DROP funds for members completing the program are transferred to a Guaranteed Interest Bearing account at Empower Retirement. Requests for withdrawals and rollovers are to be submitted to Empower Retirement (www.louisianadcp.com or 800-701-8255). Members will have an account created at Empower Retirement and will be able to choose to leave their funds in the interest bearing account or self-direct all or part of their DROP balance in stocks and bonds through selected funds (see DROP Self-Directed Fund List below).
Self-directed DROP funds are invested by member at member’s risk and are subject to possibility of loss of value. By participating in self-directed investing, member accepts this risk and releases MERS from any obligation for said loss, as provided by R.S. 11:1763.
DROP withdrawals are subject to Federal Taxes but not subject to Louisiana State Income Tax. Currently if you rollover your DROP funds to another qualified plan, the funds become subject to both Federal and Louisiana State taxes when withdrawn. If you leave your funds with Empower Retirement you will retain your Louisiana State tax exemption.
Empower Retirement information is available at www.louisianadcp.com
Schedule an appointment with an Empower representative at louisiana_default.empowermytime.com/#/
