Overview
Enrollment in the NJSEDCP is
limited to employees of the State of New Jersey or an eligible
agency, authority, commission, or instrumentality of State
government. Employees of a county, township or municipality
are not eligible for the NJSEDCP.
Enrollment packages are obtainable
by contacting Prudential Financial, at 1-866-NJSEDCP (1-866-657-3327);
employees with TDD equipment should use 1-877-760-5166. Enrollment
packages are also available over the Internet, at: www.prudential.com/njsedcp
(After accessing Prudential's NJSEDCP Web site,
click on the link for "Forms and Enrollment Materials.")
Human resource and personnel
representives should also have a supply of enrollment packages
for use by their employees.
The enrollment packages must
be completed and signed by the employee and forwarded to Prudential
Financial. These forms can be mailed, faxed, or completed
online for processing. (Please remember to keep a copy
for your records.)
On page 3 of the Enrollment
Form, those enrolling in the NJSEDCP are asked to name
a beneficiary or beneficiaries. Any benefit that will be payable
upon the employee's death will be made to the person(s) named
on that part of the Enrollment Form.
The Enrollment Forms can
be mailed to:
Prudential
30 Scranton Office Park
Scranton, PA 18507-1789.
The Enrollment Form can also
be faxed to:
1-570-340-4328.
The Enrollment Form can be completed
online, at:
http://www.prudential.com/njsedcp
Employees with questions about
the enrollment process can contact their local Prudential
Education Consultant, or they can call Prudential Retirement,
at 1-866-NJSEDCP (1-866-657-3327), between 8:00 a.m. and 9:00
p.m. (TDD is available at 1-877-760-5166).
Deferral (Contribution) Amounts
Participants may defer between
1% and 100% of their salary (minus their tax-sheltered pension
or other voluntary tax-sheltered contributions), but the dollar
amount of their annual deferral cannot exceed $15,000 in 2006
($20,000 for individuals age 50 or older).
For example, an employee who
is 46 and makes an annual salary of $60,000 would not be permitted
to defer more than of $15,000 in 2006, the maximum deferral
amount permitted for this year. An employee who is 52 and
makes an annual salary of $28,000 could defer up to $20,000
in 2006.
Transmittal Letter Procedures
The New Jersey State Employees
Deferred Compensation Office receives numerous documents and
forms from various payroll centers during daily operations.
The use of transmittal letters
is required whenever documents are referred from a State payroll
center to the Plan office.
The
transmittal letter is a cover sheet indicating the amount
and type of forms enclosed,
as well as the payroll center and date the documents are submitted.
The transmittal letter should identify the authorized Personnel
Representative to contact if discrepancies occur on the documents.
Transmittal letters received
in the Plan office and containing discrepancies will be immediately
corrected through the personnel representative at the payroll
center submitting the required documents. This is necessary
to assure that all documents are reviewed and processed in
a timely manner.
Processing
of Enrollment Package
Enrollment
Request
Purpose:
To obtain statistical information concerning the employee
to be used in formulating the Deferred Compensation database
and to inform the Plan participant of key relevant issues
concerning the guidelines and administrative procedures to
which the Plan conforms. See the Enrollment
Form.
Enrollment Forms are submitted
through the employee's personnel office and must be received
in the Deferred Compensation office on or before the last
working day of the month to be effective the second pay
period of the following month.
The Enrollment Forms must
be accompanied by a Designation
of Beneficiary Form.
Employees who wish to to roll
over an eligible amount from a former employer's IRC §
401(a), 401(k), §403(b), §457 (governmental only),
or an IRA established in accordance with IRC § 408 (pre-tax
money only), should also submit the Rollover Pre-approval
form.
All Enrollment Forms are reviewed
for the following information:
- DIVISION/DEPARTMENT NAME
The members entire Division
and Department name printed in the space provided.
- SOCIAL SECURITY NUMBER
The participant's Social Security number must be provided
in the designated space. All participant accounts are referenced
by the Social Security Number.
- DAYTIME PHONE NUMBER
The participant's daytime phone number, with area code should
be filled in.
- NAME AND ADDRESS
The member's name and address, with street address, city,
state, and ZIP Code included.
- DATE OF BIRTH
The member's date of birth must reflect the participant's
correct birth date. This date is utilized to calculate age
when electing the Plan’s catch-up provision and at
termination, retirement, or death for determining payment
options.
- CHECK DISTRIBUTION CODE
-- for payroll centers under the State’s
centralized payroll, this is a ten digit code in which the
first three digits are the State payroll location number.
