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Benefits

555 S. Howes Street, Second Floor
Fort Collins, CO 80523-6004

(970) 491-MyHR (6947)

 

Receiving Your DCP Money

...Faculty & Administrative Professionals

 

 

Termination at or after Age 55

 

When you leave CSU at or after age 55, you are entitled to your entire DCP account balance. Depending on the DCP investment company and the type of investment you have selected, you may be able to take your account balance as a lump sum payment, in installment payments, or convert it to an annuity which provides monthly payments for life. You can also leave it with the investment company for a distribution at a later date subject to certain limitations established under Federal tax law; or you can roll your account balance into another IRS approved, tax qualified plan.

 

 

Termination Prior to Age 55

 

If you leave CSU prior to "normal" retirement age (55) for any reason other than death or disability:

  • You can leave your account balance in the DCP until age 55 or later. If you choose this option, you continue to have full control over the investment of your account balance according to the provisions of the DCP. When you reach age 55, you can access, depending upon the DCP investment company and type of investment you have selected, your entire account balance in a lump sum, in installment payments, or you can convert your account balance to an annuity which provides monthly payments for life.

  • You can roll your account balance into another IRS approved, tax qualified plan. Other tax-qualified  Plans may include another employer's 401(a) or 401(k) plan, or an Individual Retirement Account (IRA). In order to avoid tax penalties or federal income tax withholding, you must roll your account balance directly from your DCP investment company to another tax qualified plan.

  • If your total account balance is $10,000 or less, you have immediate access to your funds.

Borrowing or withdrawing money from your DCP account may have income tax and other consequences. In addition, the ability to borrow or withdraw, and the limits thereon, may change as tax laws and regulations change. Contact the investment company directly for more information about that company's loan provision. You are encouraged to seek independent tax advice with respect to the relationship and application of all matters under the DCP to their individual tax circumstances.