BACK

 

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,  September 6, 2018

  

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 allowable compensation as defined by OTR.

 

 

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 IRC 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 IRC 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 employer contribution to the plan will commence the month after the full-time employee completes the necessary enrollment into a College sponsored IRC 403(b) plan.

 

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. Health and Dental Insurance

All full-time employees beginning full-time employment on or after January 1, 2019, are ineligible for post-retirement health and dental insurance benefits outlined below.

 

For all full-time employees beginning full-time employment before January 1, 2019, the Seminole State College Board of Regents authorizes continued health and dental insurance premium contributions for employees who retire through the Oklahoma Teachers’ Retirement System and have at least nine and one-half years of service at Seminole State College.

 

To qualify for continued health and dental benefits, eligible faculty and staff must be in active, full-time employment, and must submit a formal retirement statement with a request to participate in continued health and dental benefits to the Human Resource office.  

 

Medical and dental insurance will be paid for qualified retirees until they become eligible for Medicare, at the option level the employee is enrolled in at the time of retirement, up to the health and dental insurance contribution amount the College makes for full-time employees.  Should the option level in which the retiree is enrolled at the time of retirement cease to exist as an option, the College will pay for the replacement option chosen by the retiree, up to the health and dental insurance contribution amount the College makes for full-time employees

 

V. Retirement  Benefit

 

All full-time employees beginning full-time employment on or after January 1, 2019, are ineligible for the retirement incentive plan outlined below.

 

For all full-time employees beginning full-time employment before January, 1, 2019, the Seminole State College Board of Regents authorizes Retirement Incentive Plan for employees who are retire through the Oklahoma Teachers’ Retirement System and have at least nine and one-half years of service at Seminole State College.

 

The one-time 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 to the Human Resources office by April 1. The employee’s retirement date must be effective no earlier 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.