Prepare for Retirement
Planning for retirement means planning for a secure financial future. Take advantage of the many resources available, including meetings with TIAA, Fidelity, or Voya and the financial tools they offer, as well as exploring the information, action items, and resources provided below.
MEET WITH YOUR PLAN REPRESENTATIVE
Find contact information on the right side of this page
VRS PARTICIPANTS:
Log into MYVRS for retirement estimates, payout options, and more.
LEARN MORE ABOUT MEDICARE
AND SOCIAL SECURITY
UVA RETIREE HEALTH BENEFITS (MEDICARE SUPPLEMENT)
Read details
MEET WITH A UVA HR BENEFITS COUNSELOR
Contact the HR Solution Center
REACH OUT TO FEAP
for support in transitioning to retirement.
Normal retirement age under VRS Plan 1 is age 65. You become eligible for an unreduced benefit at age 65 with at least five years of service credit or at age 50 with at least 30 years of service credit.
You may retire with a reduced benefit as early as age 55 with at least five years of service credit or age 50 with at least 10 years of service credit. To determine your reduced benefit, VRS applies an early retirement reduction factor to your unreduced basic benefit.
Normal retirement age under VRS Plan 2 is your normal Social Security retirement age. You become eligible for an unreduced benefit when you reach your normal Social Security retirement age and have at least five years of service credit or when your age and service credit equal 90. Example: Age 60 with 30 years of service credit.
You may retire with a reduced benefit as early as age 60 with at least five years of service credit. To determine your reduced benefit, VRS applies an early retirement reduction factor to your unreduced basic benefit.
You become eligible for an unreduced retirement benefit under the defined benefit component when you reach your normal Social Security retirement age and have at least five years of service credit or when your age and service equal 90 (Rule of 90) and you have at least five years of service credit. Example: Age 60 with 30 years of service credit.
You may retire with a reduced benefit as early as age 60 if you have at least five years of service credit. To determine your reduced benefit, VRS applies an early retirement reduction factor to your unreduced basic benefit.
If you leave VRS-covered employment before retirement, you can:
Before you decide:
If you are enrolled in the Optional Retirement Plan or Medical Center Retirement Plan, you may qualify as a UVA retiree based on your most recent hire date and years of service:
All invested funds are subject to investment gains or losses.
Please note that preparation for retirement varies by situation and individual. This list is intended as a general suggestion only and is not all-inclusive.
You may have several options for your VRS retirement defined benefit (pension) payment, depending on your plan and when you retire
More information on VRS payout options.
If you were hired prior to 2000 and have disability credits, please ask your HR benefits counselor about your options at retirement.
If you did not join the Virginia Sickness and Disability Program (remaining in the traditional sick plan), and have a traditional sick leave balance, please ask your HR benefits counselor about your options at retirement.
The ORP is a defined contribution plan; check your account balance to determine your funds for retirement. Set up a consultation with your retirement plan representative (Fidelity or TIAA) to discuss financial readiness to retire, distribution options, and any questions you may have.
Contact TIAA, log in to your account, and more
Account login
Meet with a representative
800.842.2252
Contact Fidelity, log in to your account, and more
Account login
Meet with a representative
800.343.0860
Fidelity Resources
ORP Summary
Optional Retirement Plan Summary
For more information about how the ORP works, visit the ORP page.
The MCRP is a defined contribution plan; check your account balance to determine your funds for retirement. Set up a consultation with your retirement plan representative (Fidelity or TIAA) to discuss financial readiness to retire, distribution options, and any questions you may have.
Contact Fidelity, log in to your account, and more
Account login
Meet with a representative
800.343.0860
Fidelity Resources
Contact TIAA, log in to your account, and more
Account login
Meet with a representative
800.842.2252
MCRP Summary
Medical Center Retirement Program
For more information about how the MCRP works, visit the MCRP page.
MEDICARE RESOURCES
HEALTH INSURANCE UNDER AGE 65
If you haven’t already done so, create an account with my Social Security where you can see estimates, earnings history, and even apply for your benefit online.
You may wish to speak with a Social Security Administration representative and/or a financial advisor to discuss your options for when to take your Social Security Retirement Income.
