403(b) Tax-Sheltered Annuity Plans
South San Antonio ISD offers all employees the opportunity to enroll in supplemental retirement plans called 403b annuities through the District's Third-Party Administrator - National Benefits Services (NBS). National Benefits Services does not recommend investment products or investment providers. Instead, NBS's role is that of gatekeeper and Administrator responsible for the administration and compliance of each employee participating in the Plan as well as the District's Plan through payroll deductions.
THE OPPORTUNITY
You have the opportunity to save for retirement by participating in your Employer’s 403(b) retirement plan. A 403(b) plan is a retirement plan for certain employees of public schools, tax-exempt organizations and ministries. An Employee can only obtain a 403(b) annuity or custodial account under an employer’s 403(b). These annuities and custodial accounts are funded by employee elective deferrals made under salary reduction agreements, employer contributions or a combination of both.
WHY SAVE WITH 403(b)?
1. You do not pay income tax on allowable contributions until you begin making withdrawals from the plan, usually after your retirement.
2. Pre-tax investment gains in the plan are not taxed until distribution and eligible ROTH investment gains are tax free.
3. Generally, retirement assets can be carried from one employer to another.
HOW MUCH CAN I CONTRIBUTE ANNUALLY?
In 2025, you may contribute up to $23,500 if you are 49 years of age or below and up to $31,000 if you are 50 years of age and over. You may also be entitled to additional catch-up provisions like the 15 Year Service - Catch-up.