Plan History and Purpose
IRS regulations limit the extent to which participants in retirement plans can benefit from those plans. These limitations reduce the amount of benefit that certain highly paid employees are able to accumulate from amounts they might otherwise be able to accumulate absent the limitations. The Excess Benefit Plan was created in 2000 specifically for employees in this situation. Those employees automatically participate in the Excess Benefit Plan when they reach the benefit limits imposed by the IRS.
How You Participate
A credit will be made to your account equal to the benefit you would have received in the RPA had there been no limitation on benefits reduced by the actual benefit you received in the RPA. You direct how you direct how your plan benefits are invested.
When You are Eligible to Receive Your Retirement Benefits
You are eligible to receive the benefits you accumulate in this plan when you:
- attain age 65
- terminate employment with NSHE
How Your Benefits Are Paid to You
Your retirement benefits in this plan may be distributed to you in any of the ways described below at your discretion:
- a single lump sum ,
- a partial distribution of your account,
- installment payments over a period not to exceed your life expectancy or, alternatively, the life expectancy of yourself and that of your designated beneficiary,
- used to purchase an annuity contract (if assets are held in a custodial contract) or converted to an income contract (if assets are held in an annuity contract).
Additionally, while you are employed you may take a hardship withdrawal subject to IRS rules and the terms of your individual agreement with your recordkeeper.
Click here to view the official plan document.