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FAQs


We have compiled a list of questions for employers along with our responses. Simply click on the question you are interested in to reveal the answer.

    Employee Participation
  • Q:

    ​How do employees begin, change or stop their deferrals?

    A:
    Employees may begin, make changes to or stop their deferrals by using the Program's website at Ohio457.org or by contacting the Service Center at 877-644-6457. On the website, employees who want to start contibuting to the Program can access the tab labeled "Enroll."

    Employees already making contributions to the Program can make changes by logging in to Ohio457.org. ​Current account information can be reviewed and changes may be submitted. Account information and changes may also be requ​ested by telephone using the automated telephone system at 877-644-6457. 


    Account Executiv​es are available for assistance Monday through Friday from 8 a.m.-5:30 p.m. by calling 877-644-6457 and pressing 3. 

    P​ayroll departments are advised of changes on the Payroll Reduction Change Report sent by the Program and not from the employee.

     
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  • Q:

    ​What if I have an employee who is already participating in another deferred compensation program?

    A:
    Each type of plan has annual contribution limits. An employee contributing to a 403(b) plan will have a contribution limit for that plan that is not considered for ​other types of plans. Employees may contribute to more than one 457(b) deferred compensation plan as long as the combined contribution total does not exceed the annual contribution limit.

    For further information, the employee should contact our Service Center at 877-644-6457 and press 3 to speak with an Account Executive.

     

     

  • Q:

    ​What are the annual deferral limits and the procedures for an employee to contribute in the "50-Plus" or "Catch-up" options?

    A:
    Employees need to contact our Service Center for details by calling 877-644-6457. To be transferred to an Account Executive, press 3 after the recording begins.

    The chart below shows the annual deferral limits for several years. These limits are subject to change according to IRS rules.

     

     
    Annual Deferral Limits
    2015 Regular
    $18,000
    Fifty-Plus
    $24,000
    Catch-up
    $36,000
    2014 Regular
    $17,500
    Fifty-Plus
    $23,000
    Catch-up
    $35,000
    2013 Regular

    $17,500

    Fifty-Plus
    $23,000
    Catch-up
    $35,000
    ​ ​
    ​​​
  • Remitting Contributions
  • Q:

    What if I am unable to remit a contribution for an employee?

    ​​
    A:

    ​This can happen due to:

    · Leave without pay
     
    · Employee termination or death
     
    · Inadequate pay to cover contribution, etc.
     
    To process an investment,​ Ohio Deferred Compensation must reconcile the total of the detail on the contribution billing to the remitted amount. Employers should make appropriate brief notes on the contribution billing explaining the omission. The total on the contribution billing should be changed to reflect an accurate total.
     
    Note: Employers remitting electronically will show the omission in the detail of the file they remit.

     

  • Q:

    ​What if I receive my change report too late to take a deduction for an employee?

    A:
    The deduction should be taken at the next payroll cycle. If the employee does not wish to "miss" the deduction, the amount may be doubled on the next payroll cycle and then set back to the regular amount thereafter.

     

    ​ ​

  • Q:

    If I miss sending a contribution (deferral) for an employee, is it okay if I send it along with the next payroll contribution?

    A:
    As long as the employee will not exceed his or her contribution (deferral) limit for the calendar year, we can accept a missed contribution with the next payroll.

    The employer should include a brief explanation for the change on the contribution listing when remittal occurs.

     

    ​ ​

  • Q:

    Is there a method for sending my billing reports and deductions to Ohio Deferred Compensation electronically?

    A:
    Yes. The Ohio Business Gateway (OBG) allows you to file and pay several payroll withholdings, including Ohio Deferred Compensation. Visit business.ohio.gov ​​for more information or contact the Finance Department at 614-466-7245 for details.
  • Q:

    ​How do I get a contribution back from Ohio Deferred Compensation if I send it in error for an employee?

    A:

    ​To obtain a refund, a Refund Request Form must be completed with the following information:

    · Employee name
    · Social Security number​
    · Payroll date​
    · Amount to be refunded
    · A brief explanation for the request
     
    Mail or fax the Refund Request Form to:
     
    Ohio Deferred Compensation
    257 E. Town St., Suite 400
    Columbus, OH 43215
     
    Fax: 614-728-2601
     
    Refunds are processed within 48 hours of receipt. You can expect to receive a check within 5-7 business days.

     

    ​​​
  • Q:

    ​When an employee is using accumulated leave time to make a "lump-sum" contribution from his or her final contribution, the contribution amount may not be the same as what appeared on the Employee Contribution Billing.

    A:
    If the amount received by Ohio Deferred Compensation is less than the amount billed, the lower amount will be accepted.

    If the amount received by Ohio Deferred Compensation is more than the amount billed, the higher amount will be accepted as long as it does not cause the employee to exceed the annual deferral limit.

    ​ 

  • Q:

    ​I usually have 26 payroll dates in a year, but this year I have 27. How do I handle contributions for this extra date?

    A:

    To prevent employees who are contributing the maximum amount from exceeding the annual limit, a deduction may not be taken for these employees with the 27th pay.

    Normally, you may not change an employee's contribution without a Payroll Reduction Change Report from the Program. However, ​employers are responsible for stopping or reducing deductions if it is necessary to prevent an employee from exceeding allowable limits.
     ​
    It is important that you prevent over-deferrals before they happen. This will eliminate the need for subsequent refunds, as well as correction to W-2's and related tax forms. If you have questions about this information, please call the Program at 614-466-7245.
     
    Employers may omit contributions for only the employees contributing the maximum amount or they can choose to skip taking the contributions for everyone on the 27th pay.
     
