Bill Text: HI SB1233 | 2020 | Regular Session | Introduced
Bill Title: Relating To Adding The Roth Option For The Deferred Compensation Plan.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2019-12-01 - Carried over to 2020 Regular Session. [SB1233 Detail]
Download: Hawaii-2020-SB1233-Introduced.html
THE SENATE |
S.B. NO. |
1233 |
THIRTIETH LEGISLATURE, 2019 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO ADDING THE ROTH OPTION FOR THE DEFERRED COMPENSATION PLAN.
BE IT
ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION
1. The purpose of this Act is to allow
participants to deposit money in the deferred compensation plan on an after-tax
basis in addition to on a pre-tax basis; thereby affording them the opportunity
for tax diversification.
SECTION
2. Section 88E-12, Hawaii Revised Statutes,
is amended to read as follows:
"[[]§88E-12[]] Deferred
amounts as compensation. Any
compensation deferred pursuant to a plan established under this chapter shall
be deemed regular compensation for the purpose of computing contributions or
benefits under existing retirement, pension, or social security systems
applicable to participating employees [but shall not be included in the
computation of federal income taxes withheld on behalf of any participating
employee.]; provided that, at the participating employee's option, all
or part of such deferred compensation may be included or excluded in the
computation of federal income taxes withheld on behalf of such participating
employee, allowing for both a traditional section 457(b) contribution and a Roth
457(b) contribution."
SECTION
3. Statutory material to be repealed is
bracketed and stricken. New statutory
material is underscored.
SECTION
4. This Act shall take effect upon its
approval.
INTRODUCED BY: |
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BY REQUEST |
Report Title:
State of Hawaii Deferred Compensation Plan; Roth Option
Description:
Amends section 88E-12, Hawaii Revised Statutes, to allow participants to make both pre-tax contributions and post-tax contributions to the State Deferred Compensation Plan.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.