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Tax Deferred Compensation Plan

457(b) Supplemental Retirement

Eligible Employees

Classified  |  Operational  |  Executive  | 12-Month Professional & Faculty | 12-Month Postdoc |  9-Month Professional, Faculty & Postdoc  |  Hourly

William & Mary offers both a 457(b) Deferred Compensation Plan (DCP) and a 403(b) Tax Sheltered Plan as supplemental retirement plans.

The 457(b) Deferred Compensation Plan offers you the opportunity to contribute up to $22,500 ($30,000 if over age 50) of your annual salary. The contributions are made on a pre-tax basis.

Frequently Asked Questions
A single-column table of collapsible items for formatting purposes.
Why add a supplemental retirement plan?

Benefits of either a DCP or TSA Supplemental Retirement Plan:

  • Your contributions are automatically made through payroll deduction;
  • A variety of investment choices are available;
  • You don't pay federal or Virginia income tax on the deferrals, earnings on your account, or your plan account savings;
  • State employees who contribute the specified amount receive an employer-paid cash match (does not pertain to hourly employees); and
  • You choose the amount you want to save, subject to tax code and plan limits.
Can I participate in both the 403(b) and 457(b) plans?

Yes! As an employee of the university, you have the opportunity to contribute up to the maximum in BOTH a 403(b) TSP plan and the 457(b) Deferred Compensation plan at the same time. However, you are only eligible to receive the cash match with one plan (does not pertain to hourly employees). Employees who join both plans will default their cash match plan to the 457(b) unless they specify otherwise.

The Virginia Cash Match Plan 401(a) (does not pertain to hourly employees)
The Virginia Cash Match Plan is an employer-paid program offering a 50% employer match on one plan only, with a cap of $20.00 per pay period.

* Note: Employees who are enrolled in the Virginia Retirement System Hybrid Retirement Plan must be contributing a total of 9% to the hybrid plan in order to be eligible for the cash match program.

If you are interested in participating in either the 457(b) or 403(b) with a cash match plan, please contact University Human Resources at 757-221-3169 or email [[AskHR]] for assistance.

How do I enroll?

403(b) Tax Sheltered Plan: Our Benefits staff have literature and enrollment forms for the 403(b) plans.  The effective date of enrollment and contributions in a tax shelter annuity must be the first day of the pay period, the 10th or 25thYou may also enroll using the Retirement@Work platform.

457(b) Deferred Compensation Plan: To enroll, please contact MissionSquare at 877-327-5261 to enroll and/or make changes to your contribution amount or fund lineup.

How do I update beneficiary information?

Participants in the Commonwealth of Virginia 457 Deferred Compensation Plan should log in to MissionSquare's AccountAccess website to update beneficiary information for their defined contribution accounts.

Who is the vendor of the Deferred Compensation Plan? 

VA DCP  | 1-877-327-5261

Review current investment option performance

Maximum Limitations on Contributions
A table displaying the Maximum Limitations on 403(b) or 457 Contributions
Calendar Year
403(b) Limits
457 Limits
Over 50
2022 $20,500 $20,500 $27,000
2023 $22,500 $22,500 $30,000
2024 $23,000 $23,000 $30,500