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I continue to try and organize my moms finances and have come across a very unusual situation.

My mom is a seasonal employee (teaching assistant) with the Simi Valley Unified School District.

Apparently (according to a district employee) in the early 90's the federal government required that all seasonal employees, that were not certificated, contribute 7.5% of gross earnings towards retirement. This was done since these employees could not contribute to the state teachers retirement.

My mom's district set up an arrangement where my mom contributes 3.75% of her gross, and the district will match with 3.75% to equal the mandated 7.5%. The district made a arrangement to have the money invested in a traditional annuity through Life Investors Insurance Company of America. The matching contribution is great, but according to the district, my mom has NO choice in deciding where the money is invested, how much or little she contributes. They claim that she may not even elect to stop or increase these contributions!

Has anyone heard of this before?? HELP!
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