DC Plan Overview
Below are some of the important features about your Cedars-Sinai Defined Contribution (DC) 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 us.
The Cedars-Sinai DC Plan is a type of defined contribution retirement plan available to employees of hospitals and certain other tax-exempt organizations under the Internal Revenue Code. Under the DC Plan, Cedars-Sinai deposits a contribution to your DC Plan 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 provides the DC Plan contribution schedule:
|DC Plan Contribution Schedule|
|Years of Eligible Service||Contribution Rate|
|1 to 4||3.0% of pay|
|5-9 years||4.0% of pay|
|10-14 years||5.5% of pay|
|15-19 years||8.0% of pay|
|20 or more||11% of pay|
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 to the DC Plan 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 Plan has no effect on your potential Social Security benefits. The DC Plan is just one retirement plan available to you as an employee of Cedars-Sinai. Cedars-Sinai also provides a Defined Benefit (DB) and 403(b) Plan. Learn more about the 403(b) retirement plan.
After you have completed one year of employment at Cedars-Sinai with a minimum of 1000 paid hours, you are eligible to choose to participate in either the Cedars-Sinai DC Plan or the Cedars-Sinai DB Plan. At that time, you will receive a packet of information 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, which is described in the 403(b) Plan section of this website.
You should consider the investment objectives, risks, and charges and expenses of the mutual funds 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. Early withdrawals taken prior to age 59½ from a 403(b) plan will be subject to an IRS 10% premature distribution penalty tax, unless an exception applies. Money taken from the plan will be taxed as ordinary income in the year the money is distributed. Account values fluctuate with market conditions, and when surrendered the principal may be worth more or less than the original amount invested. Voya StabilizerSM is offered under a group annuity contract. 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.
For 403(b)(1) fixed or variable annuities, employee deferrals (including earnings) may generally be distributed only upon your: attainment of age 59½, severance from employment, death, disability, or hardship. Note: Hardship withdrawals are limited to employee deferrals made after 12/31/88. Exceptions to the distribution rules: No Internal Revenue Code withdrawal restrictions apply to ’88 cash value (employee deferrals (including earnings) as of 12/31/88) and employer contributions (including earnings). However, employer contributions made to an annuity contract issued after December 31, 2008 may not be paid or made available before a distributable event occurs. Such amounts may be distributed to a participant or if applicable, the beneficiary: upon the participant's severance from employment or upon the occurrence of an event, such as after a fixed number of years, the attainment of a stated age, or disability. For 403(b)(7) custodial accounts, Employee deferrals and employer contributions (including earnings) may only be distributed upon your: attainment of age 59½, severance from employment, death, disability, or hardship. Note: hardship withdrawals are limited to: employee deferrals and ’88 cash value (earnings on employee deferrals and employer contributions (including earnings) as of 12/31/88).
Not FDIC/NCUA/NCUSIF Insured | Not a Deposit of a Bank/Credit Union | May Lose Value | Not Bank/Credit Union Guaranteed | Not Insured by Any Federal Government Agency
Insurance products, annuities and retirement plan funding issued by (third party administrative services may also be provided by) Voya Retirement Insurance and Annuity Company, One Orange Way, Windsor, CT 06095-4774. Securities are distributed by Voya Financial Partners LLC (member SIPC). Custodial account agreements or trust agreements are provided by Voya Institutional Trust Company. All companies are members of the Voya® family of companies. Securities may also be distributed through other broker-dealers with which Voya has selling agreements. Insurance obligations are the responsibility of each individual company. Products and services may not be available in all states.