Pension, OBRA & Deferred Comp. Plans

Middlesex County Retirement System (mandatory for benefit-eligible employees)
Employees who regularly work at least 20 hours per week on a year-round basis (not seasonal) are required to contribute to the Middlesex County Retirement System. This is a defined benefit (pension) plan.

Information on Massachusetts Public Retirement Benefits
Information on Social Security and Your Public Pension

Mission Square PTS Employee 457 Deferred Compensation Plan (mandatory for non-benefits-eligible employee)
Employees who work on a part-time (less than 20 hours per week) seasonal or temporary basis, are ineligible for membership in Middlesex Retirement, and must instead contribute to a deferred compensation plan (or similar plan) under the Omnibus Budget Reconciliation Act (OBRA).  This is a mandatory deduction of 7.5% that essentially replaces the deduction normally taken for Social Security.  If/when you separate from the Town, you can request a refund or roll the funds into another eligible employer-sponsored plan or a traditional Independent Retirement Account (IRA).  

The Social Security regulations require that participants in an OBRA program always receive 100% of their principal contributions, plus interest.  Therefore, all contributions are invested in a guaranteed fixed annuity.  Distributions are restricted to a lump sum payment.  The Town's OBRA plan provider is Mission Square Retirement (formerly ICMA-RC).  Mandatory contributions are invested in the PLUS Fund.  Voluntary contributions are invested in a guaranteed fixed annuity.  If you have any questions about this plan, please contact the Town's plan representative, Michael Savage, at 202-759-7148 or msavage@missionsq.org.

Optional 457 Deferred Compensation Plans


The Town of Bedford offers two optional deferred compensation plans for benefits-eligible employees.  These plans allow employees to save and invest additional money (beyond their mandatory pension contribution) for retirement with tax benefits.  Employees have a choice of two providers: Mission Square Retirement (formerly ICMA-RC) and the Massachusetts SMART Plan.  More information can be found at the following links:

Mission Square Retirement (formerly ICMA-RC)
Website
Plan Representative: Michael Savage
Phone: 202-759-7148 Email: MSavage@missionsq.org

MA SMART Plan
Website
Plan Overview
Plan Representative: Sean Doucette
Phone: 978-806-7205 Email: Sean.Doucette@empower-retirement.com