The university offers two retirement plans, both administered by TIAA-CREF. Once your TIAA-CREF account is established, you can access your account online at www.tiaa-cref.org, or call the TIAA-CREF Telephone Counseling Center at 800.842.2252 for assistance.
Employee Contribution: Tax-Deferred Annuity (TDA) Plan
You are eligible to make voluntary contributions to the Tax Deferred Annuity (TDA) plan. You may begin contributing to the TDA the first of the month following your hire date.
New TDA enrollments and changes to existing elections can be made at anytime by completing a Tax Deferred Annuity (TDA) Salary Reduction Agreement Form found in the benefits forms and documents section of this site and submitting it to the Office of Human Resources/Benefits. Forms may also be scanned and emailed to benefitshelp@newschool.edu. Your election will take effect on the first of the month following receipt of your completed form.
There are a variety of investment choices offered by TIAA-CREF. If you do not make an investment choice, your contributions will be automatically invested in a qualified default investment alternative, which is a TIAA-CREF Lifecycle Fund based on your expected year of retirement, assuming age 65. You can change your investment choices at any time. Please call TIAA-CREF at 800.842.2252 or contact the Benefits Staff for additional information.
You may elect to contribute a percentage of your base annual salary or a flat dollar amount. The minimum contribution is $25 per pay check. The maximum annual contribution as set by the IRS for 2013 is $17,500. Employees who are age 50 or over (or will turn 50 by 12/31) are eligible to contribute an additional $5,500 annually (as set by the IRS) to the TDA. If you have made contributions to another employer's retirement plan, it is your responsibility to ensure that your total contributions to all plans do not exceed the maximum annual basic contribution amount and/or the Age 50+ Catch-Up contribution amount (if applicable).
Contributions are made on a pre-tax basis, which lowers your taxable income. Upon enrollment, you are immediately 100 percent vested and have a non-forfeitable right to your own contributions and earnings. All accruals to your account are tax-deferred until a distribution is made to you.
Please note: Unless you decline to participate, you will be enrolled automatically in the TDA plan on the date indicated on a notification letter sent to your home address with contributions of 3 percent of your pay deducted on a pre-tax basis and invested in a TIAA-CREF Lifecycle Fund based on your expected year of retirement, assuming age 65. If you wish to waive participation you must return to The Office of Human Resources/Benefits the Declination Form enclosed with the letter. If you have been automatically enrolled and a Declination Form is subsequently received, participation will end on the first of the month following receipt. If you decline participation you are eligible to begin contributing to the TDA plan at a later date by completing and submitting the Salary Reduction Agreement Form to the Office of Human Resources/Benefits.
University Contribution: The New School Retirement Plan
The New School will make contributions to a retirement plan on your behalf once you have met both of the following requirements:
- You must be at least 25 years of age, and
- You must have completed one year of service with the university.
Once the eligibility criteria are met, you begin to receive university contributions on the first of the month following completion of one full year of employment.
Once enrolled, the university will contribute 7 percent of your base annual salary if you are under the age of 40 or have less than six years of service. The contribution amount is 10 percent if you are age 40 or older or if you have completed six or more years of service. Contributions are made to your account each pay period. Upon enrollment in the plan, you are 100 percent vested and have a non-forfeitable right to all contributions made to your account and all earnings. All accruals to your account are tax-deferred until a distribution is made to you. You direct the investment of university contributions by choosing from the investment choices offered by TIAA-CREF. If you do not initially make an investment allocation(s), contributions will be automatically invested in a qualified default investment alternative, which is a TIAA-CREF Lifecycle Fund based on your expected year of retirement, assuming age 65. You have the ability to change your investment allocations at any time.
Please Note: The one-year waiting period will be waived if you were previously employed by a 501(c)(3) organization, public college or university, not-for-profit private college or university, or governmental entity for at least a 12 month period as a full-time employee. It is your responsibility to request written verification from your previous employer stating:
- Your employment start and end dates
- That you were considered a full-time employee for at least a 12 month period during your employment tenure
- That the employer is a 501(c)(3) organization, public college or university, not-for-profit private college or university, or governmental entity
When you attend a new employee benefits orientation you will be provided with an enrollment form which should be submitted along with the letter from your former employer.