Investment Options For Your Retirement Funds
Carnegie Mellon employees are responsible for investing the money in their Faculty and Staff Retirement Plan Account and the Supplemental Retirement Account. Upon your hire, your university contributions will automatically be invested in an age-appropriate TIAA-CREF LifeCycle fund. (This default enrollment is based on an anticipated retirement age of 65.) Upon completion of the appropriate carrier enrollment forms, your retirement account contributions will be invested in the TIAA-CREF and/or Vanguard investment fund options of your choice. Be sure to complete your retirement applications to ensure that your funds are deposited into the investment funds that best meet your retirement goals. (See the Enrolling in Your Carnegie Mellon Retirement Benefits (.pdf) helpsheet for instructions on enrolling.)
Investment Options
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|
TIAA-CREF Group |
TIAA-CREF Group Supplemental Retirement Annuity (GRSA) |
Vanguard Mutual Funds
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Investment Options |
TIAA-CREF Carnegie Mellon Investment Guide (.pdf) |
TIAA-CREF Carnegie Mellon Investment Guide (.pdf) |
|
|
Invest: (University money) |
yes |
no |
yes |
|
Invest: (Your contributions) |
Only if vested and have contributed to the GRA as of April 2006 |
yes |
yes |
|
|
Interest rates vary according to specific funds selected. Higher TIAA interest rate than the GSRA (CREF rate is the same). |
Interest rates vary according to specific funds selected. Lower TIAA interest rate than the GRA (CREF rate is the same). |
Interest rates vary according to specific funds selected |
|
Loan features |
No loans available. |
Loans available; borrow up to 45% of your own money. |
No loans available. |
Withdrawal of funds |
CREF lump sum withdrawals age 59-1/2 or separation from service (whichever is later); TIAA lump sum if less than $2,000 and within 120 days of separation and age 59-1/2; otherwise transfer over 10 years (active or separated). |
At separation from service or age 59-1/2. |
University contributions: Age SRA funds: at termination or age 59-1/2. |
Traditional vs Roth 403(b) Accounts
University contributions are placed into a traditional 403(b) plan; the contributions and their earnings will be considered taxable income when you withdraw the funds at retirement. As of January 2007, you may make SRA contribution to a traditional 403(b) account or to a Roth 403(b) plan. The traditional plan allows you to make pre-tax contributions, which lowers your taxes now while building your retirement income. The Roth plan allows you to make post-tax contributions; the contributions and their earnings are untaxed in retirement. See Roth 403(b) Announcement (.pdf).
TIAA-CREF forms and information:
- TIAA-CREF Website for Carnegie Mellon
- TIAA-CREF Faculty and Staff Retirement Account (GRA) enrollment application (.pdf)
- TIAA-CREF Supplemental Retirement Account (GSRA) enrollment application (.pdf)
- TIAA-CREF Carnegie Mellon Investment Guide (.pdf)
- TIAA-CREF Forms Download Center
Vanguard forms and information:
- Vanguard Website
- Vanguard Enrollment & Change Form (.pdf)
- Vanguard Fund Options Site
- Vanguard Mutual Funds (.pdf)
- Vanguard Enrollment Guide with Fund Recommendations (.pdf)
- Vanguard Asset Transfer form (.pdf)
Other retirement forms:
- New Supplemental Retirement Account - Salary Reduction Agreement (.pdf) - to initiate a Supplemental Retirement Account
- Prior Retirement Plan Participation form (.pdf) - if you already have a retirement account elsewhere.
- Retirement Plan Change form (.pdf) - to switch contributions from one administrator to the other.