The PERA Smart Save Deferred Compensation Plan is a 457b supplemental retirement plan. It is an optional program that complements the regular PERA retirement plan. 457b plans are designed for state, city, and county government employees. They are similar to 401k plans in that the participant selects his/her own investment options.
The Smart Save Plan is a PERA-sponsored deferred compensation program - you defer paying taxes on that part of income you pay into your retirement savings. Investment earnings in the plan are also tax deferred.
NM PERA contracts with two other entities that each play a different role in PERA Smart Save. The first is Nationwide Retirement Solutions which provides recordkeeping, marketing and outreach services. Nationwide also acts as the custody bank for the participants’ funds. The second is Meketa Investment Group which provides investment recommendations for the 18 mutual funds offered in PERA Smart Save. In consultation with Meketa, the PERA Smart Save Plan Manager and Chief Investment Officer, who both work for PERA, present the investment recommendations to the PERA Board. The PERA Board then has final approval on the recommendations.
There are currently over 19,300 participants in the PERA Smart Save Plan with over $513 million assets under management. Whether you are a new PERA member or nearing retirement, it is never too early or too late to start saving a little more for retirement.