A news release said the 2005 edition is compliant with the 403(b) regulations announced by the Internal Revenue Service in mid-November (See Feds Put Out 403(b) Rule Clarification) . Among the updates to the system are the new definitions of “Health & Welfare Service Agency”, “Controlled Group”, and the five-year limit on post-retirement contributions. Other enhancements include 2005 qualified plan contribution limits, updates to Social Security factors and federal tax rates, and updates to state retirement plan calculations.
Also, in preparation for the establishment of Roth 403(b) accounts, authorized by the 2001 tax law (EGTRRA) starting in January 2006, the 2005 edition contains a new Roth 403(b) utility that helps determine the right mix of pre-tax and after-tax contributions. Depending on the user’s preference, the Roth 403(b) utility employs either a simpler or a more sophisticated Monte Carlo analysis that looks at tax rates, contribution levels, and expected withdrawal patterns to make a customized recommendation for each individual.
More information about Still River is at www.StillRiverRetire.com .