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· Savings Deferred - The maximum annual deferral is 25%'of tl~e'gross"
<br /> ' ~' Account Compensation
<br /> -' -compensation from your. employer or $7,500 per-~-..
<br /> Gross annualearnings .. ~ .- _ year; whichever is less. The maximbm deferral is._i'~_
<br /> to be invested. - . . ~-. $. 1.000 $. 1,000 reduced by any amounts set aside for Tax Sheltered '."-.
<br /> Taxes (assume 25%) . - .- 250 ' ' ' .... -. 'Annuity plans. Additional amounts may be deferred
<br /> ..... ' :"' if you meet the following requirements. ',.~ ..:.?.."-.'. -" '-~-'
<br /> Net ann'ual investment· 750 980* ....; ;..-' ,, ..,. .... ... : .:.-.... .... ... . ..!._i.::.--~:L.~. :*. ~.-
<br />
<br /> vestment '' , '~' -'-.":. 1) are within three taxable years of projected ....
<br /> years ' . 15000 19600 "i'": ~..":'~ ¥,-'.~ retirement age._-?J.f, rrd 'ti~;' max m"':-:", :"'"' 7--'~ ;...-.~;~ ..'-"
<br /> P us interest '.' ." - ..' . '.." "'.:-' ";"-2) have not.dee 'e - -"' '
<br /> assume7%°°' ~ 15746 '~' 20'575 ' : ' ; .... ' allowed for alyears after'January'1,i1979
<br /> ( ) . . ..... .~- , -.. .... , .... . ;.. -.
<br />
<br /> Totalvalue ' -- ' .: 30,746 ' , 40,175 . '-" ' If yo~' r~e~t*these' re~ui~err;ent~,'~;(~u'may' ~l'efe~a~
<br /> i ' ' ..' .i .... . ' .. . ' ..: : a'mount equal to the maximum annual deferral plus
<br /> *'After 2% administrative charge is deducted. "' ~' : an 'additional amount:equal to the difference be-
<br /> ** The interest rate is illustrative only; it is not intended to ' . tween the amount of compensation which could '
<br /> represent actual returns on any investments.- have been deferred Under this plan starting with
<br /> - 1979, and the amount Which you deferred during
<br /> )le, the person investing in the Deferred . .... ' that time. The total deferral may not exceed $15,000_
<br />
<br /> Compensation Plan has accumulated $9,429.00 for any taxable year.- ... :'-' .~. ~., *.-.~
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<br /> more than if investment had been made in a con- Total salary before, deducting the Deferred Com-
<br /> savings plan. The payout from the
<br /> . . . : pensation is subject to Social Security (if par-
<br /> venti°nalct~em 'n°nwhP ' ~a~eecOeav~d°,r0inar. y -.. ;."~..'-'. t.icipating)and anyre.tire~er~t cont.?ibUtions.:;-i'.'.~'i
<br /> inc y ' '~ '::' · :;, "':~: :~":.' '-::.'~"?-'.:.::*--i'-.-':-.:~:':-".:. ~.'.:.:'-:' :."..: -:.i?:'::..~.-';~:.- :'.
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<br /> ' : ' :" :.'" .~ i .... '~.-.':.;'~.,!-': ~:, ,:.*', .~ "':':-: INVESTMENT OF'FuNDs";; · ..' .'
<br /> :.' HOW TO JOIN ' ':',. ;. ::':'. ~ .~.'?.-,~ -~-.! ':: :":.:i::'.";,'-~.,~'.;'.?;'...~- ,-~". .... ?./'-'. ;, ;.-:'- - -:'..: ;_ ". '
<br /> ..... . . '~; .'- '..i-.,' .*'~ ~' ;*...:. -,'-~-"Yot~'r mone~, ma~,' b~' ir~v~s~;pd' i'n' the In'(~orne Share
<br /> To join the plan you must submit a signed applica- .' ;-' Account, the Growth Share Account or'the Fixed
<br /> tion agreeing to have a certain number of dollars;., Return Account of th~ Minnesota Supplemental
<br /> w thheld from y(~ur salary each pay period. The'~. ..... . Retirement Fund. You h3ay divide your investment
<br /> deductions will begin the first full pay-period 30 . - among these accounts. The funds in the Minnesota
<br /> days following receipt of your appl,ication. Applica- Supplemental Retirement Fund are managed by the
<br /> tion forms are available from your payroll clerk, per- . State Board of Investment. A Prospectus describing
<br /> sonnel officer, or from the office of the Minnesota these accounts~ in detail is available from your
<br /> State Retirement System. ' payroll clerk or personnel office. Here is a brief'*
<br /> All officers; employees of the State of Minnesota,' ' ' description of the three'accounts. '- ' -' :~'~ ' ;' ~'-i
<br /> and employees of participating political subdivi- THE-INCOME SHARE .'ACCOUNT-was es-'
<br /> sions who receive compensation from their em- tablished for. those who prefer an .investment -...
<br /> ployer are eligible to participate in the Deferred based on dollar values, but with some equity par- .:
<br /> Compensation Plan,' .' .'.: _' ' *. "', .. · .. . ticipation. Income accrues primarily as yield on .
<br />....: . . - /,-. -'. .... · . ..... ,: ... * the amount invested. Investments are limited to a
<br /> .*' .. ' ...-.'...-..--.-'.',;. ::..' .r~ '.:,'..'..~ "". "'- . ~ '-'~ 'maximum_of 60% in'corporate bonds and no":'.~:'i~J
<br /> AMOUNT TO BE WITHHELD - · ~--. -.more thanb0% inequality common Stobks:.; ,~'-.
<br /> -' -' ' "' :": ', , ': "~': '' **' '" ' -'-" ':' ·; """ "' .:"*!-: -
<br /> Minimum: .' ,, - . -:.;...:THE.GROWTH'-SHARE ACCOUNT was es-
<br />
<br /> · !., ' .'._ '.? ~. tablished for those who are concerned about the
<br /> The amount you specify in your application will be - , ..... ~ .: long term declining value of the dollar, Although
<br /> the total amount withheld each pay period, It must _ '~, there is no guaranteed way of hedging against
<br /> be stated In whole dollar Increments, The minimum - ";" Inflation,-lt' is posslble that direct ownership of
<br /> deduction allowed is $10.00 per pay period per ac- ' ' . "-' American business may provide an investment
<br /> count selected. State on the application the amount ' comparable to future price levels. The funds in
<br /> you wish deducted for each account and the total ' .. this account may be invested 100% in common
<br /> amount for all accounts. Stock.
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