Public employees in the county may soon have a new way to save for retirement, thanks to a proposed update to the existing ACCG (Association County Commissioners of Georgia) Retirement Plan.
Paul Smith, a representative from ACCG Retirement, recently presented the idea to county officials, emphasizing the change would come at no cost to the county or taxpayers.
Currently, employees participate in a defined contribution and deferred compensation plan allowing them to contribute pre-tax dollars to their retirement savings. Under this system, if an employee earns $100 and contributes $10 to the plan, they are taxed on the remaining $90.
The proposed addition is a Roth option, which works differently. With Roth, the same $10 contribution would be made after taxes — meaning the employee pays taxes on the full $100 upfront. However, the benefit comes later — withdrawals during retirement are tax-free.
“This gives employees a choice,” Smith explained. “Some prefer the tax break now, while others — especially younger employees — like the idea of paying taxes today and enjoying tax-free income in retirement.”
The plan would not replace the current system, but simply add another tool for employees to use based on their personal financial strategy. Employees could even mix both options if they choose.
Importantly, the change requires only a simple one-page adoption agreement and resolution to amend the current plan. There are no fees or costs associated with implementing the Roth option.
County HR (Human Resource) officials confirmed several employees have already expressed interest in having a Roth option available.
“It’s a great idea,” said Senior Accounting Supervisor Beverly York, “It doesn’t cost the county anything, and it gives our employees more flexibility.”
Smith also noted ACCG Retirement works with attorneys and CPAs to help employees navigate their options and develop personalized strategies.
“Anytime we can give our employees an option — especially one that doesn’t cost the county anything — it’s a step in the right direction,” said Commissioner Leonard Burse.
The proposal was approved and is expected to be available in the coming weeks.
