Common use of VOLUNTARY 457 DEFERRED COMPENSATION PLAN Clause in Contracts

VOLUNTARY 457 DEFERRED COMPENSATION PLAN. A. City agrees to provide a deferred compensation plan for employees covered herein pursuant to IRS Code Section 457. The City's maximum contribution to deferred compensation shall be one hundred sixty dollars ($160.00) per pay period for employees that contribute a minimum of seventy-six dollars and twenty-five cents ($76.25) per pay period and a dollar per dollar match for employees that contribute less than seventy-six dollars and twenty-five cents ($76.25) per pay period. The deferred compensation plan is a benefit, and as such the contribution by the City on behalf of the employee shall not change the employee's salary range. Employees may, at their option, contribute in excess of the City's matching contribution per pay period to the plan.