Federal tax law offers employees the opportunity to make pretax
contributions to taxsheltered plans. For calendar year 2013, employees under the age of 50 may elect to contribute a total of $17,500 on a pretax basis. Employees aged 50 and over may elect to contribute an additional $5,500, to a total of $23,000 on a pretax
basis.

Employees may elect to begin voluntary contributions effective the first of any month.
For employees eligible to participate in the base plan, employee contributions are
included in the $17,500 or $23,000 limit. Employees who wish to elect to shelter the
“maximum” should contact Heather Woods or Jennifer Silvestri for individual
calculations. Employees who have previously elected the “maximum” will have their
amounts recalculated and should receive written notification of the revised amount.

It is important to note that these limits apply to individual employees during the calendar
year and include all plans in which they may participate. IRS penalties may apply if an
individual contributes too much.

The IRS has also increased the amount of compensation that may be considered for
retirement plan purposes. Employees who became participants in the Temple University
Defined Contribution Plan after 12/31/1995 have a limit on the amount of salary that is
eligible for pension plan consideration. That limit has increased to $255,000 for calendar
year 2013.