Early Retirement Options with USU Disclaimer

Phased Retirement Policy 368

Eligibility: Must be at least 55 years old Must have 5 years of continuous benefited service at USU Academic Year appointments, may only initiate phased retirement January 1st or July 1st Minimum FTE an employee can reduce to & maintain benefits is 50%

What Phased Retirement offers: Allows a maximum of three years An employee can start to reduce the amount of time they are working while keeping their benefits, such as medical, dental and life insurance. Annual and sick leave will be earned on a pro-rata basis according to the percent of time worked in the phased retirement agreement.

Things to know or understand: The way to began the process, is to submit a written request to the Department Head or Director as soon as possible in advance of the start date. Once at a reduced work time (FTE) you can not increase your time (FTE). How the retirement incentive works

Early Retirement Policy 349

Eligibility: 5 Year Agreement 6 Year Agreement 57 years old Years of service and age add up to 75 years or more* 56 years old Years of service and age add up to 75 years or more* *(all benefited service of 50% time or more will qualify for credit)

Benefits while on Early Retirement: 5 Year Agreement 20% monthly incentive* until Full Retirement Age (FRA) or the end of the agreement, whichever comes first Continued medical & dental cvg. (The premium rate will be based on the 12-month salary preceding the date of early retirement.) 6 Year Agreement 16.67% monthly incentive* until Full Retirement Age (FRA) or the end of the agreement Continued medical & dental cvg. (The premium rate will be based on the 12-month salary preceding the date of early retirement. Plus an additional 15% surcharge based on the employer’s portion of premium.) *The incentive base may never exceed the estimated single Social Security benefit available to the individual at FRA.

Benefits while on Early Retirement Continued Medical coverage will end at the end of the month prior to turning 65 as Medicare will start the 1st of the month in which you turn 65. Spouse can stay on coverage until 65 or until the agreement ends, whichever comes first. Dependent children can stay on coverage until 26 (end of month they turn 26) or until the end of the agreement, whichever comes first. There is no change in the coverage, it is the same plan that an active employee receives with the same deductibles, co-insurance, open enrollment period, etc. The Dental coverage may continue to the end of the agreement. The Hartford will send you a notice at the start of your early retirement to see if you would like to Port or Convert your life insurance policy. Accrued annual leave will be paid in a lump sum at the time of early retirement.

PROCESS Discuss interest with supervisor Department Head will need to send Began Date, % of FTE, and description of duties and approval to Benefits Team for Phased Retirement Or Department Head will need to send Began Date of Early Retirement agreement and approval to Benefits Team Angie Clayson will prepare the agreement and send it to the employee requesting the agreement Requestor of the agreement will need to obtain required signatures and turn back into Angie HR will set up the Early Retirement Agreement in the payroll system

Additional thoughts regarding retirement: Start signing up for Medicare process at least 90 days prior to when you want Medicare to begin. Tina Davis with Regence BCBS OneExchange Social Security Administration Medicare.org If your retirement plan is with Utah Retirement System, contact them 90 days prior to when you want your distributions start Carey Wise If on TIAA and/or Fidelity, contact at any point, but 90 days prior to when you want your distributions to begin is a good rule of thumb

Solution Center 435-797-0122

Vendor Information TIAA Customer Service: (800) 842-2252 Ryan Peterson: (801) 883-5115 For appointments: (800) 732-8353 Fidelity Customer Service: (800) 343-0860 Teo Ngatuvai: (800) 642-7131 URS Customer Service: (800) 365-8772 Matt Brady: (801) 366-7334 Carey Wise: (801) 366-7346 Sources for Medicare Information OneExchange – 866-322-2824 or www.medicare.oneexchange.com Medicare – 800-MEDICARE or www.medicare.gov Regence – Tina Davis – (801)333-5581