Instructions for Active MCPS Employees

In response to new Internal Revenue Service (IRS) tax code requirements, MCPS has retained a third party administrator to manage withdrawal requests from its defined contribution plans (Plan) to ensure compliance.

Withdrawal Changes

The IRS will no longer permit active MCPS employees to "self certify" eligibility for any withdrawals.

Loan Request

If you are an active MCPS employee wishing to take a loan, you must obtain a Distribution Eligibility Certificate from the MCPS third party administrator. The third party administrator will review all requests and determine if they meet the Plan or IRS requirements. The IRS and Plan limit loans to the lessor of $50,000 or ½ of the account value. You are not eligible to receive a new loan if you have a defaulted loan outstanding.

The third party administrator will review the request, and if pre-approved will issue a Distribution Eligibility Certificate that must be printed and included with your loan application when submitted to your vendor. Loan requests for the purchase of a primary residence that will be repaid over a period of more than five years require documentation from your title company (typically the HUD1 document).

Hardship or Unforeseen Emergency Withdrawal Requests

If you are an active MCPS employee wishing to take a hardship or unforeseen emergency withdrawal you must obtain a Distribution Eligibility Certificate from the MCPS third party administrator. The third party administrator will review all requests and determine if they meet the Plan or IRS requirements. If the request is pre-approved the account holder must print the certificate and include it with any vendor required paperwork, including supporting documentation. Vendors will not process any withdrawal request unless the certificate is included with the request.

Special notice: If you are requesting a 403(b) hardship or 457(b) unforeseen emergency request you are REQUIRED to submit documentation supporting the amount requested to your vendor.

Active Employees Wishing to Rollover Their Account to an IRA or Take a Withdrawal Based on AGE ELIGIBILITY

Active employees wishing to withdrawal money based on age eligibility must submit the request to MCPS for verification of birth date and approval.

The request, if in good order (all pages of the document included, all information completed and signed by account holder), will be signed and returned to you, via regular U.S. Postal Service mail for submission to your vendor. Please permit five business days for these requests to be processed from the time of receipt.

Approved Vendor Exchanges

MCPS employees wishing to move account assets from one approved vendor to another will be required to complete an In-Service Exchange Request Certificate, available from the third party administrator website. You must include this certificate when submitting your exchange paperwork to the vendor receiving assets from your former vendor. Please remember to submit a new 403(b) Salary Reduction Agreement (PDF) or 457(b) Salary Deferral Agreement (PDF) to MCPS directing MCPS to begin remitting your contributions to the new company and stopping contributions to the old company.

Access Your Account Balances and Request Distribution Eligibility Certificate

The first time an employee accesses the site, he or she will use the "I am a New User" link to establish a password using the following information: choose Montgomery County Public Schools as your employer from the drop down list, the last four (4) digits of your social security number, last name, date of birth and MCPS employee identification number. Once logged in you may review your account balances under the Your Retirement tab or request a Distribution Eligibility Certificate from the Distribution tab.