Retirement Benefits : Frequently Asked Questions

The following question and answer format has been designed to answer some of the more commonly asked questions about the retiree policy at Ithaca College. This guideline is only meant as a reference. Please refer to the Retiree Benefits Policy for eligibility requirements and specific benefit stipulations.

How long will this policy be in effect? What does benefits-eligible service mean? What if I am not sure I can afford to retire? When and whom do I notify when I am ready to retire? What happens if I become employed once I retire from the College? How is the medical cash-out option calculated for the medical plan? Can I change my mind after I opt out of the medical/dental benefits? Once I retire, will I be invited to College functions and can I use the facilities? What happens if my dependent child is enrolled or plans to enroll at Ithaca College at the time I retire? What happens if my dependent is receiving a cash award at the time I retire? Can I take classes at the College after I retire?

Q. How long will this policy be in effect?

A. Like all other College policies, the retiree policy will remain in effect indefinitely. However, the College reserves the right to modify or discontinue the policy.

Q. What does benefits-eligible service mean?

A. Benefits-eligible service means that in order to qualify for retirement benefits, the employee’s total service months must equal the eligibility requirement. This is calculated based on combining all months of eligible service (part-time benefits eligible service and full-time eligible service).

Q. What if I am not sure I can afford to retire?

A. It is never too early to begin planning for retirement. If you are enrolled in the TIAA-CREF basic or supplemental retirement plan, make an individual appointment with the TIAA-CREF representative who visits campus on a monthly basis. TIAA-CREF can prepare retirement estimates designed for your needs or assist you with a long-term strategy for a future retirement date. Call the benefits department to schedule an appointment. The benefits department will be arranging a series of financial planning seminars to be held by TIAA-CREF during 2001. This will be a great opportunity to receive free advice on planning for retirement.

Q. When and whom do I notify when I am ready to retire?

A. You should notify your supervisor or department chair in writing, with a copy to the Director of Benefits, about your intention to retire as far in advance as possible. Early notification will allow your supervisor (staff) or department chair (faculty) time to find a replacement. You should also contact the Director of Benefits as early as possible so that you can begin the benefits transition process.

Q. What happens if I become employed once I retire from the College?

A. Your retiree medical and dental benefits remain in effect, as outlined in the policy, as long as you are not eligible for benefits through another employer. It is the responsibility of the retiree to notify the College if you become eligible for benefits through another employer. The retiree life insurance benefit remains in effect until your death and is payable to your beneficiary.

Q. How is the medical cash-out option calculated for the medical plan?

A. If you choose the cash opt-out option, a one-time prorated payment not to exceed $5,000 based on your retirement date and birth date would be made upon retirement. For example, if you retire at age 55 ½, you would be eligible for 9 ½ years of cash-out allowance if you chose to opt-out of the medical benefits.

Q. Can I change my mind after I opt out of the medical/dental benefits?

A. No. Once you select the cash opt-out option, you cannot enroll in the College’s medical or dental benefits in the future.

Q. Once I retire, will I be invited to College functions and can I use the facilities?

A. Retirees are invited and encouraged to attend special College functions such as the annual holiday party, employee recognition luncheons and various cultural events held on campus. The athletic facilities and library are available to retirees. Please call the individual departments directly for details.

Q. What happens if my dependent child is enrolled or plans to enroll at Ithaca College at the time I retire?

A. Your dependent may be eligible to receive tuition remission benefits according to the Educational Benefits program stipulations. Your dependent must meet the College’s admission criteria.

Q. What happens if my dependent is receiving a cash award at the time I retire?

A. If your dependent is receiving cash awards at the time of your retirement, he/she can continue to receive the benefit as outlined in the Educational Benefits program stipulations.

Q. Can I take classes at the College after I retire?

A. Yes, retirees can take classes at the College provided there is sufficient space in the class. You must fill out a tuition remission request form prior to enrollment by contacting the benefits department.