Introduction of State Managed 403(b) Plan in North Carolina: Evaluation and Assessment
Principal Investigator: Robert Clark and Melinda Morrill
Sponsor: TIAA-CREF Institute
Award Period: 07/03/2013 - 11/30/2016
Description: The primary aim of the project is to evaluate the impact of the introduction of a state-managed 403(b) plan in North Carolina with TIAA-CREF as the sole provider of the plan. Prior to 2013, individual school districts managed their own, separate 403(b) plans, in addition to other supplemental retirement saving plans. These 403(b) plans vary considerably across the state, with some districts allowing many providers to offer products to their teachers while other districts limit entry through a competitive process. Given that many other states also have left the management of supplemental retirement saving plans to local districts, it is important to determine whether the introduction of a state-managed 403(b) increases the retirement saving of teachers compared to having these plans managed by the school districts.