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Retirement Benefits

[Faculty Handbook Category #4]

St. Olaf College reserves the right to change its Retirement Plan at any time, with or without notice. The descriptions of the retirement benefits contained in this Handbook are not summary plan descriptions or other plan documents. Any variations between the information contained herein and official plan documents will be governed by the plan document.

RETIREMENT ANNUITY (RA)

The Retirement Annuity is a “Defined Contribution Plan.” As the name suggests, there are set or defined levels at which both the employee and the college can contribute to this plan.

Faculty with an FTE of 0.50 or greater, who have reached the age of 21, and who have completed one year of service are eligible to participate in the Retirement Annuity. The one year of service requirement is waived for faculty who have been previously employed by an educational or church institution for at least one year with a minimum of 0.50 FTE.

Employee pre-tax contributions starting at 1% are matched by an equal percentage contribution plus an additional 6% from the college. Employees can choose contributions by full percentage points. Although employees may contribute more than 3%, the college contribution will not exceed 9%.

Employee Contribution College Contribution

1% 7%

2% 8%

3% 9%

The employee election of a contribution level may be made at the initial time of eligibility, and following that, once per plan quarter.

The employee’s and the college's contributions to the Retirement Annuity will be invested in TIAA‑CREF. Employees will determine how their contributions will be invested and can change the allocations once they are on the plan. Employees who wish to participate in the Retirement Annuity must complete a TIAA-CREF application and a college salary reduction agreement.

GROUP SUPPLEMENTAL RETIREMENT ANNUITY (GSRA)

Upon hire, all employees may contribute pre-tax dollars to a Group Supplemental Retirement Annuity up to the maximum amount set by law.[*] If you are age 50 or older, you may be able to contribute more (contact Human Resources for assistance).

Group Supplemental Retirement Annuities (GSRAs) are funded entirely by employee contributions. Participants may invest contributions with TIAA-CREF or any of the other companies offering 403(b) annuities that have been approved by the college. Participating employees must complete a company application form and a college salary reduction agreement.

The employee election of a contribution level may be made at the initial time of eligibility, and following that, once per plan quarter. The minimum monthly contribution to a GSRA is $25.00.

Participants may stop their contributions to the Retirement Annuity or Group Supplemental Retirement Annuity at any time during the plan year.

RETIREMENT HEALTH ACCOUNT

The Retirement Health Account is a “Defined Contribution” plan that will be available tax-free in retirement for payment of health insurance premiums and reimbursement of other qualified medical expenses.

Contributions to the plan by the college will begin when an employee with a FTE of 0.50 or greater reaches age 39. The college will determine the amount of the contribution.

Please contact Human Resources for the current plan description.

RETIREE HEALTH PLAN

St. Olaf College offers a Retiree Health Plan to employees who retire and meet the following eligibility criteria:

· age 55 or older,

· five years of service with St. Olaf College, and

· active participant in the St. Olaf College health plan at time of retirement.

Please contact Human Resources for the current plan description.