavior looks at common pitfalls to be avoided when investing
for a long-term goal such as retirement.
April 23
12-1 p.m.
Martin Luther King Jr. DC Public Library, Room 419
901 G Street NW
May 28
12-1 p.m.
Martin Luther King Jr. DC Public Library, Room 419
901 G Street NW
NEW! Retirement Planning for Women addresses what women can do at every
stage of their careers to make the most of their money.
April 28
12-1 p.m.
Department of Public Works
Reeves Center, 6th Floor Conference Room
2000 14th Street NW
May 26
12-1 p.m.
Department of Public Works
Reeves Center, 6th Floor Conference Room
2000 14th Street NW
Target Retirement 2010 Fund change
The State Street Global Advisors (SSgA) target retirement date funds in the DC 401(a)
Retirement Plan investment lineup are professionally managed to gradually change the
underlying investment mix from aggressive to conservative as the target year approaches.
Five years after reaching the target year, the fund is absorbed into the SSgA Target
Retirement Income Fund, which is managed for investors in or ready for retirement.
On April 1, the assets in the SSgA Target Retirement 2010 Fund were transferred into the
SSgA Target Retirement Income Fund. Participants with assets in the fund were notified
by mail in advance of the change, and no action was required. For the fund fact sheet,
go to dc401a.voyaplans.com or call (866) 772-4012. You should carefully read and review
all information prior to making any investment decisions.
Contact Information:
dc401a.voyaplans.com
(866) 772-4012
DC Local Office:
441 4th Street NW
Room 340 North
Information from registered Plan Service Representatives is for educational purposes only and is not legal, tax
or investment advice. Local Plan Service Representatives are registered representatives of Voya Retirement
Advisors, LLC (member SIPC).
This newsletter is not intended to provide legal, tax or investment advice. For such advice, participants should
contact their legal, tax or investment advisers. © 2015 Voya Services Company. All rights reserved.
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quarterly calendar
Transactions made on these dates when the
New York Stock Exchange (NYSE) is closed
will be processed the following business day
that the NYSE is open.
• Monday, May 25, 2015
• Friday, July 3, 2015
CN-0215-11895-0317
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