There are many reasons to participate in a 403(b) plan, including significant tax advantages:

• It is tax-deferred, which means you pay no current income tax on the money you contribute or on your investment earnings.
• Since taxes aren’t taken out of contributions to your 403(b), the amount that goes into your savings account is typically higher than the reduction in your take-home pay.
• Your 403(b) is portable: If you change jobs, your savings go with you.
• Your supplemental retirement savings will help secure your financial future by filling in the gap between the income you can except to receive from the Florida Retirement System and Social Security and your actual retirement needs.

The Independent Benefits Council (IBC) is a not-for-profit organization formed in 2007 by four of Florida’s leading education groups — the Florida Education Association, the Florida Association of School Administrators, the Florida School Boards Association and the Florida Association of District School Superintendents. The IBC works on employee benefits issues for which a statewide approach would likely benefit public school employees and employers, compared with district-by-district action.

Established by the IBC, the Model Plan brings together a set of preferred products for Florida’s school employees’ supplemental retirement savings within 403(b) plans. Investment products and the companies that provide them have been thoroughly vetted to ensure fairness and transparency in fees and costs, as well as high-quality performance and services. They are continually monitored to maintain these high standards and values.

Within the Model Plan, employees can invest in annuities, mutual funds, or a combination of both through multi-product accounts that combine these registered products. You can choose the product type that best meets your individual circumstances and your investment preferences.

Learn more about annuities and mutual funds.

Four investment companies comprise the Model Plan selected by the IBC to provide supplementary retirement products in the following categories:

Annuities

Equitable

PlanMember Services

Security Benefit

Suncoast Credit Union

Mutual Funds

PlanMember Services

Security Benefit

Suncoast Credit Union

Multi-Product Accounts

PlanMember Services

Security Benefit

Suncoast Credit Union

To start saving for your retirement, learn more about the options available in the FOR EMPLOYEES section.

From there, you can find a plan in your district. You can also work with one of the company’s representatives to decide the best options for investing your 403(b) savings.

Yes. The Model Plan was designed to meet the supplementary retirement investment needs of all school employees. Because of the diversity of products available from Model Plan companies, participants will find options that meet their individual circumstances.

The Model Plan makes the investment decision less overwhelming and more manageable while maximizing the value to you.

When the Model Plan was established, all companies then offering 403(b) products in Florida’s school districts were invited to participate in the selection process. Some companies chose not to participate because they didn’t want to offer programs statewide, which is required by the Model Plan. Others felt their prices wouldn’t be competitive.

Ultimately, four companies possessed the IBC’s seal of approval for inclusion in the Model Plan. These companies offer high-quality products and services at fair prices to 403(b) participants in Florida, and are listed below:

• Equitable
• Security Benefit
• PlanMember
• Suncoast Credit Union

Yes. Several of the companies included in the Model Plan offer trained financial representatives to meet personally with you by phone or in person.

The amount of additional retirement savings depends on many factors, including the difference in investment returns and fees and how long you’re invested.

By selecting a Model Plan option, you can rest assured that the investment company and the investment product have been thoroughly vetted to ensure high quality at a fair price.

Yes. You choose the level of service you need from an investment plan provider. Total costs vary for specific products and services, but all investment options were vetted to ensure fairness and transparency in fees and costs, as well as high-quality performance and services.

Potentially. This is an important feature of the multi-product custodial account. PlanMember Services and Security Benefit offer hundreds of different mutual fund companies through their investment portfolios. Yours most likely is among them.