Planning to Retire–EXEMPT Staff and Faculty

403(b) Retirement Toolkit   

Please contact Human Resources at least four months in advance of your proposed retirement date.

• Retirement Forms and Checklist
• Medical, Dental and Vision Premium Rates
  

• Medicare Supplemental Plan Highlights (if 65 or older) 

• Medicare Eligibility and Enrollment (Updated site coming soon)

Important: Please use the Secure Document Submission Form to provide HR with important documents. Log-in with your Employee ID and password and follow the directions on the form.

Financial Planning Resources

• The UD Financial Planning Center is a free resource to provide financial education and personalized guidance to both UD employees and students. Employees can schedule one-on-one sessions with a Certified Financial Planner (CFP) for personalized coaching on retirement planning, investment and tax planning, and general financial decision-making. These sessions also serve as a learning opportunity for senior students in the Financial Planning major, who will observe the meetings to gain hands-on experience in financial planning and client communication. The Financial Planning Center is located on STAR Campus in the FinTech Innovation Hub. To learn more and to schedule your meeting, please visit https://lerner.udel.edu/centers/financial-planning-center/
• TIAA: Register for sessions at www.TIAA.org/schedulenow or by calling 800-732-8353, weekdays, 8 a.m. to 8 p.m. (ET). We look forward to working with you.

Effective January 1, 2024, individuals will be subject to the Rule of 75 eligibility criteria:

• any age and 30 benefits-eligible years of service
• age and service when combined equal 75 (must be at least age 55 when combined with service; must have at least 10 benefits-eligible years of service when combined with age)
  

Examples

Note: A vested employee under the State Employees' Pension Plan cannot collect a pension from the State of Delaware until the employee is no longer an active employee with the University of Delaware.

If an employee and/or spouse is turning age 65 while currently active and benefits-eligible at UD, they are not required to enroll in Medicare Part B (Medical). They can retain UD benefits as their primary coverage at the current rates. However, it is recommended that they enroll in Medicare Part A (Hospitalization) upon turning age 65, but UD benefits remain primary. If the spouse is not yet Medicare-eligible, they can remain in the active employee plan as well.

If an active and benefits-eligible employee/spouse elects to enroll in Medicare Parts A and B as their primary coverage, their UD coverage will be terminated.  They will not be eligible to enroll in the Medicare Supplement plan until they retire.  Therefore, they will have to seek supplemental coverage externally, including prescription coverage. It is important to note that if this option is selected, they will no longer have coverage through UD/State of Delaware.

About 3 months prior to an active employee and/or spouse turning age 65, the UD Retirement Team sends a notification to the employee/spouse called the TEFRA/DEFRA notification. We are required to inform employees/spouses of the opportunity to 1) retain enrollment in the current health care plan as provided by the University of Delaware/State of Delaware Group Health Insurance Program (GHIP) or 2) enroll in Medicare as the primary insurer. The employee should complete the TEFRA/DEFRA letter indicating that they want to stay on UD’s coverage and return it to hrhelp@udel.edu.

When an employee age 65 or older is planning to retire, they should apply for Medicare Part B about 90 days prior to their scheduled retirement date. Medicare Parts A and B will become primary upon retirement. If the spouse is age 65 or older, they are also required to apply for Medicare Parts A and B. When the employee retires, our office will provide verification that the employee and/or spouse have been on UD’s active coverage, so no penalty will be assessed. The State of Delaware and UD offer an optional Medicare supplemental plan which can include prescription coverage (Medicare Part D).

If the retiring employee or spouse is under age 65, they would be offered the opportunity to remain in the non-Medicare plan at the current rates.

Additional information on Medicare can be obtained at your local Social Security Administration Office, on Medicare’s website, or by contacting the State of Delaware, Department of Insurance’s Delaware Medicare Assistance Bureau (DMAB), or at 1-800-336-9500.