The CTA
Retirement Savings Plan

The only 403(b) plan endorsed by your union.

You spend your career helping children prepare for their future. CTA wants to help you prepare for yours.

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Because your CalSTRS pension will cover only about half the income you will need in retirement, CTA has created a retirement savings plan to help make up the difference.

A plan designed for you

The goal in creating the CTA retirement savings plan was to provide educators with a high-quality retirement savings plan. We have built in features that help make sure you are on a good path to a secure financial future, including:

1

High-quality investment recommendations

The CTA plan is monitored by RVK, one of the largest independent investment consulting firms in the nation.

2

No commissions or commissioned salespeople

All plan representatives are salaried, not paid on commission.

3

Responsibility

CTA follows fiduciary standards to ensure that all recommendations and plan decisions are made solely in your best interests.

4

Low, transparent fees

There are no hidden fees, and the plan is designed to keep administrative and investment management costs low.

5

CTA endorsed

Your CTA plan is the only one that is built for—and endorsed by—the California Teachers Association.

6

People to help you make decisions

If you have any questions about the CTA Endorsed Retirement Savings Plan, please call the CTA Retirement Plan Center at 650-552-5200.

How the plan works

The CTA plan allows you to put aside part of your salary in a tax-advantaged way until you need it at retirement.

When you enroll in the plan, your contributions to your retirement account will happen automatically every time you get paid. This will help make sure you are meeting your retirement savings goals.

You can contribute any amount you wish, up to $18,500 annually. Even if you can start with only $100.00 per month, it is good to start. As your situation changes you can always increase your contributions.

Starting as soon as you are able makes a big difference. You'll have compound interest on your side.

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Getting started

Getting started with a retirement savings plan can be a daunting task, with so many decisions you have to make. To help you get started, we have automatic smart features that will save you time (and headaches). For example:

  • When you sign up for the plan, you will be automatically placed into a target date fund that corresponds to the age you are likely to retire.
  • A target date fund automatically adjusts your asset allocation over time, and because it is a mix of funds, you need only one target date fund to be diversified.
  • More than 95% of people participating in the CTA plan use the target date fund.

Other options

If you do not want to be in a target date fund and have the time and skills to manage your own portfolio, the CTA plan has a variety of fund options you can from. You can change your mind at any time.

Enrolling in the plan

There are just two steps to enroll in the plan.

1

Complete an enrollment form.

You can do this by going to
enroll.ctaretirementplan.orgRead more

2

Complete a Salary Reduction Agreement (SRA).

You will get this form from your district's retirement plan administrator. Without this form, you will not be able to fund your account.

Moving to the CTA plan

If you have other retirement savings accounts, either currently or from a former employer, you may be able to exchange those plans and consolidate them into the CTA plan. 

There are important things to consider before making an exchange or rollover, including surrender fees, the regulations governing your former employer's plan, and possible tax implications.

Steps for rolling over.

1

You need to have opened a CTA retirement savings account first before you can do the rollover.

2

Rolling over funds from your previous employer will require taking a cash distribution from your previous employer's plan and placing those funds directly into your CTA plan.

If you have questions, please call us at 650-552-5200.

Steps making an exchange.

You can make an exchange into the CTA plan from another 403(b) or 457 plan provider under your district's plan.

1

You need to have opened a CTA retirement savings account first before you can do the rollover.

2

Request an exchange out from your current plan provider. Make sure you ask about surrender fees, loads, and any other fees that may apply.

3

Visit the form section on the CTARetirementPlan.org site and complete an Exchange Authorization form with your district's .

If you have questions, please call us at 650-552-5200.