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RETIREMENT

 

 

POLICY:II-4-16

DATE OF ADOPTION: June 9, 2004

REVISION DATE(S): October 15, 2008, December 11, 2008, March 26, 2009, December 16, 2009, August 21, 2014, January 15,2015

  

LEGAL REFERENCE: The Age Discrimination in Employment Act of 1967; 403(b) section of the IRS Code of 1986; 29 CFR § 2510.3-2(f) 

 

I. Retirement Eligibility

Eligible personnel who have been employed full-time in the Oklahoma state System of Higher Education for not less than five years immediately preceding the date of retirement may avail themselves of early retirement at the age authorized or permitted by the Oklahoma Teachers Retirement System.

 

 

II. Retirement Benefits

 

Social Security

In accordance with federal regulations, all SSC employees are participants in the Social Security System.  Social Security provides benefits for retirement, disability, death, and medical expense.

 

 

Oklahoma Teachers Retirement System (OTR)

All full-time employees and part-time employees authorized by the President may participate in OTR.    The College will pay each employee’s OTR contribution based on salary and fringe benefits (including annual contracts and overloads.)

 

 

III. Annuity (Tax-Sheltered 403 (B) Plan)

 

After a College employee has completed one year of full-time employment, the College President may authorize a contribution of an amount equal to 3.5 percent of the employee’s salary into a qualified tax-sheltered 403 (B) Plan.  This plan is based on employee and/or employer contributions into one of the approved tax-deferred annuity plans.  The combined employee and employer contribution may be as much as is allowable by the Internal Revenue Service.

The employer contribution to the 403 (B) plan will not be made for employees on unpaid leave of absence, unpaid FMLA leave, disability leave, or military leave in excess of 20 days in any fiscal year.

                                                                                                                                            

The SSC Board of Regents authorizes the President or his/her designee to select companies to offer qualified tax-sheltered 403 (B) Plans to College Employees according to guidelines set forth in the SSC 403(b) Master Retirement Plan.

 

IV. Retirement  Benefit

 

The Seminole State College Board of Regents authorizes an annual Retirement Incentive Plan with employees who are eligible to retire through the Oklahoma Teachers’ Retirement System and have at least nine and one-half years of service at Seminole State College.

 

The incentive payment consists of 25% of the employee’s last contracted annual salary with incentive checks issued on July 31, or the last day of the month following retirement, or at a time mutually agreed upon by the College and the employee. The one-time payment would be subject to applicable taxes.

 

To qualify for the plan, eligible faculty and staff must be in active, full-time employment, and must submit a formal retirement statement with a request to participate in the plan by April 1 to the Human Resource office. The employee’s retirement date must be effective no later than June 30 of the current fiscal year.  Participation in the incentive plan is not automatic.  The President must approve final participation in the plan and may suspend or terminate the plan due to financial exigency.  The President is authorized to approve exceptions to this policy on a case-by-case basis.  All such exceptions shall be reported to the Board of Regents.