Purpose:

The purpose of this bulletin is to notify agencies of a new after-tax NYCTRS TDA deduction code.

Affected Employees:

Employees enrolled in NYCTRS, Plan Type 82, who elect to participate in the NYCTRS TDA program are affected.

Background:

Under Section 603 of the Secure 2.0 Act, employees who meet the wage threshold in the prior calendar year must contribute their Over 50 Catch-up contributions as after-tax. The IRS has set the prior year FICA wage limit to $150,000.00 for calendar year 2026 contributions. To remain in compliance and to allow all members to contribute Over 50 catch-up contributions, NYCTRS has opted to create a new after-tax TDA deduction code, 714.

Effective Dates:

The new After-tax NYCTRS TDA code 714 will go live on 01/01/2026.

OSC Actions:

OSC has created deduction code 714, NYCTRS After-tax TDA, in PayServ.

Agency Actions:

Per training provided by NYCTRS, agencies will receive instruction from NYCTRS to enter the new after tax TDA deductions in PayServ alongside their existing before-tax entries. Agencies will enter after-tax NYCTRS TDA deductions using Plan Type 47 on the Savings Plans panel and selecting the Benefit Plan NT403A.

Agencies must adhere to the Agency Submission Schedule when updating the Savings Plans panel in PayServ.

Questions:

Questions regarding the new NYCTRS arrears deduction code may be directed to NYCTRS Employer Mailbox

Questions regarding PayServ entry may be directed to the Payroll Retirement mailbox.