Retirement
All eligible* regular full-time employees must participate in one of the state of Tennessee’s retirement plans.
Regular part-time employees may join a retirement plan. Those who elect to participate are subject to the same terms and conditions as members with mandatory participation.
Retirement Plan Decision Guide
* Those not eligible to participate in retirement plans are:
- Student workers
- Temporary employees
- Medical residents
- Interns and externs
- Non-U.S. citizens who do not pay Social Security or Medicare taxes
- State retirees eligible to participate in the Tennessee Retiree Group Insurance Program
TN Consolidated Retirement System (TCRS)
The State retirement program (hybrid plan) is comprised of two valuable components: a defined benefit portion, provided through the Tennessee Consolidated Retirement System (TCRS), and a defined contribution 401(k) portion.
Contributions
UTC contributes an amount equal to 4% of your compensation to the defined benefit plan and 5% of your compensation to the defined contribution 401(k) plan. You contribute 5% of your compensation to the defined benefit plan.
You have the option to make supplemental contributions to your 401(k), and as a new member, you are also auto-enrolled to make an employee contribution of 2% of compensation. If you elect to continue making employee contributions to your 401(k), an amount equal to 16% of your compensation is going toward your retirement goals.
Vesting
Employees participating in the State retirement program are fully vested in the defined benefit plan after 5 years of service.
All contributions to the defined contribution 401(k) plan are 100% immediately vested.
- (800) 922-7772
- [email protected]
Optional Retirement Plan (ORP)
The Optional Retirement Plan (ORP), available to eligible faculty and exempt staff, is a “defined contribution” retirement plan, which means the amount of retirement benefits will be determined by the member’s account balance. This includes 401k, 403b and 457 deferred compensation.
Contributions
Your employer contributes an amount equal to 9% of your compensation and you contribute 5% of your compensation to your ORP account. Members are also auto-enrolled into the State of Tennessee 401(k) with a 2% employee deferral with the option to change the contribution rate or to opt out.
The State will match the first $50.00 of your monthly employee deferral. The 401(k) is a supplemental retirement savings plan and not part of your ORP plan.
Vesting
All contributions made to the ORP and 401(k) plan are 100% immediately vested.
Vendors in the ORP are VOYA and TIAA:
- 800-584-6001
- Plan Representative: Celeste Friend at [email protected]
- 800-842-2776
Enrollment and/or Managing your Account online:
Are You Retirement Ready?
When the time comes to retire, we want you to be ready. Make the most of your retirement by taking steps to plan for it now. This checklist will help you navigate the process from start to finish: