Faculty Retirement - 8 - Optional Retirement Program 2

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Faculty Retirement - 8 - Optional Retirement Program 2

Investment options are available with either Fidelity Investments or TIAA-CREF.  Once you choose the investment vendor, you may invest your account among the vendor's approved investment options.  The accounts are initially processed in an age-based fund, such as a Freedom Fund or Life-Cycle Fund.  Once the first contribution has processed, a "Welcome" packet will be mailed to you at your home address.  At that time, you will have the option to maintain the age-based fund or select specified funds within each of the respective plan options.  You will also want to submit a designation of beneficiary as well.  Information regarding beneficiary designations will be included in the "Welcome" packet.  The Plan Representatives are generally on-campus each month for personal appointments, should you wish to meet for financial advice.  

Vesting means that you have full ownership of your account.  The ORP account is vested 100% immediately upon hire.  There is no waiting period!  

Your retirement benefits are determined by the value of your ORP account at the time of retirement.  You may elect to receive your account in a lump-sum payment, periodic distribution, or possibly an annuity.  Your ORP account is based on University contributions, income, expenses and any investment gains or losses in the investment option that you selected.  The federal tax law applies with regards to the age a distribution can be taken without an early withdrawal penalty.  Currently, the age is 59 1/2.

updated 7/23/2015

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