Voluntary Tax Shelter Plans

In addition to the basic retirement plan, state employees may participate in the following voluntary investment programs:

Supplemental Annuity Collective Trust (SACT)
Under the SACT Tax-Sheltered Plan, eligible employee contributions are invested conservatively in the stock market through a Salary Reduction Agreement.

  • This plan is ONLY available to members of Public Employees' Retirement System (PERS) and not available to Alternate Benefits Program(ABP) members. 
  • Employees may contribute between 1 and 10 percent of their base salaries.
  • The maximum allowable contribution is the greater of 10 percent of base salary or the prevailing IRS limit for 403(b) plans.
  • Changes to percentage of contribution is done by completing a SACT Change of Contribution Request Form and a new Salary Reduction Agreement.

Additional information regarding the (SACT) program is available below:

NJ State Employees Deferred Compensation Plan (NJSEDCP)
Under the Deferred Compensation Plan, employee contributions are invested in funds offered through Empower.

  • Plan is available to all State employees.
  • Employees may defer between 1% and 100% of their available salary after mandatory deductions.
  • The maximum contribution is the prevailing IRS limit for 457 plans.
  • Employees choose how to invest their contributions among the 20 investment funds available.
  • Account balances may be transferred among the funds in multiplies of 1% a maximum of one time per calendar month.

Additional information regarding the (NJSEDCP) is available below:

Additional Contributions Tax-Sheltered (ACTS) Program
Under the (ACTS) Program, eligible employees obtain supplemental tax-deferred annuities from a variety of investment providers through a Salary Reduction Agreement.

  • Program is available to State employees in ANY State pension plan.
  • Employees can direct contributions among six authorized investment providers each with a selection of investment choices to meet the needs and goals of retirement planning.
  • Employees have a choice of Pre-Tax and/or After-Tax (Roth) contributions.
  • The maximum allowable contribution is the prevailing IRS limit for 403(b) plans.
  • Changes to percentage of contribution is done by completing a new Salary Reduction Agreement. 

Additional information regarding the (ACTS) program is available below:

For further information and eligibility criteria for any of the above programs, please contact the Office of Payroll and Employee Benefits at payroll@wpunj.edu.