Defined Contribution Retirement Program (DCRP)
Employees who do not work the minimum required hours (32 hours) to be eligible for PERS, but who earn a base salary of at least $5,000 are eligible for participation in the Defined Contribution Retirement Program (DCRP) a subsidiary of Prudential Financial (as of 4/1/22 Prudential Retirement was acquired by Empower), should register to access their account using the below link.
The DCRP was established under the provisions of P.L. 2007, c. 92 and P.L. 2007, c. 103, and expanded under the provisions of P.L. 2008, c. 89 and P.L. 2010, c. 1 — provides eligible members with a tax-sheltered, defined contribution retirement benefit, along with life insurance and disability coverage.
Individuals eligible for membership in the DCRP include:
- Employees otherwise eligible to enroll in the PERS on or after November 2, 2008, who do not earn the minimum annual salary for PERS Tier 3 enrollment ($9,000 in 2023) but who earn salary of at least $5,000 annually; and
- Employees otherwise eligible to enroll in the PERS after May 21, 2010, who do not work the minimum number of hours per week required for PERS Tier 4 or Tier 5 enrollment (32 hours per week for local education employees) but who earn salary of at least $5,000 annually.
- 5% of your base salary is automatically contributed to your plan account each payday.
- the District contributes 3.0% to your account.
- You will be 100% vested in the State’s contributions after 12 months of participation in the plan. (“Vesting” refers to your ownership of the money in your account.)
- You can direct your contributions to any investment in the plan Investment Options.
No two people are alike: That is why the NJDCRP offers a wide selection of investments to choose from. You can decide how you want your money invested and may move money between investments at any time.
If you do not choose investments for your plan account, all contributions will be automatically invested in the DCP Stable Value Fund. This investment option is conservative and may not be right for you. Be sure to consider all your investment options carefully and make the choices that you feel are best for your long-term goals and objectives—and how you feel about investment risk.
For more information, view your investment options1 and then click on the New Jersey Defined Contribution Retirement Plan to read about your options.
All investing involves various risks, such as fixed income (interest rate), default, small-cap, international, and sector—including the possible loss of principal.
Not sure if you are eligible for DCRP? Check out Fact Sheet #82. If you have any questions, call the payroll dept. or the EBEA office.
DCRP Seminars - Seminars exclusively about the Defined Contribution Retirement Program (DCRP). These sessions provides information about DCRP eligibility, contributions rates, investment funds that are available within the DCRP, the Goalmaker investment allocation tool, withdrawals, and the overall rules of the plan. You will also take a look at Empower's DCRP website and how to process all changes such as adding a beneficiary and processing a withdrawal online. Sessions are approximately 45 minutes in duration and conclude with a Q&A period.
This webinar is offered several times. Select the date and time that works best for you.