The fourth and fifth digits of this number represent the
unit number. The sixth and seventh digits are the check
distribution number. This information is necessary to determine
participant's employment location and for returning confirmed
copies of all forms for payroll center records. For payroll
centers not under the State’s centralized payroll,
this is provided for the payroll center’s use only
and may be left blank.
- EMPLOYEE'S NAME
-- should reflect the legal name of the participant.
- EMPLOYEE'S ADDRESS
-- should indicate the participant's complete home
address. This address will be utilized for mailing purposes
unless otherwise requested by the participant.
- EMPLOYEE'S TELEPHONE
-- should be indicated, both home and work numbers
for future contact purposes.
- RETIREMENT SYSTEM and MEMBERSHIP
NUMBER
-- indicates the participant's enrollment in a
State administered retirement system. If the participant
is not enrolled in one of the State administered retirement
systems, the payroll center must attach a letter
of explanation. (Eligibility requirements determine that
the individual must either be presently enrolled in a New
Jersey state administered retirement system, including the
Alternate Benefit Program, or have accrued at least twelve
(12) consecutive months of employment. The exceptions are
those not required to enroll in the retirement system who
are considered permanent in a position immediately, or any
individual employed through a Governor's appointment.)
- AUTHORIZED PAYROLL DEDUCTION
-- should indicate a deferral percentage of at
least 2%. A participant may contribute no more than 25%
of compensation [salary minus IRC section 414(h) money,
IRC section 125 or 403(b) reductions], not exceeding $8,500
per year. There is a dollar minimum of $10 deduction for
employees paid on a biweekly basis and $20 for employees
paid on a monthly basis.
- INVESTMENT ELECTIONS
-- must total 100% and invested between the
funds in multiples of 1%
Example: Fund 1, 15%; Fund 2, 35%; Fund 3, 50%, or
Fund 1, 0%; Fund 2, 0%; Fund 3, 100% or
Fund 1, 0%; Fund 2, 65%; Fund 4, 35%, etc.
The participant may invest in any or all of the funds.
- The four funds are: Bond,
Money Market, Equity, and Small Cap Equity.
- The form is signed and dated
by the participant and the authorized Personnel Representative
at the participant's payroll center The Personnel
Representative's name must be the same one on record with
the Deferred Compensation office.
Acceptable
changes to the information contained in the form must
be initialed by the participant.
The completed Enrollment Request
must be submitted with all copies intact. Once the
Deferred Compensation office dates and signs the bottom of
the form (Enrollment Request Confirmation), the related confirmation
copies will be returned to the participant through the participant's
payroll center personnel office.
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Beneficiary
Request
Purpose: To obtain statistical
information concerning the selected beneficiary(ies) to be
used in the event of the participant's death for account distribution.
Upon receipt of the enrollment
packet, the Beneficiary Request is reviewed for the following
information:
- SOCIAL SECURITY NUMBER
-- must be provided in the designated space.
All participant accounts are referenced by the Social Security
Number.
- PAYROLL CENTER
-- must be "0001" when payroll center
is under the State’s centralized payroll. If the payroll
center is not under the State’s centralized
payroll, a number will be assigned by the Deferred Compensation
Plan.
- CHECK DISTRIBUTION CODE
-- for payroll centers under the State’s
centralized payroll, this is a ten digit code in which the
first three digits are the State payroll location number.
The fourth and fifth digits represent the unit number. The
sixth and seventh digits are the check distribution number.
Information is necessary to determine participant's employment
location and for returning confirmed copies of all forms
for payroll center records. For payroll centers not
under the State’s centralized payroll, this is provided
for the payroll center’s use only and may be left blank.
- EMPLOYEE'S NAME
-- should reflect the legal name of the participant.
The information above should correspond with the Enrollment
Request.
- PRIMARY BENEFICIARY
-- complete information should be listed, including
name, address, birth date, Social Security Number, relationship
to participant (if not a specific relationship, friend may
be indicated), and entitled share percentage. More than
one primary beneficiary may be listed. If more than one
primary beneficiary is named and one predeceases the participant,
the surviving primary beneficiaries will share the deceased’s
percentage proportionally to their own stated share percentages.
Total shares must equal 100%.
- CONTINGENT BENEFICIARY
-- if elected, must also contain name, address,
birth date, Social Security Number, relationship to participant
(if not a specific relationship, friend may be indicated),
and entitled share percentage. Contingent beneficiaries
receive benefits if all primary beneficiaries predecease
the member. More than one contingent beneficiary may be
listed. If more than one contingent beneficiary is named
and one predeceases the participant, the surviving contingent
beneficiaries will share the deceased’s percentage
proportionally to their own stated share percentages. Total
shares must equal 100%.
