Retirement Tax Shelter Programs

In addition to the basic retirement plan, state employees may participate in the following voluntary investment programs:

Supplemental Annuity Collective Trust (SACT)
Under the SACT program, employee contributions are invested conservatively in the stock market. Employees may contribute between 1 and 10 percent of their base salaries. The maximum contribution allowable is the greater of 10 percent of base salary or the prevailing IRS limit for 403(b) plans. This plan is not available to Alternate Benefits Program(ABP) members. Additional information about the SACT program is available from the web link below:

NJ State Employees Deferred Compensation Plan
Under the Deferred Compensation Plan, employees defer between 1% and 100% of their salary up to a IRS maximum contribution limit for 457 plans. Four investment funds are available: Bond, Equity, Money Market or Small Cap Equity. Account balances may be transferred among the four funds in multiplies of 1% a maximum of one time per calendar month. Additional Information about the NJ State Employees Deferred Compensation Plan is available from the web link below:

The Additional Contributions Tax-Sheltered (ACTS) Program
These programs allow for eligible employees in any of the State's pension plans to obtain supplemental tax-deferred annuities from a variety of carriers through a salary reduction agreement. Each carrier provides a selection of investment choices to meet the needs and goals of retirement planning. Additional information regarding the ACTS program from the web link below:

For further information and eligibility criteria for any of the above programs, please contact the Office of Payroll and Employee Benefits at extension 2884.