Policy Number: 4-81
Policy Name: Faculty and Professional University Retirement Plan
Revisions: December 2000; January 2001; July 2005
The primary retirement program for eligible full and part-time faculty and professional staff is the University 403(b) Retirement Plan through Fidelity Investments and Teachers Insurance & Annuity Association (TIAA) - College Retirement Equities Fund (CREF). Although participation is optional for employees under age 35, faculty and professional employees are encouraged to join the plan upon hire or entry into an eligible position. Employees age 35 and older are required to participate in the Plan.
The University contribution for this program is fixed at 11 percent of annual base salary for eligible employees who contribute a minimum of 4 percent of their annual salary (subject to applicable IRS limits). Employees may participate concurrently in both Fidelity Investments and TIAA-CREF. Contributions are on a tax-deferred basis and are fully and immediately vested. Both companies offer a variety of investment options. Details on these options may be obtained from the Office of Human Resources-Benefits. Please refer to the 403(b) Retirement Plan Annual Contribution Limits for information about IRS limits that are applicable to the plan.
There are various income options at retirement, including lifetime annuity income, fixed period annuities, deferred income, systematic withdrawals, lump sum withdrawals, and interest-only payments.
Please see the retirement plan vendors' interactive web sites: Fidelity Investments and TIAA-CREF. Through a secure logon, employees can make allocation changes, change beneficiaries, and have access to retirement planning tools.
Submitted by: Office of Human Resources-Benefits