DC Retirement Plan

Below are some of the important features of the Cedars-Sinai Defined Contribution (DC) Retirement 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 and the plan document, the plan document provisions prevail. For more information, please contact us.

The Cedars-Sinai DC Retirement Plan is a type of defined contribution retirement plan available to Cedars-Sinai employees under the Internal Revenue Code. Through the DC Retirement Plan, Cedars-Sinai deposits a contribution to your account for each quarter you participate in the Plan. The amount of the quarterly contribution is defined based on your pay and years of eligible service. The chart below details the Plan’s contribution schedule:

DC Retirement Plan Contribution Schedule

As a participant in the DC Plan, you determine how the contributions from Cedars-Sinai are allocated among the investment options available under the Plan.

Contributions and their earnings, if any, accumulate tax-free and are not taxed until you receive them, typically when you retire. Withdrawals prior to age 59½ will be subject to an IRS 10% premature distribution penalty tax unless an exception applies. Also, participation in the DC Retirement Plan has no effect on your potential Social Security benefits. The DC Retirement Plan is just one option available to you as a Cedars-Sinai employee. Cedars-Sinai also offers a Defined Benefit (DB) and 403(b) Retirement Plan. Learn more about the 403(b) Retirement Plan.

Eligibility

You are eligible to choose to participate in either the Cedars-Sinai DC Retirement Plan or the Cedars-Sinai DB Plan after you have completed one year of employment at Cedars-Sinai with a minimum of 1,000 paid hours. At that time, you will receive an information packet from Cedars-Sinai to help you decide which Plan is the best retirement savings option for your circumstances. Upon eligibility, you must select between the DC and DB Plan. You cannot participate in both. For additional retirement savings, you may enroll in the Cedars-Sinai 403(b) Retirement Plan. Learn more about the 403(b) Retirement Plan.

You should consider the investment objectives, risks, and charges and expenses of the investment options offered through a retirement plan, carefully before investing. The fund prospectuses and information booklet containing this and other information can be obtained by contacting your local representative. Please read the information carefully before investing.

Mutual funds under a custodial or trust account agreement are intended as long-term investments designed for retirement purposes. Money distributed from a 403(b) plan will be taxed as ordinary income in the year the money is distributed. Early withdrawals from a 403(b) plan, if taken prior to age 59½, will be subject to the IRS 10% premature distribution penalty tax unless an exception applies. Account values fluctuate with market conditions, and when surrendered the principal may be worth more or less than the original amount invested. A group fixed annuity is an insurance contract designed for investing for retirement purposes. The guarantee of the fixed account is based on the claims-paying ability of the issuing insurance company. Although it is possible to have guaranteed income for life with a fixed annuity, there is no assurance that this income will keep up with inflation. An annuity does not provide any additional tax deferral benefit; tax deferral is provided by the plan. Annuities may be subject to additional fees and expenses to which other tax-qualified funding vehicles may not be subject. However, an annuity does offer other features and benefits, such as lifetime income payments and death benefits, which may be valuable to you.