Reporter Volume 26, No.21 March 23, 1995 As part of the 1995-96 budget reduction plan, Gov. George Pataki has signed a retirement incentive for employees age 50 and over with at least 10 years of service. Eligible classified employees were required to file a non-binding Notice of Interest by March 17 in order to participate in the 1995 program; April 7 is the last day an employee may file an irrevocable application with the retirement system and campus personnel office. Retirement date for classified employees must be on or before April 21, 1995. UB faculty and professional staff who wish to consider the 1995 retirement incentive must file a non-binding Notice of Interest with Personnel Services no later than the close of business Wednesday, April 19, 1995; an irrevocable written notification of retirement must be provided to the employee's retirement system no later than the close of business on Wednesday, July 19, 1995. The open period for retirement is May 12-Aug. 10, 1995. Eligibility criteria for the early retirement incentive program are based on an employee's age and years of service. The TIAA-CREF incentive provides three equal cash payments (not added to accumulations) at 2, 14 and 26 months after the retirement effective date based on one-twelfth for each year of service multiplied by 15 percent, multiplied by the annual base salary rate in effect on Feb. 1, 1995, up to a maximum of 45 percent of salary. The ERS or TRS incentive provides an additional one-twelfth of a year of service for each year of service credit as of the date of retirement, up to a maximum of three years. Retirement benefits are reduced if one retires before the age required by one's tier. In an effort to enable employees to best be able to make an informed decision about whether to take advantage of the early retirement incentive program, information sessions will be held starting today. Health insurance information sessions will be held at 3 p.m. today (March 23) and tomorrow (March 24) in 102 Crofts Hall. Sessions are conducted by Personnel Services staff, and will focus on health insurance benefits in retirement, Medicare enrollment, prescription drug coverage and other benefits. A TIAA-CREF representative also will hold group and individual information sessions today in the Human Resources Development Center; and April 28, May 3, June 7 and July 12 in 102 Crofts Hall. Interested employees enrolled in TIAA-CREF should call 1-800-842-8412 for an appointment to schedule a session. A private consultation session is about 30 minutes. Following are some of the questions asked most often in early retirement incentive program information sessions: Am I eligible to participate in this incentive? Yes, if you have 10 years of state (and/or participating employer) service, are at least 50 years of age, and were on the payroll or paid leave as of Feb. 1, 1995. What does targeting mean? A targeted incentive retirement program means that position titles are selected and incumbents of those selected titles may elect to retire under the program if they meet the eligibility requirements. For SUNY, the Chancellor determines the targeted titles. If my position is targeted and I do not retire, will I be laid off? The Retirement Incentive Program and retrenchment are separate processes and unrelated. Can my department stop my position from being targeted? No. The Chancellor determines the targeted titles. What will happen to my health insurance if I retire? If you are eligible to retire under this incentive, you may continue health insurance coverage by continuing to pay the employee's share. You may also convert up to 165 days of your sick leave accruals to a dollar equivalent of your salary to pay the employee's share. Based on the sick leave accrual conversion for health insurance premium cost, at what age will my monthly credit run out? The monthly credit remains the same for the retiree's life. Will I get paid for vacation accruals? Yes, up to 30 days vacation accruals. Do I lose my prescription coverage? No. Prescription coverage becomes part of the health insurance package provided by the state. Is the dollar amount of the TIAA-CREF cash incentive divided by three and paid over three installments, or is the amount of the incentive paid three times? The dollar amount of the cash incentive is divided by three and paid in three equal installments at two months, 14 months and 26 months after your retirement effective date. How did you come up with the percentage on the TIAA-CREF incentive chart? The percentages are based on the calculation one-twelfth for each year of service multiplied by 15 percent, multiplied by the annual base salary in effect on Feb. 1, 1995. Does my service count for the incentive for years worked at this campus prior to Sept. 1, 1962? No. Only state service (campus became state on Sept. 1, 1962) as well as service in the Optional Retirement Program.