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The Nova Southeastern University 457(b) Deferred Compensation Plan is set up to provide deferred compensation primarily for a select group of eligible management and highly compensated employees, as defined in subsection 201(2), 301(a)(3) and 401(a)(1) of the Employee Retirement Income Security Act of 1974 and amended under section 457(b) of the U.S. Internal Revenue Code. This plan is designated to allow eligible employees to defer income above the 401(k) plan limits.

457(b) Plan Eligibility

If your annual earnings exceed the threshold for eligibility, you will be notified by TIAA. In general, there is no advantage to participating in the NSU 457(b) Plan unless you are meeting your 401(k) contribution limits. 

Matching and Vesting

The NSU 457(b) Plan does not provide an employer match on employee contributions. All contributions are immediately vested. 

Contribution Limits

Annual limits are generally set by the IRS each year in October for the next calendar year and are listed below for 2024, effective January 1, 2024 through December 31, 2024 and 2025, effective January 1, 2025 through December 31, 2025.

2024 Calendar Year Limit:

• Employee: $22,500

2025 Calendar Year Limit:

• Employee: $23,500 

Retirement Plan Loans and Withdrawals

Loans and withdrawals are not available for the 457(b) Plan. 

Distributions

Within 60 days after separation from employment you must elect one of the following options:

• Lump Sum Payment (100% vested immediately)
• Fixed Period Annuity or Installments
• Lifetime Annuity
• Required Minimum Distributions
  • Once you separate employment, RMDs are mandatory, minimum, yearly withdrawals that generally must be taken starting in the year you turn age 72.

If you do not make an election within the 60-day window after separation of service, it will be paid as a Lump Sum Payment, which is a taxable event. The Plan does not allow for rollover distributions.