City of Lake Mary MPP Enrollment - Web Book - Ready - Flipbook - Page 4
CONTRIBUTIONS
How much can I contribute to the Plan?
You may elect to make an irrevocable election to contribute up to a
maximum of 2.5% of earnings on a pre-tax basis. Please note that this
percentage may be increased up to the maximum, but never decreased.
You may also elect to make Voluntary After-Tax contribution.
Will City of Lake Mary contribute to my account?
The City of Lake Mary will contribute 10% to all eligible employees.
Furthermore, the City will match employee elective contributions up to 2.5%
of compensation.
The maximum amount that the City will match is 12.5%
The total contribution limit for the Plan is $66,000 in 2023. This includes both
Employee and Employer contributions.
PLAN HIGHLIGHTS
What else should I know about contributions?
Ownership of your Plan account is called vesting. You are always 100% vested
in both your contributions and the earnings on those contributions. This
money is yours.
Your employer’s contributions, plus the earnings on those contributions, are
vested based on your years of service according to the following schedule.
Matching Contributions
Years of Service
1
Percent Vested
20%
Employer Contribution
2
40%
3
60%
4
80%
5
100%
Years of Service
Percent Vested
2
40%
3
60%
4
80%
5
100%
1
20%
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