You may take partial benefits at age 62. The Social Security Administration will pay you an additional 8% per year once you reach your full retirement age if you elect to take your retirement at a later date. You must take it at age 70. For an overview of retirement age effects on benefits, visit the Social Security Administration website.
You also have the option to file-and-suspend. If you have a spouse who is receiving their full retirement benefit, you may file-and-suspend your benefit and request to take one-half of your spouse’s full benefit amount. This does not affect the amount of retirement benefit received by your spouse. This will allow you to continue to earn the additional 8% per year until you reach 70. At that time you can file to take your full retirement benefit
The Charlottesville area District Social Security Administration office is located at 1470 Pantops Mountain Place and can be reached by telephone at 1-800-772-1213. You can find booklets online as well as a local office locator at the Social Security Administration homepage.
*Note: If you are a Medical Center employee in VRS, but enrolled in life insurance with The Standard and not Securian life, your retiree life insurance remains with The Standard and provides a death benefit of $10,000 payable to your designated beneficiaries upon your death (See "The Standard Life Insurance" below). The above VRS Securian life information does not apply to participants in The Standard.
UVA provides $10,000 in life insurance to eligible retired members who have The Standard life insurance at retirement. We encourage you to update your beneficiaries at retirement.
The Standard offers an opportunity for conversion of your optional or remaining basic life at retirement.
Some retirees may be eligible for a health insurance credit (HIC). The HIC is a VRS benefit available to UVA retirees enrolled in VRS, ORP, or MCRP with 15 years or more of non-refunded benefited service in the retirement plan. This is a benefit paid directly to the retiree by VRS to help offset health insurance costs in retirement. The benefit is $4.25 per month for every year of benefited, non-refunded service; however, the benefit cannot exceed your premiums for health insurance each month (includes Medicare).
You will be paid for unused, accrued PTO.
Retirement plan contributions are usually made with before-tax dollars, so federal income taxes are deferred until you begin taking withdrawals later on.
No taxes are due on pretax contributions and earnings until the money is withdrawn, but because these plans are intended primarily for retirement, you can generally withdraw funds only after termination of employment or age 59½ (subject to plan rules). If you withdraw funds before age 59½, they may be subject to an additional 10% early-withdrawal penalty.
Please contact your tax advisor for additional guidance.
Retirement plan contributions are usually made with before-tax dollars; federal income taxes are deferred until withdrawals later on.
No taxes are due on pretax contributions and earnings until the money is withdrawn, but because these plans are intended primarily for retirement, you can generally withdraw funds only after termination of employment or age 59½ (subject to plan rules). If you withdraw funds before age 59½, they may be subject to an additional 10% early-withdrawal penalty.
Please contact your tax advisor for additional guidance.
403(b) and 457 plan contributions can be made with pretax dollars or Roth after-tax contributions.
No taxes are due on pretax contributions and earnings until the money is withdrawn. Roth contributions are tax-free when withdrawn and Roth earnings can be withdrawn tax-free as long as it has been five tax years since your first Roth 403(b) contribution. Because these plans are intended primarily for retirement, you can generally withdraw funds only after termination of employment or age 59½ (subject to plan rules). If you withdraw funds before age 59½, they may be subject to an additional 10% early-withdrawal penalty.
Please contact your tax advisor for additional guidance.
Contact your retirement plan vendor for more information.
You generally have to start taking withdrawals from your retirement plan accounts by April 1 following the later of the calendar year in which you:
Contact your retirement plan vendor for more information.
After you retire, you can work for an employer who does not participate in VRS and continue to receive your retirement benefits.
If you return to covered (benefited) employment with a VRS-participating employer (even if you participate in the ORP or MCRP), you will become an active member and your retirement benefits will stop.
Retirees who accept non-covered employment* with the same employer must have a bona-fide break in service of at least one full calendar month from their retirement date to continue receiving retirement benefits. This break must occur over a period the employee would normally work. Periods of leave with or without pay, summer breaks, and intersession periods do not count toward satisfying this break in service.
*Non-covered employment includes temporary, part-time hourly, and adjunct faculty positions that do not provide VRS, ORP, or MCRP benefits; cannot exceed 1,500 hours per calendar year.
See Working after Retirement for more information on this VRS policy.
This presentation is for current Plan 1 and Plan 2 members (hired before January 1, 2014) and guides you through important retirement decisions.
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