Hybrid Plan Members: Boost Your Savings With Voluntary Contributions
You can grow your retirement savings faster by making voluntary contributions under the Hybrid Retirement Plan. This allows you to maximize your potential savings while benefiting from an employer match.
Keep in mind that there are two components to the hybrid plan:
- Defined benefit (pension): Provides a monthly retirement benefit based on your age, total service credit and average final compensation. VRS manages the investments and related risks.
- Defined contribution: Provides a benefit based on your contributions, your employer’s contributions and investment performance, like an individual retirement account.
Both you and your employer make mandatory contributions to each component while you work. You may also contribute up to an additional 4% in voluntary contributions to the defined contribution component. Your employer will match a portion of your voluntary contribution up to an additional 2.5%.
Making voluntary contributions throughout your career allows you to increase your retirement nest egg and take advantage of compound interest. Don’t leave money on the table!
Elect to save 4% to get the maximum match by logging in to Account Access.
Wondering how increasing the amount of your voluntary contributions could affect your paycheck? Use the Paycheck Calculator to find out. If you need to start small, consider using SmartStep to set gradual annual increases to your voluntary contributions until you reach the 4% maximum. Log in to Account Access, select your hybrid plan account, then click on Contributions to enter an annual increase amount for SmartStep.
VRS is transferring record-keeping services from MissionSquare Retirement to Voya Financial in 2025. The deadline to make a voluntary contribution election effective for the first available payroll in January is December 16 at 4 p.m. Elections will resume with Voya on January 6, 2025. Changes can be made on a monthly basis. Elections made before 4 p.m. on January 31 will be effective the first available payroll in February.
Resources like the paycheck calculator and SmartStep will have a different look but will remain available on the hybrid plan website.
