frequently asked questions

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Introduction

We always welcome your questions! Below are the topics that we frequently receive questions about. If your question doesn’t appear on this list, please contact Deferred Compensation at 805/654-2620 or email: deferred.compensation@ventura.org or Safe Harbor at 805/654-2921 or email: safe.harbor@ventura.org. We are here to assist you Monday-Friday, 8am to 5pm.

Getting Started

When can I enroll?

You can enroll after you receive your first paycheck, either online at netbenefits.com/ventura, or by phone at 800-343-0860.

How long does it take for the deductions to start?

For the 401k and 457, your deduction will start in 1-2 pay periods after you enroll.

Account Distributions

Can I get money from my 401(k) while I’m still an active employee?

- YES! There are two options for withdrawing funds from your 401(k) while you are still an active employee.

401(k) Loans

- If you have been a plan participant for at least 12 months and have not defaulted on any prior Plan loans in the preceding three years, you are eligible to take a loan. For more details, go to the 401(k) Loans.
- How do I initiate a loan?
  - You can model and initiate a loan on your NetBenefits account or call Fidelity at 800-343-0860.
- Can I take a loan from my 457?
  - No, loans are not permitted from the Section 457 account.

2. Hardship Withdrawals

- If you have an immediate and heavy financial need that meets specific IRS qualifying situations or have an applicable unforeseeable financial emergency, you may submit a 401(k) Hardship Withdrawal Self-Certify Application. This application allows you to attest that you have a need for a withdrawal due to a heavy financial hardship as well as having the supporting documentation to support your need. You may be required to provide the supporting documentation in the event of an audit.

- - Note: hardship withdrawals are subject to federal and state income taxes, and a 10% early withdrawal penalty if you are under 59 1/2.
- Can I take an emergency withdrawal from my 457?

- - If you have an unforeseeable emergency that you have no other means to satisfy, you may be eligible. The amount is limited to the amount necessary to satisfy the emergency need and will be determined based on the relevant facts and circumstances.

- - - Note: the emergency withdrawal is subject to federal and state income taxes, however, there isn’t an early withdrawal penalty. The application requires a self-attestation that you have a need for a withdrawal due to a heavy financial hardship and documentation to support your need.

Deferring Your Buydown or Payoff

Can I defer my buydown to my retirement savings accounts?

- You can defer your buydowns to your 457 account. Deferrals to the 401(k) account are not allowed.

Do I have to be currently contributing to my 457 to do a buydown deferral?

- No, as long as you are eligible to contribute to the 457, you can do a buydown deferral even if you don’t contribute on a regular basis.

How do I set up a buydown deferral?

- First, you must elect cash in lieu of leave hours in the preceding year by December 31st. Access the Vacation Buydown Annual Election page by clicking on your Payroll tile in VCHRP.
- Buydown deferral forms are required to be submitted to the Deferred Compensation office no later than the last day of the pay period prior to your requested check date.
- Buydown forms and helpful tutorials can be found in the Tools & Tutorials section of our website.

I am retiring soon and my last paycheck will be quite large due to the payoff of my leave time. Can I defer my payoff to my 457 account?

- Yes! To defer your payoff or part of your payoff to your 457, submit a deferral form to the Deferred Compensation office no later than the last day of the pay period prior to your last paycheck date.
- The payoff form and helpful tutorials can be found in the Tools & Tutorials section of our website.

Using Your Retirement Savings to Pay for a Prior Service Purchase

I have an election contract from VCERA to purchase service credit. Can I use money in my retirement savings to purchase the time?

- Yes! You can use funds in either your 401(k) or your 457 account to purchase service credit with VCERA.
  - Only your employee contributions in your 401(k) are eligible (source 01 and direct rollovers). The funds in your 401(k) from the employer match are not eligible for purchasing prior service credit.
  - From your 457 account, only pre-tax contributions can be used for the purchase of service credit. Roth contributions are not eligible.

I have an election contract from CalPERS. Can I use money in my retirement savings to purchase the time?

- Yes! VCERA is not the only retirement system that you can use your retirement savings to purchase service credit. Election contracts from CalPERS or other qualified retirement systems are accepted for processing a transfer of assets.

How do I request that funds from my account be used to purchase prior service credit?

- Complete a Prior Service Purchase form and submit it to the Deferred Compensation office, along with the signed election form from the qualified retirement system.
- Prior Service Purchase forms and helpful tutorials can be found in the Tools & Tutorials section of our website.

How long does the process take to transfer funds from my account for the prior service purchase?

- The process to transfer your funds for the prior service purchase can take up to four weeks. Please note if your election contract has an expiration date and be sure to allow enough time for processing of your payment.

Did You Know?

Exemplary customer service is a priority for the Deferred Compensation office. We are happy to help and answer any questions you may have. We do our best to answer calls when they come in. If your call does go to voicemail, please leave us detailed information and we will return your call within 24 hours.