403B Eligibility


Who Is Eligible

You are eligible to participate if you are a full-time or part-time employee of Northern Michigan University.

You are not eligible to participate if any of the following apply:

  • As of 1/1/09, you normally work less than 20 hours per week and either are not expected to work 1,000 hour or more during your first year of employment, or have worked less than 1,000 hours in the prior calendar year.

Other employees not eligible to participate:

  • Students who work for the University as described in Section 3121(b)(10) of the Internal Revenue Code.
  • Leased employees or independent contractors.

Enrolling in the Plan

When can I enroll?

You can enroll in the 403(b) Tax Deferred Annuity Plan at any time. 

How do I enroll?

To enroll you must complete a Salary Reduction Agreement.  You will also be required to complete an annuity contract or custodial account application to establish your investment account or accounts under the Plan.

Salary Reduction Agreements are available in the Human Resources Department.  Contact Kimberly DePetro via e-mail kdepetro@nmu.edu or phone at 227-2470 or Kristen Bjorne via e-mail kportale@nmu.edu or phone at 227-1030. 

Application/Enrollment forms for an annuity contract or custodial account can be obtained from one of the approved vendors in the NMU Plan.  You may have the option to enroll online directly with the vendor.  Submit your enrollment information to the retirement vendor and the Salary Reduction Agreement to the Human Resources Department. 

Your participation will begin at the start of the payroll period following the date that our payroll personnel process your completed Salary Reduction Agreement.

Contributions to the Plan

What type of contributions can I make to the 403(b) Plan?

The Plan accepts pre-tax salary deferral contributions.  Roth after-tax contributions are available with TIAA-CREF.

How much can I contribute to the Plan?

The IRS limits the annual contributions you can make to a 403(b) Plan.  For 2015, the limit is $18,000 for participants under age 50.  For participants who become age 50 or older during the calendar year, the limit is $18,000 plus $6,000—known as the Age 50 Catch-Up Limit—for a maximum of $24,000.

Note that you must contribute $200 per year to participate in this plan.  In addition, if you are making pre-tax salary deferral contributions to another 403(b), 401(k), Simple IRA, or SARSEP plan, the total you can contribute to all plans combined is the amount indicated in the preceding paragraph.

How can I change the amount of my contributions or stop contributions to the Plan?

You can make a change in or stop your contributions at any time.  You will need to complete a new Salary Reduction Agreement.  Please contact us and we will mail you the appropriate Salary Reduction Agreement based on your employee class and date of hire.  You will need to complete and return the form to the Human Resources Department.  The change will take effect on the next available payroll period after the new Salary Reduction Agreement is processed.

Note that contributions to the Plan will automatically stop if you elect to contribute the maximum amounts as noted above.  This prevents you from going over the annual limits established by the IRS.  A new Salary Reduction Agreement will need to be completed in order to begin contributions the following year. 

For More Information

If you have any questions about our plan, please contact Ms. Kristen Bjorne, Assistant Director of Human Resources, at (906) 227-1030 or via e-mail at kportale@nmu.edu, or Kimberly DePetro, Benefits Assistant, at (906) 227-2470 or kdepetro@nmu.edu