Deferred Compensation – Making Deposits

How do I make deposits to the account? Do we submit money all at one time or can we submit more than one deposit in a year?

Deposits to deferred compensation accounts should come from a cooperative account, not from the participant. Money can be submitted by Direct Deposit ACH, FedWire or check. Instructions for each method are available on the Employer Instructions to Submit Funds. Homestead Funds can accept money as frequently as you prefer. In fact, many cooperatives submit money biweekly to match with their payroll cycle.

Our preferred method is to receive money by Direct Deposit ACH because the money goes directly into the participant’s account and fund, which can help minimize errors. There is also less paperwork for the cooperative because with Direct Deposit ACH, you do not need to submit a Group Purchase Form. Fedwire and check deposits require that you provide a Group Purchase Form for Contributions to Deferred Compensation Plan Accounts with each deposit.