Participation in the University Retirement Program is mandatory at age 35 for full-time and part-time faculty members. Those under age 35 when employed are required to enroll at the beginning of the contract year following their 35th birthday. Those who are age 35 or older (but under age 50) when employed are required to enroll at the time of hire. These requirements are not applicable to temporary faculty members.
Participation with University contributions is optional for eligible persons under age 35 or for those first employed after reaching their 50th birthday.
If participating in TIAA/CREF, the individual may contribute by payroll deduction (non tax-deferred contribution) or payroll reduction (tax-deferred contribution). If participating in Fidelity Investments, all employee contributions are tax-deferred. Contributions may be between 4 percent and 11 percent of annual base salary and may be limited further by Internal Revenue Service maximums. According to University policy, the individual must contribute at least 4 percent of salary up to $16,000 and has the option of discontinuing contributions on earnings in excess of $16,000.
Depending on the individual's salary designations, the University will contribute 11 percent of annual base salary or 11 percent of $16,000.
Nine-month faculty and chairpersons may contribute on earnings from summer supplemental contracts. The University will also contribute, providing the individual has elected this option. Individual and University percentage contributions are the same as during the academic year.
The individual's maximum tax-deferred contribution is generally 11 percent plus an additional fixed amount per annum in accordance with IRS limitations. Participants may allocate all contributions (including University contributions) to TIAA and/or to CREF in accordance with the following: 100:0, 75:25, 67:33, 50:50, 25:75, 0:100.
Eligibility criteria, salary designations, and contribution percentages described above also pertain to the Fidelity Investments option. Likewise, faculty who participate in Fidelity Investments will be able to choose from among all funds offered by the company. Effective March 1, 1990 eligible faculty may participate concurrently in both the TIAA/CREF and Fidelity Investments programs.
(Rev. 2/91)
