2020 Deferral Limits for Voluntary Retirement Savings
The annual deferral limit for 403(b) and 457(b) retirement savings plans increase to $19,500 in 2019. These limits apply to pre-tax and after-tax (Roth) contributions combined in the following plans:
- The VCU 403(b) Tax Deferred Annuity Plan (“TDA")
- The Commonwealth of Virginia 457(b) Deferred Compensation Plan (“DCP”)
- The Virginia Retirement System (VRS) Hybrid 457Plan (available to Virginia Retirement System Hybrid Plan participants only)
Note to Hybrid Plan participants: Voluntary contributions to the VRS Hybrid Plan are made to the VRS Hybrid 457. These contributions count toward the same 457(b) limit as contributions to the Commonwealth of Virginia 457(b) Deferred Compensation Plan (“DCP”). Combined contributions to both plans may not exceed the 457(b) limit.
Employees eligible for the age 50+ catch-up may defer an additional $6,500 to 403(b) and/or 457(b) plans in 2020.
Employees who wish maximize the new limits in VCU plans may make contribution election changes as follows:
- Contribution changes for the VCU 403(b) Tax Deferred Annuity Plan (“TDA”) are made using the Salary Reduction Agreement. Return the completed form to VCU Payroll as instructed on the form. For changes to be effective with the first January paycheck, the form must be received by VCU Payroll no later than Monday, January 6, 2020.
- Contribution changes for the Commonwealth of Virginia 457(b) Deferred Compensation Plan (“DCP”) are made online at www.varetirement.org/dcp or by phone to (877) 327-5261. For changes to be effective with the first January paycheck, changes must be completed by December 31, 2019 at 4:00 p.m.
- Voluntary contribution changes for the VRS Hybrid Plan are made online at www.varetirement.org/hybrid or by phone to (877) 327-5261. For changes to be effective with the first January paycheck, changes needed to be completed by December 16, 2019 at 4:00 p.m.
These limits apply to all 403(b) and 457(b) plans in which a person participates during 2020. If you participate in plans outside of VCU that fall under the same limits, you must ensure that your combined contributions to VCU plans and all like plans outside of VCU do not exceed the limits. For more information about this topic, see 2020 Deferral Limits.
Updated Optional Life Insurance premiums
Premiums for optional life insurance are updated at the beginning of each year. The 2020 premium update will be reflected in January to include any changes to your salary since the last premium update and any changes to your age group for calendar year 2019. To review the rates, check out the program brochure.
VRS Hybrid Plan member contributions and employer matches automatically increase in Januray, 2020
If you joined on or before September 2019, your paycheck contributions and VCU's matches automatically increase effective with your January 16, 2020 paycheck. To find out more, or opt out, see: http://www.icmarc.org/x3333.xml?RFID=WC1185.
Signing up for benefits? Making changes? ALEX is here to help!
ALEX for VCU is the new interactive benefits counselor for faculty members and University and Academic Professionals. Have chat with ALEX about health coverage, flexible spending, retirement benefits, life insurance, and disability coverage by visiting www.myalex.com/vcu/2019 from your computer, smartphone, or mobile device.
Have a question about your benefits? Visit the benefits blog to review FAQs.
Important health benefits updates for July 1, 2019
Please be aware of the following important changes effect July 1, 2019:
- COVA Care and COVA High Deductible Health Plan member ID numbers will begin with FVI and benefits will no longer process under the old YTX member ID numbers. Members will receive new ID cards from Anthem
- The pharmacy benefits manager for COVA Care and COVA High Deductible Health Plan will change from Express Scripts to Anthem Pharmacy Delivered by IngenioRx. Updated pharmacy group information is included on the new member ID cards. There is no interruption in retail access, however mail order prescriptions must be submitted to Anthem Pharmacy beginning July 1st.
- The pharmacy benefits manager for COVA HealthAware will change from Aetna to Anthem Pharmacy Delivered by IngenioRx. Members will receive new ID cards directly from Aetna, including updated pharmacy information.
- The dental benefits administrator for COVA HealthAware will change from Aetna to Delta Dental. Updated dental information is included on the new member ID cards.
- The flexible spending administrator will change from Anthem/Conexis to PayFlex effective July 1, 2019. Any outstanding claims for the plan year ended June 30, 2019 must be submitted to Anthem/Conexis using paper claim forms. 2019-2020 health FSA participants will receive a PayFlex debit card. See the FSA SourceBook for details.
VCU benefits announcements on social media will come only from VCU social media accounts
VCU Human Resources has become aware that some social media users who have identified themselves as VCU employees may be receiving offers from “Virginia Insurance Review” on Facebook and other platforms. VCU Human Resources does not endorse or recommend this service. For information about insurance provided to salaried employees at VCU, please see life insurance and disability insurance.
Health benefits elections and changes
The state's Employee Direct system is currently unable to process health benefits elections and changes outside of Open Enrollment. Please use the current health benefits enrollment form to submit changes or make elections.
COVA Care and COVA HealthAware participants are eligible to earn premium rewards for the plan year July 1, 2019 - June 30, 2020. For information and instructions, see the Premium Reward Requirements and Premium Reward FAQ.