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LUMP SUM REHABILITATION AGREEMENT Form

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Hello my name is Julie Schultze and I am a member of the Participant Services team at Savings Plus, a division of CalHR. Today I’d like to provide some information to assist you with contributing your Lump Sum Separation Pay to your Savings Plus account. You may be wondering “what is Lump Sum”? Lump Sum is the option to defer a portion or all of one’s unused vacation and annual leave (minus Social Security and Medicare) upon separation from state service to the Savings Plus 401(k) and/or 457(b) plan. There are a few key benefits in deferring your lump sum to Savings Plus. If you choose to make Pre-tax contributions, taxes will be deferred until you withdrawyour assets. If your last day of work is between Nov 1 and Dec 31, you will also have the option to contribute to both the current and following tax year. Additionally, there are two types of Catch-Up contributions you may be able to take advantage of that we will review. Before we get started, a quick disclaimer. This is not

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