Individual Retirement

You may make changes to your investment allocations online or by written request using the Investment Change Form. Once the form is completed, submit by mail, fax, or via the secure message option within your online access For written requests, you will receive a letter confirming when the change has been made to your account.

For your protection, changes cannot be made by phone or by email.

To change your beneficiary(ies), complete the correct form below and return it to our office by mail or via our secure file upload.

Yes. To see your account online, you must first set up a user ID and password within Online Access.

You may contribute with a personal check if you have compensation as a credentialed minister and receive a 1099-MISC form or if you are employed as a credentialed minister at a non-Assemblies of God employer. Please consult your tax advisor. All other contributions must come from an Assemblies of God employer.

If you file or are eligible to file a Schedule C for your federal income taxes on your ministry related income, you are likely eligible to contribute to the AGFinancial 403(b) Retirement Plan as a self-employed minister. Consult your own tax advisor to determine your self-employment status in this situation. Credentialed ministers who file taxes as self-employed for income and SECA tax purposes may not qualify as self-employed for contribution purposes if they are considered common law employees of an Assemblies of God ministry.

A Roth 403(b) is similar to a Roth IRA in the following ways:

• Compensation used to fund a Roth is taxed before being contributed to a Roth account. Earnings grow tax-free.
• Qualified distributions are made tax-free and penalty-free. A qualified distribution is one where the Roth account has been open for the 5-taxable-year period of participation and meets other qualifications.

A Roth 403(b) is similar to a traditional 403(b) deferral contribution in virtually all other aspects. It is important to note that qualifications for a tax-free, penalty-free distribution differ between Roth 403(b)s and Roth IRAs.

You may contribute to both a Roth and traditional 403(b) pre-tax account in the same year. The combined contribution may not exceed the IRS established limits.

You may elect to have your future contributions made as pre-tax contributions to the AGFinancial 403(b) Retirement Plan. Any contributions that have already been designated as Roth contributions cannot be changed to pre-tax contributions.

Non-credentialed employees will still pay Social Security and Medicare (FICA) taxes on the amount that is contributed to a Roth account just as they do with the traditional pre-tax 403(b) deferral. Credentialed ministers should consult their own advisors to determine the taxability for SECA purposes on both the Roth and traditional pre-tax contributions.

Section 107 of the Internal Revenue Code allows “ministers of the gospel” to exclude some or all of their ministerial income designated by their church or church-related employer as a housing allowance from income for federal income tax purposes.

A Required Minimum Distribution (RMD) is the minimum amount you must withdraw from your retirement account each year after age 72. Once you have reached this age, IRS regulations provide that all tax-sheltered retirement plans have an RMD. This rule may be a reason for you to consider rolling over all of these accounts to your 403(b).

Regulations further provide that an employee who continues in active ministry with the Assemblies of God may delay the RMD until the date of actual retirement from ministry.

A 50% federal excise tax penalty will apply for failure to elect an RMD after age 72, except when continuing active ministry with the Assemblies of God.

For more information regarding Required Minimum Distributions, contact us at clientservices@agfinancial.org or 1.800.622.7526.

There is no limit to the number of distributions you can take in a calendar year. One periodic and one non-periodic distribution per calendar year is allowed at no charge (additional distributions are subject to a $50 fee). A periodic distribution is one that you take on a recurring basis, either monthly, quarterly, semiannually, or annually. A non-periodic distribution is a one-time distribution. A first-time start-up of a periodic distribution does not count as a change in your periodic distribution. A charge will be made for special handling requests, such as bank wires and/or checks.

AGFinancial does not charge a penalty for distributions. However, if you are under 59½, you may incur an IRS penalty for an early distribution or mandatory IRS withholdings. There are exceptions to the IRS penalty as defined in Internal Revenue Code 72(m)(7).

Tax laws and plan restrictions put limitations on when you can take distributions from your 403(b) retirement funds. You can withdraw traditional after-tax (but not Roth) funds and balances from rollovers at any time. Taxes and a 10% early withdrawal penalty may apply to the taxable portion of the distribution. If funds are needed prior to legal retirement age, an option may be an MBA loan.

All other 403(b) funds can be accessed only in the following situations:

• Severance from employment (termination of Assemblies of God credentials)
• Attainment of age 59 1/2
• A total and permanent disability
• For a financial hardship as defined by law and the plan document
• For your beneficiaries at your death

Distributions that are free from tax and penalties can be made when the Roth 403(b) has been open for the 5-taxable-year period of participation and one of the following events happen:

• You reach age 59 1/2
• You become disabled
• Your beneficiaries receive distributions upon your death

You may have a distribution (and in some cases are required to take a distribution) when you no longer have credentials with the Assemblies of God and/or when you sever employment from an Assemblies of God employer. These distributions are taxable and are subject to penalties. It is important to note that the allowances for the distribution of Roth 403(b) accounts, including distributions of principal, are different than the allowances for Roth IRA distributions.