    Any contributions skipped should be reactivated for the first payroll in the new year.

     

  • Payroll and Payroll Contact Changes
  • Q:

    ​​If my payroll calendar changes, do I need to inform Ohio Deferred Compensation?

    A:

    ​Yes. We will need to make changes to our computer system to reflect the correct payroll dates and number of payroll dates in a year.

    We bill according to the number of pays from which deferred compensation is withheld. The number of pays might be different than the actual number of pays.

     

  • Q:

    ​​What if an employer has changes in address, phone numbers or payroll contacts?

    A:

    ​Our records need to be updated with the current address and contact information. Employers should convey this information to the Program via mail, telephone, fax or email.

    Ohio Deferred Compensation
    257 E. Town St., Suite 400
    Columbus, OH 43215
     
    Phone: 614-466-7245
    Fax: 614-728-2601

     

    ​​
  • Unforseeable Emergency
  • Q:

    ​​I have an employee who is applying for an Unforseeable Emergency withdrawal from the Program. What information does the Program need from me for this employee's request?

    A:

    ​Documentation of lost wages is needed from the employer. Information specified on the Loss of Income form ​must be supplied to the Program on the employer's letterhead. This information can then be mailed or faxed:

    Ohio Deferred Compensation
    257 E. Town St., Suite 457
    Columbus, OH 43215

    ​Fax: 614-728-2601
  • Employer Match
  • Q:

    ​As an employer, can we match the deferrals our employees make to a 457(b) plan such as the Ohio Deferred Compensation Program?

    A:

    ​Yes, an employer may match employee deferrals to a 457(b) plan subject to the normal annual deferral limits.

  • Q:

    ​Why should we offer an employer match program?

    A:
    An employer match program is a relatively low-cost benefit that may help attract and retain quality employees. Employer match programs may also be the incentive needed to motivate your employees to begin saving for retirement.
     
    1. Attracting and retaining employees
    An employer match will provide a competitive advantage over many other employers that can help attract and retain quality employees. In addition, several studies have shown that financially secure employees make better, productive employees—a win-win for employees and employers.

    2.Lower cost to employer
    Because e​mployer match contributions are pre-tax, the same impact on employee take home pay can be achieved at less cost than providing a pay increase.

    3. Added value to employees
    Most employees are not saving enough for retirement. Employer match plans are a proven way to increase the number of employees saving for retirement while offering employees additional savings at no additional cost
  • Q:

    ​Do I need to amend the Plan Document to offer an employer matching contribution?

    A:
    No. There is no Plan Document amendment necessary to provide a matching contribution.

  • Q:

    ​How do we set up and administer an employer match program?

    ​​
    A:
    The simplest way to set up an employer match program is for the employer to provide an additional amount of compensation per pay, i.e. the match, to those employees participating in the Program. The additional compensation is only for those employees actively participating, or who choose to participate, and would be discontinued if an employee cancels his or her contribution.

    The Program will keep records for the total amount contributed each pay period. Since a vesting schedule is not permitted, the separate sources of these contributions are not segregated on our system. Ohio DC will bill to the e​mployer for each pay period showing the total contribution amount.

  • Q:

    ​Does Ohio Deferred Compensation Program have a preferred procedure for matching contributions?

    A:
    Yes. Experience has proven that employers who match contributions on a per-pay basis find it to be the simplest process for both the employer and the Program. Under this scenario, the employer would increase the participating employee's per-pay compensation, which would then become part of the employee’s contribution. This increase is contingent upon the employee actively participating in the Program. If an employee cancels his or her contribution, the e​mployer would simply remove the additional compensation from the employee’s payroll record.

  • Q:

    ​Are there other acceptable methods for an employer to match contribution?

    A:
    Yes. We have employers who provide a one-time, lump-sum match amount. This process is more involved for both the employer and Ohio Deferred Compensation. The employer will need to notify the Program prior to the one-time match, so that both parties are aware of the timing and amount.
     
    The employer must send a listing or data file of employees receiving an employer match separate from the regular payroll deferral listing. The Program will return to the employer any money received for an employee who has separated from service, or who has reached their annual deferral limit. The employer will need to reprocess these funds through payroll as income to the employee.

  • Q:

    ​When an employee signs up with Ohio Deferred Compensation, how do they know how much to choose as a deferral amount?

    A:

    ​Our Account Executives will enroll participants using the total combined contribution amount from the employer and employee. For instance, if the employee wants to contribute $50 per paycheck and the employer has agreed to match up to $25, the employee should declare a $75 contribution to the Ohio Deferred Compensation Program. The Program will then pre-bill the employer for the full $75.

    The Ohio Public Employees Deferred Compensation Program does not give legal or accounting advice. Employers are ultimately responsible for the correct accounting of taxable income and withholdings.

    Employers interested in matching employee contributions may contact the Service Center at 877-644-6457 with further questions.

  • Contribution Billing and Change Reports
  • Q:

    ​How can I get a copy of my Employee Contribution Billing or Payroll Reduction Change Report?

    A:
    Employers should call Ohio Deferred Compensation at 614-466-7245 with their employer number and desired payroll date to request a copy. We will verify the fax number we have on file and fax a copy.

  • Employee Participation
  • Q:

     Who is allowed to enroll in Ohio Deferred Compensation?

    A:

    Ohio Deferred Compensation will accept the enrollment of any public employee in Ohio. It is the public employer’s responsibility to determine whether a worker is an employee or contractor, and Ohio Deferred Compensation will rely on the employer’s determination.