Deferring Terminal Payout

Employees who terminate employment or retire may be eligible to receive a payout of unused vacation, comp time, and/or sick time. These payouts are considered income and are therefore subject to taxes. If you wish to defer the taxes on this payout, follow the steps below to put the money into a 403(b) or 457 tax-deferred account via payroll deduction. You will not pay taxes on the money until you withdraw it from your account.

  • Request your terminal pay amount and the paycheck date that the payout will occur by contacting Human Resources at 513-529-3927 or Academic Personnel at 513-529-6724.
    • If you want a zero check (your entire check going into your account), please contact Payroll Services (Gary Kraft) at 513-529-3648.
    • If you wish to defer a portion of the terminal payout, calculate the deferral amount carefully. If the amount of your request is more than what your actual paycheck is, no deduction will be made and no money will go into your account. For assistance, please contact Payroll Services (Gary Kraft) at 513-529-3648.
  • For 403(b) plan deferrals via the online Retirement@Work portal.
    • If this is a new account, your vendor must be contacted as soon as possible to set up your account.
    • Retirement@Work elections must be submitted by the 15th of the month for monthly payroll and the Friday prior to the Friday paycheck date for bi-weekly payroll.
    • Select Contributions from the top of the page.
    • Click on the MANAGE CONTRIBUTIONS
    • Enter the amount you wish to contribute
    • Select First available paycheck or Future date (when you want the deduction to be).
    • Click Next.
    • Enter a percent to indicate which provider(s) will receive the contribution(s). Values must equal 100%.
    • Review your selection and click CONFIRM.
  • For 457 plan deferrals via Ohio Deferred Compensation representative:
    • Contact Ohio Deferred Compensation directly at 877-644-6457
    • Accounts must be set up and elections made at least six weeks in advance of the payroll date.