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403(b) plan

An excellent way to save for retirement

Welcome to the website AIG Retirement Services has created especially for you, as an employee eligible to participate in the State of Iowa 403(b) retirement plan. As a provider for your retirement plans, AIG Retirement Services is committed to providing personal service whenever and wherever it is convenient for you. 

The plan highlights are only a brief overview of the plan's features and are not a legally binding document. The information in this section does not modify the terms of the plan and in the event of a conflict, the terms of the plan control.

Take advantage today

Participation in the plan is open to all employees upon employment. 

There are no age or service requirements for eligible employees to participate in the plan.

Starting early has its advantages


Through payroll deduction, your plan allows you to make pretax contributions up to the maximum allowed by the Internal Revenue Code. Special catch-up provisions may also be available. Talk to your financial advisor for more information.

Contribution limit

If you have an existing qualified retirement plan (pre-tax) or 403(b) tax deferred arrangement account with a prior employer or hold a traditional IRA account, you can roll over that account in the plan on becoming a participant in the plan.  

Accessing your money before retirement


Money can be withdrawn from the plan in these events:

  • Your attaining age 59½.
  • Death.
  • Disability.
  • Severance from employment.
  • Hardship may be available for your district.

Income taxes are payable upon withdrawal and federal restrictions and a 10% tax penalty may apply to early withdrawals. Be sure to talk with your tax advisor before withdrawing any money from your plan account.

In the event that a lifetime income investment option will no longer be permitted in the plan, the lifetime income investment option may be directly rolled over to an IRA or other eligible retirement plan in the 90-day window prior to the date of such elimination from the plan. This would be permitted even though the participant is not otherwise entitled to a distribution.

The plan is intended to help you put aside money for your retirement. However, State of Iowa, subject to your school district’s plan provisions, has included a plan feature that enables you to access money from the plan.

  • The amount the plan can loan to you is limited by rules under the tax law. All loans will be limited to the lesser of: one-half of your vested account balance or $50,000.
  • Loans can be taken from your salary deferrals only.
  • The minimum loan amount is $1,000.
  • All loans must generally be repaid within five years. A longer term may be available if the loan is to be used to purchase your principal residence.
  • You can have one loan outstanding at a time.
  • You pay interest back to your account. The interest rate on your loan will be the Prime rate plus 1.00%.
  • A $50.00 processing fee for all new loans and a $30.00 per year maintenance fee are charged to your account.

Unpaid loan amounts will be taxed as ordinary income and may incur a 10% federal tax penalty if you are under age 59½.

Other requirements and limits must be met prior to borrowing money from your account. For additional information regarding loans, please see your financial advisor. Refer to the Summary Plan Description for more details about this participant loan feature.

An array of investment choices

The following mutual funds are available in your retirement plan. They provide you with the flexibility you need to create a suitably diversified portfolio that matches your personal retirement time horizon, investment risk tolerance and investment preferences.

View the entire list of funds and performance for your 403(b) plan.


To view or print a prospectus, access “Prospectuses and Other Important Materials”. The prospectus contains the investment objectives, risks, charges, expenses and other information about the respective investment companies that you should consider carefully before investing. Please read the prospectus carefully before investing or sending money. You can also request a copy by calling 1-800-428-2542.