Your Y’s Agreement With The Fund

There are two key decisions that a Y Board makes in conjunction with their local CEO in approving the terms of participation in the YMCA Retirement Fund:

  1. The total percentage of the contribution. Contribution rates for Ys are generally 12%, 11%, 10%, 9%, or 8%
  2. If the Y requires the participant to contribute a portion of that amount

Your Y selects one combination from the options outlined below:

12% 11% 10% 9% 8%
Y You Y You Y You Y You Y You
12% 0% 11% 0% 10% 0% 9% 0% 8% 0%
11% 1% 10% 1% 9% 1% 8% 1% 7% 1%
10% 2% 9% 2% 8% 2% 7% 2% 6% 2%
9% 3% 8% 3% 7% 3% 6% 3% 5% 3%
8% 4% 7% 4%  6% 4%
7% 5%


When The Employee Pays A Portion

When a Y requires participants to contribute, it is based on a percentage of their compensation. Contributions are made via regular payroll deduction on an after-tax basis.

Employee’s Contribution 5% of $1,000 $50
Y’s Contribution 7% of $1,000 $70
Total Contribution 12% of $1,000 $120
When A Y Pays All

Based on the above example, the Y would pay the total 12% or $120 on behalf of the employee.

Changing the Contribution rate

A Y can change its contributions only once each plan year (July 1 through June 30) unless the Y is electing to increase its contribution rate. The Resolution to Amend Participation form needs to be completed and sent to the Retirement Fund at least sixty (60) days in advance of the effective date of the change. Our Y Relations team can provide a copy of the form.

If a Y is lowering its contribution rate, it must notify its employees in writing at least 45 days in advance by first class mail or hand delivery. The same 45-day notification is required if the Y wishes to make any change that would result in employees either starting or increasing the amount being withheld from their compensation. The Y is required to forward a copy of the notice to the Fund. Please contact our Y Relations team for sample notification letters.

Discontinuing Participation in the Fund

If a Y stops participating, its employees can no longer make retirement contributions to the Fund. Participating employees can withdraw their voluntary accounts, but they cannot withdraw their Personal Accounts or YMCA Accounts unless they terminate Y employment. If their Y decides to discontinue participation, the Fund will send participants a letter outlining their options. The Y should contact no later than 60 days before the date it wishes the discontinuation to be effective.