Employees already making contributions to the Program and want to make changes must log on to the Program's web site at www.ohio457.org or contact the Service Center toll-free at 1-877-644-6457. Current account information may be reviewed and changes may be submitted.

Account information and changes may also be requested via telephone using the automated phone system at 1-877-644-6457.

Service Center representatives are available during business hours to assist employees by calling 1-877-644-6457 and pressing 0 to speak with a Service Center representative.

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

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

A: Each type of plan has annual contribution limits. An employee contributing to a 401k 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 deferred compensation plan (457) as long as the combined contribution total does not exceed the annual contribution limit.

For further information the employee should contact our Service Center. Service Center representatives are available during business hours to assist employees by calling 1-877-644-6457 and pressing 0 to speak with a Service Center representative.

What are the procedures for an employee to contribute in the "50 plus" and "Catchup" designations?

A: Employees need to contact our Service Center for details by calling 1-877-644-6457. To be transferred to a Service Center representative - press 0 after the recording begins.

Contribution limits change each year. The chart below shows the contribution limits for the next several years. These limits are subject to change.

Year	Contribution Designation	Maximum Contribution
2003	Regular	$12,000
	Fifty-Plus	$14.000
	Catchup	$24,000
2004	Regular	$13,000
	Fifty-Plus	$16,000
	Catchup	$26,000
2005	Regular	$14,000
	Fifty-Plus	$18,000
	Catchup	$28,000
2006	Regular	$15,000
	Fifty-Plus	$20,000
	Catchup	$30,000
2007	Regular	$15,500
	Fifty-Plus	$20,500
	Catchup	$31,000

Contribution Billing and Change Reports

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 identification number and desired payroll date. We will verify the fax number we have on file and fax a copy back to the caller.

Remitting Contributions

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.

In order to process an investment, Ohio Deferred Compensation must reconcile the total of the detail on the contribution listing to the remitted amount. Employers should make appropriate brief notes on the contribution listing explaining the omission. The total on the contribution listing should be changed to reflect an accurate total.

Note: Employers remitting electronically will show the omission in the detail of the file they remit.

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 could be doubled on the next payroll cycle and then set back to the regular amount thereafter.

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

A: As long as the employee will not exceed their contribution 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.

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

A: Yes. Currently we allow payments by paper check or bank ACH. Billing reports may be submitted on paper or electronically. Contact David for details. (614) 466-7245

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 Transmittal 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 Transmittal Form:

OPEDCP

250 Civic Center Dr. Suite 350

Columbus, OH 43215

Fax (614) 728-2601

Refunds are processed within 48 hours of receipt. You can expect to receive a check from the Treasurer of the State of Ohio within 5-7 business days.

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 contribution limit.

Payroll and Payroll Contact Changes

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: In order 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 27^{th 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. Should 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.

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.

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 e-mail.

OPEDCP

250 Civic Center Drive Suite 350

Columbus, OH 43215

Phone (614) 466-7245

Fax (614) 728-2601

E-mail OPEDC_finance@opedc.net

Employer Match

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.

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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. Also, employer match programs may 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.

2. Lower cost to employer

Because employer 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.

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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.

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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 their 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. OPEDC will send a bill to the employer for each pay period showing the total contribution amount.

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Does the 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 employees� 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 their contribution, the employer would simply remove the additional compensation from the employee�s payroll record.

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Are there other acceptable methods for an employer to match contributions?

A: Yes. We have employers who provide a one-time, lump-sum match amount. This process is more involved for both the employer and OPEDC.

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 contribution limit. The employer will need to reprocess these funds through payroll as income to the employee.

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

A: Our Account Executives will enroll each participant 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.

Unforeseeable Emergency

I have an employee who is applying for an Unforeseeable 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 to:

OPEDCP
6085 Emerald Parkway
Dublin, OH 43016

or faxed to:

(614) 728-2601

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