Supplemental Retirement Plan

Issue/Question

Where can I find information on the Supplemental Retirement Plan offered by SDRS?

What is the supplemental retirement plan?

Environment

• Employee
• Benefits

Cause

Employees want to understand the SRP offered by SDRS.

Resolution

• The Supplemental Retirement Plan (SRP) is a tax deferred savings plan offered by the South Dakota Retirement System. Participation in the plan allows you to invest for your retirement while postponing the payment of income tax on your investments until you withdraw your funds when you separate from service, or at retirement, when you may be in a lower tax bracket.
• New employees are automatically enrolled in the Supplemental Retirement Plan (SRP). $25 per month will be deducted from the employee's paycheck for investment in very conservative investment options selected by the SD Investment Council. The contribution can be increased, and the investment option can be changed at any time after the initial 90-day enrollment period. Employees may opt out of the SRP within 90 days of their first pay date and receive a refund of contributions and the associated gains or losses with no penalties (federal income taxes will be withheld). Contributions to the SRP are not matched by the University
• You have the opportunity to designate all or part of your contributions to your SDRS Supplemental Retirement Plan account as after‐tax Roth 457 contributions. Subject to restrictions, the distribution of earnings may be taken out tax‐free
• Employees can make changes anytime throughout the year to their supplemental retirement account through the website of www.srp457.com , after creating the account
• If you have any further specific questions, you can reach out to a SDRS representative at 605-773-3731