Employer Update

General Assembly Session Opens January 10

The 2024 Virginia General Assembly gets underway Wednesday, January 10. You can track all VRS-related House and Senate bills online starting later this month.

New Resource Helps You Navigate DCP Record Keeper Transition

Beginning January 1, 2025, Voya will assume record-keeping responsibilities for VRS defined contribution plans. VRS and Voya are committed to a smooth transition, with minimal reporting changes for employers.

Be sure to bookmark the employer transition website to stay informed throughout the process. The site includes need-to-know items and key dates for employers and employees that will be updated as the transition unfolds.

IRS Sets 2024 Contribution Limits

The Internal Revenue Service announced that the dollar amounts participants may contribute to tax-deferred savings plans have increased for tax year 2024.

The annual contribution limits apply to:

• Voluntary contributions that Hybrid Retirement Plan members make to the Hybrid 457 Deferred Compensation Plan.
• Contributions made to other supplemental 457 plans.
• Roth after-tax or pre-tax contributions made to the Commonwealth of Virginia 457 Deferred Compensation Plan.

Employers need to monitor members’ contributions and stop all 457 contributions and the employer match once they reach the limit. A contribution limit report is accessible in EZLink. If you identify a member who has exceeded the limit, email dcplans@varetire.org.

Get the VRS Training You Need

Take advantage of the following webinars to increase your knowledge:

• Introduction to VRS, sessions offered in March and June (each session includes four classes).
• Refunds and Distributions, 2-3 p.m. January 24.
• Purchase of Prior Service, 2-3 p.m. February 28.
• Disability Retirement, 2-3 p.m. April 24.
• Health Insurance Credit, 2-3 p.m. May 22.

Check out the VRS Training Academy for course descriptions and additional training opportunities.