Below are the important features about the Plan. This website is intended to be a summary of the plan provisions. In the event that a conflict exists between the information contained within this website and the plan document, the plan document provisions prevail. For more information, please contact your local Financial Professional.
Contributions
Any contributions that you make to your Texas A&M Tax Sheltered Annuity (TSA) 403(b)(1) annuity contract after 12/31/88 and any earnings on the total account value that accumulates after 12/31/88 may only be withdrawn under one or more of the following circumstances:
- Severance from employment;
- Attainment of age 59½;
- Your death or disability; or
- Financial hardship.
There are no Internal Revenue Code (IRC) withdrawal restrictions on employee deferrals (including earnings) prior to 12/31/88 or any employer contributions (including earnings).
Note: Financial hardship withdrawals are limited to:
- Employee Deferrals made after 12/31/88.
Any contributions that you make to your Texas A&M TSA 403(b)(7) custodial account which offers mutual funds may only be withdrawn under one or more of the following circumstances:
- Severance from employment
- Attainment of age 59 ½
- Your death or disability, or
- Financial hardship.
Note: Financial hardship withdrawals are limited to:
- Employee Deferrals; and
- Earnings on any employee deferrals and employer contributions (including earnings) as of 12/31/88.
For both the 403(b)(1) annuity contract and the 403(b)(7) custodial account which offers mutual funds, an Internal Revenue Service (IRS) 10% premature distribution penalty tax may be assessed on withdrawals unless you:
- Are age 59 ½;
- Become disabled or die;
- Separate from service in the same year or later than the year in which you reach age 55;
- Receive the funds under a settlement option payable over your lifetime or the lifetimes of you and your beneficiary;
- Use the funds to pay sizable medical bills not covered by insurance;
- Use the funds to pay a federal tax levy;
- Make payments made under a qualified domestic relations order; or
- Exchange the funds for another 403(b) account or rollover the funds into an IRA.
Under the Plan, the maximum annual contribution amount is set by Internal Revenue Service (IRS) guidelines on a yearly basis. You may view the current limits here.
Distribution Options
When you are ready to retire, under the 403(b)(1) annuity contract you may choose from several disbursement options including:
- Lump sum withdrawal;
- Partial withdrawal;
- Systematic withdrawal by specifying a percentage, a dollar amount, or a time period;
- Payments guaranteed for your lifetime or for as long as either you or your beneficiary are alive. Guarantees are based on the claims-paying ability of VRIAC. A 1.25% mortality and expense (M&E) risk charge applies to payments made on a variable basis during annuitization.
Under the 403(b)(7) custodial account which offers mutual funds, there are no systematic payouts, guaranteed lifetime or guaranteed specified period payment options available. When you retire, you may:
- Request a full or partial withdrawal (may be subject to federal withholding and possible tax penalties).
- Utilize the funds to purchase a single premium immediate annuity.
- Rollover to an IRA or another eligible retirement plan.
Voya does not offer tax advice. Please consult a tax advisor or attorney before making a tax-related investment/insurance decision.
You should consider the investment objectives, risks, and charges and expenses of the variable product and its underlying fund options; or mutual funds offered through a retirement plan, carefully before investing. The prospectuses/prospectus summaries/information booklets contain this and other information, which can be obtained by contacting your local Financial Professional. Please read the information carefully before investing.