Retirement Saving and Investing for Teachers
Saving and investing are two key components of the overall plan for teachers as they prepare for retirement. A 403(b)-retirement savings account can help fill the income gaps where a (NYSTRS) pension may fall short. The financial advisors at HighPoint Advisors, LLC have the expertise to guide you through saving and investing into the transition to retirement.
What is a 403(b)?
A 403(b) is a voluntary retirement plan designed for school district employees and other non-profit organizations. Here is why it is important:
- Tax Benefits: Contributions and earnings grow tax-deferred until withdrawal.
- Contribution Limits: Annual contribution limits usually increase each year. For tax year 2025, you can contribute up to $23,500 of your income if you’re under age 50, and up to $31,000 if you’re 50 or older.
- Retirement Supplement: A 403(b) plan acts as a supplement to your pension, helping to fill any retirement income gaps.
- NYSTRS Tiers 4- 6: It is suggested to contribute 12% of your salary for retirement planning.
The NEA Retirement Program
The NEA Retirement Program’s 403(b) plan offers a wide range of mutual funds and investment options through Security Benefit. Key benefits include:
- Diverse Investment Options: Access over 130 mutual funds in one account.
- Customized Plans: Your financial advisor creates a diversified portfolio tailored to your goals and risk tolerance.
- Ongoing Support: Receive a complimentary retirement income analysis and annual updates to stay on track with your retirement goals.
- Paycheck Reports: Get a free report showing how different contribution levels impact your take-home pay.
How Can We Help?
At HighPoint Advisors, LLC, our team has over 50 years of combined experience in retirement planning. Here is how we support you:
- Easy Setup: We assist with payroll deductions to make saving for retirement simple, so you can focus on teaching.
- Quick Responses: Our team is committed to addressing your questions and processing account changes efficiently.
- Comprehensive Advice: If you have existing 403(b), 401(k), IRA, or other retirement plans, we can help consolidate and optimize your strategy.
- Expert Knowledge: We are familiar with the NYSTRS system and can guide you through your retirement benefits.
Why Choose HighPoint Advisors?
At HighPoint Advisors, LLC, we understand the unique needs of teachers and are committed to being your trusted financial partner. We provide education and support to help you make informed decisions, offering the tools and knowledge you need throughout your retirement journey. By listening closely to your goals and dreams, we offer personalized guidance and tailor a financial plan that works specifically for you.
Ready to Take the Next Step?
Contact us today to start your retirement planning with one of our financial planning specialists. We will help you understand the benefits available to you as an educator and create a customized retirement plan.
This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. If you are seeking investment advice specific to your needs, such advice services must be obtained on your own separate from this educational material.