New Jersey State Employees Deferred Compensation Plan.pdf
PDF 232 KB Posted
- Attached to
- T2327 - Defined Contribution Retirement Program Administrative Services: NJSEDCP & NJDCRP
- Solicitation number
- 26DPP01201
- Issued by
- New Jersey
About this file
This document is a product description and overview of the New Jersey State Employees Deferred Compensation Plan (NJSEDCP), a 457(b) governmental defined contribution retirement plan administered by the State of New Jersey Department of the Treasury. The NJSEDCP offers participants the ability to defer a portion of their compensation on a pre-tax basis through an employer-sponsored plan. The plan provides access to various investment options managed through the Prudential Trust Company, with assets held in a group contract basis. Participants may make contributions throughout their employment, with the plan offering flexible withdrawal and distribution options in accordance with Internal Revenue Code Section 457(b) regulations. The plan is designed to serve New Jersey state employees and allows for individual participant account valuations, investment management across multiple fund options, and professional administrative services. The contract for administrative services operates on a defined term basis with renewal options available, and administration may include provisions for payroll deductions, recordkeeping, and distribution services from the plan's investment holdings.
Pricing for plan administration is structured to be borne entirely by participants through either flat-dollar-per-participant fees or revenue sharing arrangements derived from plan investments. The incumbent service provider is Prudential, which currently manages plan assets, investment options, and participant account administration. The plan collectively manages substantial assets with thousands of active participants across multiple employer locations. No specific small business or disabled veterans' business enterprise set-asides are designated for this plan's administrative services. Funding for plan operations and participant benefits is derived exclusively from participant contributions and investment earnings, with the State of New Jersey bearing no direct costs. The plan requires service providers to maintain professional liability insurance and cyber security breach insurance to protect participant assets and ensure regulatory compliance under ERISA and IRC Section 457(b) requirements.
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