457 Deferred Compensation Plan Transition
The 457 Deferred Compensation Plan (457 Plan) is one of the two voluntary retirement plans offered through the University that transitioned to Fidelity as the sole service provider for new contributions on June 12, 2020. On this page, you will find information on how that transition affected the 457 Plan.
If you are a retiree, beneficiary, or former employee with a balance, you can find information on installment payments here.
What Is Staying the Same
- Employee contributions. Your current 457 Plan contribution elections will continue without interruption through the transition.
- Minnesota Life General Account Limited. The University has worked with Securian and Fidelity to continue offering this investment option in the new fund lineup.
Streamlined Investment Offerings
To make your investment decisions easier while still offering a meaningful choice of investment options, the University will group funds by investing styles.
- Target Date Funds—this is a single diversified fund solution approach to investing. The University will offer age-based target date funds that will automatically adjust your investment mix as you get closer to the retirement date.
- Core Funds—You can choose your own mix of investments from this low-cost lineup of funds selected by the University to provide a broadly diversified set of core options across short-term investments, bonds, and stocks. This also includes two options that focus on investing in alignment with environmental, social and governance ("ESG") related principles. The Minnesota Life General Account and Minnesota Life General Account Limited from Securian will be available as part of the core funds.
- Fidelity BrokerageLink®—this solution provides more options to investing where you can choose your own mix of investments from thousands of mutual funds within a Fidelity self-directed brokerage account.
Your Current Account Balance
Assets held at Securian and Vanguard will transfer to the 457 Plan already available at Fidelity. TIAA balances will not move to Fidelity as part of the transition to Fidelity. Contact TIAA for information on what options are available for your account.
Choose Your Investments
If you didn’t make an investment election for the new investment lineup during the Early Choice Window by March 17, 2020, your current balance and all future contributions will transfer according to the fund mapping strategy. Due to the transition delaying until June 12, more information on another window to make changes before the transition will be made available soon.
Starting with the paycheck closest to the transition, your contributions will be deposited in your Fidelity account. You can change the amount you contribute to the 457 Plan online once the plan is live in mid-June 2020.
Call Fidelity at 800-343-0860 for help or investment advice. To make an appointment with a Fidelity representative, call the Fidelity reservation line at 800-642-7131, go online to NetBenefits.com/UMN.
You can contact Total Compensation by calling 4-UOHR (612-624-8647 or 800-756-2363) and select option 1 or you can send an email to firstname.lastname@example.org.
For questions about your current account, call your current plan’s vendor.