Office of HuMan resources

PENSION

Policy Effective Date:    March 2004

All full-time, permanent employees after two (2) years of continuous full-time employment shall be eligible to participate in a retirement plan known as Teachers Insurance Annuity Association (TIAA) and College Retirement Equity Fund (CREF).

If prior to employment at Manhattan College, the employee had worked full-time at another college or university, then credit for that service will be used towards entrance into Manhattan’s plan.   Employees who own fully vested, fully funded TIAA-CREF contracts issued under the terms of a previous college or university may begin participation in this retirement plan through TIAA-CREF on the first day of the month following employment at Manhattan College.

The minimum rate of contribution for the employee is three percent (3%) of base earnings.   Employees may choose to contribute five percent (5%) of base earnings.

For those contributing to the plan, the rate of contribution by the College is five percent (5%) of base earnings up to the Social Security wage base.

The College’s contribution will increase on the tenth anniversary of the employee’s continuous full-time employment.   In Fiscal Year 2005, the College contribution will be 6.5% of base earnings up to the Social Security wage base.   (Note: The following increases may be postponed if the financial situation of the College so necessitates.)   In Fiscal Year 2006, the College’s contribution will be 7.5% of base earnings up to the Social Security wage base.   In Fiscal Year 2007, the College’s contribution will be 8.5% of base earnings up to the Social Security wage base.   In Fiscal Year 2008 and thereafter, the College’s contribution will be 10% of base earnings.

The College contributes ten percent (10%) of base earnings above the Social Security wage base provided the employee contributes (5%) of base earnings above the Social Security wage base.   This provision will become moot when the College’s contribution, as noted in the previous paragraph, reaches 10% of base earnings.

Related Link: www.tiaa-cref.org

SUPPLEMENTAL RETIREMENT PLAN

As an additional way to plan for retirement, a 403(b) tax deferred annuity plan is available. Employees participate by authorizing monies obtained through payroll deduction to be invested in an individually selected, professionally managed portfolio. The deducted monies and the interest earned are tax exempt until the money is withdrawn.