Aldine ISD 401(a) Matching Plan for Retirement Savings
Participant Directed Investment Program
Frequently Asked Questions

How do I enroll in the participant directed investment program under the 401(a) Matching Plan for Retirement Savings?

If you are vested in your Employer Contribution Account you are automatically enrolled in the participant directed investment program. Participant accounts are initially invested in the Wells Fargo Stable Return Fund. Once PARS confirms that you are vested you will receive by mail a Personal Identification Number (PIN). With your PIN and your Social Security number, you may begin self-directing investments in your individual account on the PARS web site at www.pars.org or by completing and submitting to PARS an Investment Selection/Change Notice Form.
 

How do I know if I am vested in my account?

Ownership of your account is called vesting. You are vested in your Employer Contribution Account after earning six (6) years of service under the Plan. Participants must be employed through the last day of their sixth Plan Year, unless retiring under the rules of TRS during or after the sixth year of participation in the Plan. Participants who become vested in their accounts during any Plan Year are eligible to participate on the September 1 following the date on which they became vested. Please note that even though you may be vested on September 1, account reconciliations will take place on or around September 30, at which time accounts may be accessed.

A Plan Year is September 1 through August 31.

How will contributions to my account be invested?

You give investment directions for your account by choosing among a variety of high quality no-load and load waive mutual funds selected by the District and TCG Advisors, LP. Besides managing your own account, you have the option to choose from three professionally managed investment portfolios, in addition to the Wells Fargo Stable Return Fund. If you are vested and choose not to manage and direct your own account, your account will automatically be invested in the Wells Fargo Stable Return Fund. A Stable Value / Stable Return Fund is similar to a money market account but may have somewhat higher returns due to the use of longer maturities on its fixed-interest investments.

Can I change my investment options?

Yes. Via the automated PARS Voice Response line, the PARS web site, or by submitting to PARS an Investment Selection/Change Notice Form you can change your investment elections for future contributions or transfer your existing money among the Plan’s participant directed investment program’s investment options at any time.

How can I keep track of my account?

PARS Internet Access

You can access account information, plus get news and investment information 24 hours a day, 7 days a week by visiting the PARS web site at www.pars.org. To access your account information, all you need is your Social Security number and the Personal Identification Number (PIN) assigned to you at enrollment.

PARS Voice Response

You can reach the PARS Voice Response line at (877) 339-5573 anytime for automated information about your account. Simply enter your Social Security number and your PIN and then follow the voice prompts. You can also talk with a PARS Administration Specialist at (866) 708-3777 from 9 am - 5 pm (PST) Monday through Friday, except on major holidays.

In addition, you will receive a personal account statement each quarter.

What are the fees associated with the Plan?

FEE DISCLOSURE

TCG Investment Advisory Services, LP has been hired by the District as the investment advisor and fiduciary to the Plan and receives an advisory fee of .45% of account assets valued at $0 to $5,000,000, 0.35% of account assets valued at $5,000,001 to $10,000,000, 0.25% of account assets valued at $10,000,001 and above. PARS is the Trust Administrator and handles the ongoing administration of the Plan for annual fees equal to 0.75% of account assets valued at $0 to $4,500,000, 0.50% of account assets valued at $4,500,001 to $20,000,000, 0.33% of account assets valued at $20,000,001 and above. The above fees are calculated on the Plan level first then allocated to participant accounts proportionally based on account balance. A one-time distribution fee of $15.00, an additional charge of $20.00 for stop-payment requests, a $5.00 charge for a 1099-R reissue and a $50.00 charge for any 1099-R revisions will be applied where applicable. All fees will be deducted directly from participant accounts.

Updated: March 16, 2009