HI HB1007

Allows participants in Hawaii's state deferred compensation plan to make both pre-tax (traditional) and after-tax (Roth) contributions to the same plan.

Permits employees to choose whether deferred compensation is included or excluded from federal income tax withholding, enabling tax diversification strategies.

Amends Section 88E-12 of Hawaii Revised Statutes to align with Section 457(b) of the Internal Revenue Code, allowing for both traditional and Roth contribution options.

Maintains that deferred compensation continues to count as regular compensation for computing contributions or benefits under existing retirement, pension, or social security systems.

Takes effect upon approval.