Policy Regarding Transfers from Members’ 403(b) or Governmental 457 Plans

To Connecticut Teachers’ Retirement Board for the Purchase of Service

Amounts transferred from members’ 403(b) or governmental 457 plans to pay for the purchase of service must be for either a) the exact amount of the cost of service, or b) the remaining unpaid balance of the cost, in the event that the member has already submitted other funds (such as a personal check, or the authorization to transfer funds from the voluntary or supplemental account) to pay for the service.  Transfers that do not meet this criteria, or that are late, will not be applied to the purchase of service or retained by the CTRB, but will be returned to the member.

Transfer checks should be made payable to the CTRB FBO (for the benefit of) the Member.  Members who are paying for the total cost of the service with a combination of such a transfer and a personal check should obtain the transfer check from the plan custodian as opposed to having the custodian send it directly to the CTRB.  The member should then submit both the transfer check and the personal check to the CTRB together as a single payment to ensure the timely completion of the purchase.