All named beneficiaries must
have a Social Security Number or the enrollment package
will be returned. If a participant desires to elect a
beneficiary that has not yet been issued a Social Security
Number, it is suggested that the participant name his
estate until the Social Security Number becomes available.
At that time an updated Beneficiary Request may be filed.
If the participant designates
more primary or contingent beneficiaries than space allows
on the Beneficiary Request form, a separate sheet of paper
may be attached providing all requested information
and signed by the participant.
- NOTARY AND EMPLOYEE SIGNATURES
-- must be signed and dated by the participant.
After the form is completed in full and properly signed,
it must be notarized (this applies to our updated Beneficiary
Request forms that provide a space for a notary). If additional
sheets are included for additional beneficiaries, these
sheets must also be signed and notarized.
Acceptable changes to the
information contained in the Beneficiary Request form
must be initialed by the participant.
The completed Beneficiary Request
must be submitted with ALL copies attached. Once the Deferred
Compensation Office dates and signs the bottom of the form
(BENEFICIARY REQUEST CONFIRMATION), the related confirmation
copies will be forwarded through the participant's payroll
center.
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Rejected
Enrollment Package
If the Enrollment Request is
incomplete or contains errors in filing, all forms (Enrollment
Request, and Beneficiary Request) are returned to the participant's
personnel office.
All incomplete or unacceptable
forms are returned to the respective personnel office accompanied
by a cover letter indicating the reason for rejection. The
personnel office should contact the employee and request the
necessary information be corrected or provided. The Enrollment
Package should then be reviewed by the personnel representative
for accuracy and resubmitted to the Deferred Compensation
office with a copy of the Plan’s cover letter
indicating the reason for rejection.
If the Enrollment Request is
satisfactorily completed, but the Beneficiary Request has
minor errors (such as missing information regarding the relationship
of the beneficiary to the participant) the enrollment is processed.
However, the Beneficiary Request is rejected and returned
to the authorized personnel representative. A copy of the
request is kept on file until the corrected original is received.
If the Beneficiary Request has
major errors (such as a missing signature of participant or
notary, incorrect share information, lack of Social Security
number or address for beneficiary) both the Enrollment
Request and Beneficiary Request are returned to the participant’s
personnel office. In this case the enrollment is not processed
until the forms are properly completed and re-filed with the
Deferred Compensation Office.
Document
Review and Processing Procedures
It is extremely important for
the authorized personnel representative to be familiar with
the completion of the Deferred Compensation Plan Enrollment
Request and Beneficiary Request. The representative verifies
and approves, by way of a signature, the information and elections
on the Enrollment Package forms. This verification acts as
a check system for the enrollment procedure.
As previously stated, the Enrollment
Request and Beneficiary Request are reviewed for completion
and correction upon receipt in the Deferred Compensation Office.
The review process is performed by technical personnel and
supervised by a Pension Benefits Specialist in the Deferred
Compensation Section.
Immediately upon receipt, technical
personnel will date stamp each copy of the Enrollment Package
documents. This is followed by a review of the Enrollment
Package for accuracy. Also, the confirmations at the bottom
of the Enrollment Request and the Beneficiary Request forms
will be completed. The Enrollment Request Confirmation will
indicate the effective enrollment date. The Deferred Compensation
representative's signature and date signed will be entered
on both forms of the Enrollment Package. This completes the
confirmation of enrollment.
Once confirmation of the Enrollment
Package is complete, the form copies are distributed by technical
personnel as follows:
Enrollment
Request and Beneficiary Request (as color copies apply):
- White Copy -- retained by
the Deferred Compensation section for data entry, and
subsequently filed in the participant's account folder
by Social Security Number.
- Green
Copy -- this copy will be returned to the appropriate
centralized payroll office to update the participant’s
payroll deduction file.
- Canary
Copy -- returned to the participant's personnel office
to be maintained in the payroll or personnel file.
- Pink
Copy -- returned to the participant's personnel
office to be forwarded to the participant as a confirmation
of the action.
- Gold
Copy -- retained by the participant or personnel office
before submission to the Deferred Compensation office
for processing of the form as a record of filing.
Technical or clerical personnel
in the Deferred Compensation section will maintain an account
folder to be filed in Social Security Number order under
active participants.
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PAYROLL
CENTER (PCEN) LISTING