RBG (rev. 4/04) RGB MEETING THE CHALLENGES AHEAD Getting the Most Value from Your Retirement Plans

RBG (rev. 4/04) RGB Key Benefit Plans State Retirement System = defined benefit plan for income Qualified Plan Opportunities (403(b), 457, Roth, etc…) Social Security

RBG (rev. 4/04) RGB Review your state pension plan - Enroll in MBOS - Understand the Financial Value of TPAF 2.Know Qualified Plan opportunities 3.Review asset allocation - Fixed Assets vs. Variable Assets 4.Health check-up 5. Understanding Social Security Keys for Retirement

RBG (rev. 4/04) RGB Understand value 2. Retirement- How? When? 3. Options 4. Life insurance 5. Health Pension Review

RBG (rev. 4/04) RGB The Economic Growth and Tax Reconciliation Act of 2001 enhanced retirement savings options Increased plan limits 403(b), 457(b), + 401(a) Pay accumulated sick and vacation time as post- retirement plan contributions Employer contributions Roth 403(b) – January 2006 New Tax Legislation Provides You Greater Options

RBG (rev. 4/04) RGB Limits 403(b)/ 457(b) limits 403(b) - 17,500/ 23,000/ 26, (b) - 17,500/ 23,000/ 3 year catch-up Employee vs. Employer contributions Overall 403(b) / (415(c)) contribution limit up to 51,000/year (plus age 50+/$5,500) - This includes employer and employee limits 401(a) Similar Limits Qualified Plan Options

RBG (rev. 4/04) RGB Employer Contributions Employer Match – attracts + retain key administrators Sick and vacation 403(b) Post Retirement contributions - Contributions can be made for 5 years after retirement - No payroll taxes - No income taxes until money is withdrawn from the 403(b) plan* Qualified Plan Options * Withdrawals prior to age 59½ may be subject to an additional 10% income tax penalty.

RBG (rev. 4/04) RGB You Choose Qualified Plan Designs Design Plan(s) for district and personal needs- 401(a) for benefits package 403(b) for employee benefits and post-employment contributions Pair with 457(b) for double deferral or potential for pre- 591/2 access Note: Total possible 2013 limits with all three $ 100,000+

RBG (rev. 4/04) RGB So Many New Opportunities for You and Your Employees! Avoid “problematic” severance pay “plans” (new guidance) Maximize savings with multiple plans and multiple catch up options Convert unused leave pay to retirement benefits Make employer contributions for up to 5 years after employees leave

RBG (rev. 4/04) RGB Our Company Facts about AXA Financial Over $489.3 billion in assets under management, as of 12/31/ ,000 public schools nationally 592 New Jersey Schools NJ Higher education

RBG (rev. 4/04) RGB Thank You!