The Board of Trustees is pleased to announce the increase of the weekly maximum Salary Deferral contribution amount for the Equity-League 401(k) Trust Fund from $4,675 to $6,375.

This increase became effective July 1, 2008. It applies to all actors and stage managers participating under the 401(k) plan.

You may now defer up to 85% of your pre-income tax salary. The maximum amount of compensation that is counted for salary deferrals and contributions is $7,500.00 per week; therefore, the maximum amount per week that may be deferred to the 401(k) Plan is $6,375.00 ($7,500.00 x 85%). Please note that only taxable income may be deferred. For example, you cannot defer non-taxable overscale per diem. For the year 2010, the maximum amount of salary that an actor/stage manager may defer for ALL EMPLOYERS for the year is $16,500.00. Note that if you are 50 or older you are eligible to defer an additional $5,500.00 for the year 2010. You may change the percentage at any time. The percentage will be automatically deducted from your weekly salary pursuant to your authorization and will be credited to your account with MassMutual.

Your voluntary deferral, automatically deducted from your weekly salary by your employer, is treated as a pretax contribution made before federal income taxes are calculated and deducted; thereby, reducing the amount of your current taxable income and lowering your current tax liability. In addition, all interest earned is tax deferred. You do not owe federal income tax until the money in your account is withdrawn. Please be advised that actors who are incorporated (employed through corporations) will be eligible for employer contributions; however, they will not be eligible for salary deferrals.

Please download the available Deferred Salary Agreement form which you may use to change the current amount of your salary deferral. To take advantage of the increased salary deferral rate, you must complete, sign, and file the form with your employer. The employer will implement your salary deferral as soon as practicable.

Should you have any questions, please do not hesitate to call the Retirement Services Department at (212) 869-9380 or if outside New York City (800) 344-5220.