Benefits Frequently Asked Questions Does the District plan to have a 401(k)? The District does not offer a 401(k) plan. However, for employees hired on or after October 1, 1987, we offer a 401(a) plan, or "defined contribution" plan. The plan consists of 100% employer-provided contributions plus earnings over the course of the participant's working years. The District funds this plan; there is no employee contribution. The current employer-paid contribution is 5% of the base salary (5½% for Corrections Officers). Employees must have one year of continuous service to participate, and they are fully vested in the Defined Contribution Pension Plan after five years of continuous service. Investment options are available through ING Financial Advisors, and employees may change their options at any time. For more information, call (800) 584-6001 or (202) 442-9747, or go to the ING Financial Advisors website. Employees hired before October 1, 1987 are subject to the provisions of the Civil Service Retirement System (CSRS), which is administered by the U.S. Office of Personnel Management. In addition, all employees of the District government are eligible for the Defined Compensation Program. This program, also known as a 457(b), is an optional savings program that allows employees to tax-defer income and invest for the future. The portion of salary an employee contributes reduces the amount of taxable income in each paycheck. The Internal Revenue Service determines that annual maximum amount that can be deferred. For 2003, the amount is $12,000. For employees of age 50 or older, there is a "catch up" provision allowing you to contribute an additional $2,000. This plan is available through ING Financial Advisors and is open to all employees who can contribute the minimum of $20 per pay period. Employees can choose from various fixed or variable investment options through Nationwide. For more information, please call (800) 545-4730 or (202) 628-0228, or go to the ING Financial Advisors website. You can learn more about these options through our benefits page or by calling the Office of Compensation and Benefits at (202) 442-9655. When will the District offer a long-term disability program for employees? This is in the planning/procurement stage. We anticipate offering this early next year. Will "post-1987" employees ever have access to all the group health plan options "pre-1987" employees have? Not at this time, because it is too cost prohibitive. However, in 2001, we doubled the number of options available to employees. If you have a physical condition, such as lupus or a stress related condition, is an alternative work schedule an option? There is currently no policy in place to allow an employee to work from home. How does MSS impact those individuals that are still under the GS Civil Service Retirement Plan? MSS does not affect your retirement plan. When will our fringe benefit package match other jurisdictions? We are continually working to upgrade our benefits package. Some of the things you can look forward to in the near future are Short-Term Disability, Long-Term Disability and Long-Term Care Insurance. Please visit the DCOP website to learn more about the benefits we already offer, including Pre-tax health premiums, Flexible Spending Accounts and Deferred Compensation. What is the District doing to help MSS employees with home ownership? The District offers the DC Employer Assisted Housing Program (EAHP). The DC Employer Assisted Housing program provides grants and deferred loans of up to $11,500 to employees of the District of Columbia government who are first-time homebuyers in Washington, DC. For more information, contact the Department of Housing and Community Development at (202) 442-7200 or visit their website: http://dhcd.dc.gov/services/home.shtm - DCEAHP.