Presentation is loading. Please wait.

Presentation is loading. Please wait.

Office of Human Resources May 16, 2013. Office of Human Resources SURS is a retirement system and provides retirement, disability, death, and survivor.

Similar presentations


Presentation on theme: "Office of Human Resources May 16, 2013. Office of Human Resources SURS is a retirement system and provides retirement, disability, death, and survivor."— Presentation transcript:

1 Office of Human Resources May 16, 2013

2 Office of Human Resources SURS is a retirement system and provides retirement, disability, death, and survivor benefits to eligible SURS participants and annuitants. SIUE participates in the State Universities Retirement System of Illinois (SURS). For eligible SIUE employees, SURS participation begins on your first day of employment and requires a mandatory contribution to the retirement plan. The University also contributes a percent of your salary into your retirement account. What is SURS and how does if affect me?

3 Office of Human Resources You are required to participate in SURS if your position has: – continuous work for at least one academic term or 4.5 months, whichever is less. You are not eligible to participate in SURS if you: – Work less than one academic term or 4.5 months, whichever is less. – Are classified as a Civil Service Extra Help employee. – Are a J-1 or F-1 visa holder and have not established residency. – Work as a Graduate Assistant or Student Worker. Who participates in SURS?

4 Office of Human Resources Social Security is comprised of two parts, FICA Old Age and FICA Medicare. Employees who pay SURS do not pay FICA Old Age Tax. All employees (hired after March 31, 1986) do pay FICA Medicare tax. Do I pay into both Social Security and SURS?

5 Office of Human Resources When you retire, if you also qualify for Social Security benefits from other, non-SURS covered employment, your social security retirement benefits may be affected by the Windfall Elimination Provision or the Government Pension Offset, resulting in an offset to your Social Security benefit. See the SURS website for specific details on this impact : – The Windfall Elimination Provision The Windfall Elimination Provision – Government Pension Offset Government Pension Offset How does SURS affect my Social Security

6 Office of Human Resources You have six months from your initial date of employment to select from one of the three plans. SURS will send you a detailed retirement Choice Packet to your mailing address. If you do not make a decision within six months of your date of hire, you will automatically and irrevocably be enrolled in the Traditional Plan. Your choice of plan will determine the SURS benefits available to you and cannot be changed or revoked. To participate in SURS you must select a Plan

7 Office of Human Resources SURS offers three different plans: Traditional Plan – defined benefit plan Portable Plan – defined benefit plan Self-Managed Plan – defined contribution plan What types of plans does SURS offer?

8 Office of Human Resources The SURS Traditional Plan is a Defined Benefit Plan and provides lifetime retirement benefits and for a survivor benefit at no additional cost. Both employee and employer contribute to the Plan during payrolls throughout the work years. At retirement, an annuity is purchased with your retirement funds. A separation refund is available, if requested prior to retirement, but it is not as generous as the Portable Plan. What is the SURS Traditional Plan?

9 Office of Human Resources What are the basic features of the Traditional Plan? Employee Contribution8% of pensionable earnings or 9.5% for police Employer ContributionBeginning July 1, 2013 it is 11.91% Pensionable earning limitBeginning July 1, 2013, there is an annual pensionable earning limit of $112,204, which will increase annually Minimum Vesting10 years of service Normal Retirement Age67 with at least 10 years of service Earliest Retirement Age62 with a.5% reduction for each month under age 67 Retirement BenefitLifetime monthly retirement annuity based on years of service and earnings. Subject to a maximum of 80% of your final rate of earnings; excess contributions would be refunded at retirement

10 Office of Human Resources The SURS Portable Plan is a Defined Benefit Plan and includes provisions for survivor benefits with a reduction to the retirement and death benefits. Both employee and employer contribute to the Plan during payrolls throughout the year. At retirement, an annuity is purchased with your retirement funds. The Plan provides a more generous separation refund if you leave the SURS System prior to retirement. What is the SURS Portable Plan?

11 Office of Human Resources What are the basic features of the Portable Plan? Employee Contribution8% of pensionable earnings or 9.5% for police Employer Contribution Beginning July 1, 2013 it is 11.91% Pensionable earning limitBeginning July 1, 2013, there is an annual pensionable earning limit of $112,204, which will increase annually Minimum Vesting10 years of service Normal Retirement Age67 with at least 10 years of service Earliest Retirement Age62 with a.5% reduction for each month under age 67 Retirement BenefitLifetime monthly retirement annuity based on years of service and earnings. Subject to a maximum of 80% of your final rate of earnings; excess contributions would be refunded at retirement

12 Office of Human Resources The SURS Self-Managed Plan (SMP) is a Defined Contribution Plan that establishes an account in your name into which your contributions and the employer (State of Illinois) contributions are placed. You decide how your account balance will be invested, selecting from a variety of mutual funds and variable annuities. You may choose any of the funds within the SMP provided by: – Fidelity Investments – TIAA-CREF What is the SURS Self-Managed Plan?

13 Office of Human Resources What are the basic features of the Self-Managed Plan? Employee Contribution8% of pensionable earnings or 9.5% for police Employer ContributionBeginning July 1, 2013 it is 7.6% Pensionable earning limitNo limit, but may be subject to IRS limits Retirement Vesting62 with at least 5 years of service 55 with 8 or more years of service Any age with no age reduction with 30 years of service Retirement BenefitBased on your account value at retirement. Participants may choose a lump sum distribution or purchase an annuity.

14 Office of Human Resources Section 1 Personal Information – This includes your name, social security number, birthdate, address, phone and contact. Section 2 Choose your SURS Plan – Check the appropriate box indicating your election. Section 3 Signature required – You must sign and date the form. Section 4 only for Self-Managed Plan Elections – Choose your funds for the Self-Managed Plan Completing the SURS Election form

15 Office of Human Resources Completing the SURS Election form

16 Office of Human Resources

17

18

19 You may turn in the completed form to: Benefits staff in Human Resources Rendleman Hall, Room 3210, P.O. Box 1040, Edwardsville, IL, or You can mail the completed form to SURS, Box 2710, Champaign, IL, When SURS receives your election form, you will be mailed a confirmation to the mailing address you indicated on the form. Where do I mail the completed form?

20 Office of Human Resources It is extremely important that you keep your beneficiary current with SURS. You may call SURS at and they will update your designation. You can also update your beneficiary on the SURS member website at SURS Plan beneficiaries

21 Office of Human Resources SURS has many helpful webinars if you like additional information, these are located at webinars.http://surs.org/seminars- webinars For assistance in selecting the SURS plan option that is right for you, view the SURS Plan Choice Video and the SURS Retirement Planning Workbook.SURS Plan Choice VideoSURS Retirement Planning Workbook Where can I get more information about the SURS plans?

22 Office of Human Resources For forms and handbooks view SURS Retirement Plans.SURS Retirement Plans For information about the State Universities Annuitants’ Association advocacy group, visit their website at Additional information about the SURS plans

23 Office of Human Resources For additional information about electing your SURS plan, contact the Benefits Department in the Office of Human Resources at X2190 or go to: x.shtml. x.shtml Who can I call for help?


Download ppt "Office of Human Resources May 16, 2013. Office of Human Resources SURS is a retirement system and provides retirement, disability, death, and survivor."

Similar presentations


Ads by Google