The SDRS-SRP Can Help You Prepare for Retirement
Created uniquely for you, the SDRS Supplemental Retirement Plan (SDRS-SRP) helps South Dakota public employees prepare for retirement. The SDRS-SRP is a 457(b) retirement plan that offers long-term investing options and the flexibility of withdrawing your money without penalty once you separate from service with South Dakota, no matter your age. Keep in mind, that withdrawals are taxed as ordinary income in retirement.
The SDRS-SRP puts you in control
When you participate in the SDRS-SRP you join thousands of public employees across South Dakota in an investment program that allows you to control:
- How much you contribute to your plan each pay period.
- When to increase your contribution amount.
- How your contributions are invested.
- When you take your money once you separate from service. Required minimum distributions are required in the year you turn age 72.
Strength in numbers
New enrollees will have no fees for the first two years. Beginning in the third year, if your account balance is less than $7,500, the administrative cost will be $12 per year ($1 per month). When your balance exceeds $7,500, the 0.16 percent annual asset fee will apply.
The SDRS-SRP uses its overall participant numbers to keep fees low. The plan charges an annual recordkeeping fee of 0.16% ($0.16 per $100) is assessed at the rate of 0.01333% each month or $1.00 per month. If your account balance is less than $7,500, the administrative cost will be $12 per year ($1 per month). When your balance exceeds $7,500, the 0.16% annual asset fee will apply. Annual asset fees will be capped at $500 (combined maximum). This fee helps to fund the creation of newsletters, your account statements, reports and online resources to help you manage your SDRS-SRP account.