Retirement Process

There are many things you can do to start preparing for your retirement now. Whether you are new to St. Cloud State University, intending to retire in a few years, or looking to retire soon, there is a lot of information you may need to know. Here is an overview of that Retirement process to help you prepare:

Step 1: Determine your eligibility

• The best way to determine your eligibility for retirement is to talk to your Human Resources Benefits Team or contacting the State Employee Group Insurance Program (SEGIP).
• MMB's Enterprise Talent Development (ETD) offers a Pre-Planning for Retirement Seminar for all Minnesota state employees. Whether you are five years or thirty years away from retirement, this course will provide valuable insight for planning your retirement and give you the tools to protect your future. 
  • To attend, you must be registered in Learning Management prior to the program start date. Self-payment or payment from the participant is not a valid payment option. MMB's ETD division will only accept payment directly from your agency or organization.
  • Remember to follow your agency's policies and procedures to encumber funds before you enroll! 

Step 2: Learn about your benefits after retirement

• Sign up for the State Retirement Seminar. In this seminar, they will help you learn how to estimate your pension and social security benefits, understand your health care savings plan, navigate your state insurance and deferred compensation benefits, manage your estate, and gain insight on how your state and federal taxes will change.
  • To attend, you must be registered in Learning Management prior to the program start date. Self-payment or payment from the participant is not a valid payment option. MMB's ETD division will only accept payment directly from your agency or organization.
  • Remember to follow your agency's policies and procedures to encumber funds before you enroll!
• Attend a FREE Retiree Insurance Seminar for Employees. One of the most confusing issues in retirement planning is often health insurance. State employee health insurance experts cover the state’s retiree plan and more during a free two-hour session.
  • Sessions are in person around the state and online.
• Visit SEGIP's Plan Summaries and Certificates page for more Retirement Benefits information.
• Learn more about Medicare.

Step 3: Determining your retirement date

Your retirement is on the horizon. Now is a good time to think about your retirement date.

After you have determined your retirement date:

• Employees intending to retire are expected to provide written notice of their intent to retire to their supervisor with reasonable advance notice.
  • NOTE: Employees in certain bargaining units should be aware of deadlines for submitting a retirement notice that may affect eligibility for early notice and early separation incentives. Please refer to your bargaining agreement or employment plan. 
• Contact your retirement plan administrator to review your options.
• If you or your spouse is approaching age 65, contact a SEGIP retirement specialist to learn how Medicare A & B affect your SEGIP insurance coverage.
• Contact the Social Security Administration for information regarding your Social Security retirement benefits.
• Start a conversation with your Human Resources department about your retirement plans.

Step 4: Meeting with Human Resources

Time to take action. Approximately two to three months before an employee's planned retirement date, a meeting with Human Resources will be scheduled to discuss the retirement in more detail. It is important that you complete and submit your paperwork 30-60 days prior to your retirement to continue your coverages. You may call or email the Benefits Team or Schedule a Meeting online.

At that meeting, Human Resources will go over the following:

• Your estimated severance pay, as specified in the applicable bargaining unit contract.
• The Health Care Savings Plan (HCSP). The HCSP is a reimbursement account that your applicable severance pay will go into. HR will provide an overview on how the plan works and the eligible medical expenses it covers.
• Emeriti Status. If you are eligible and wish to complete the nomination process.
• A summary of the Retiree Monthly Rates if you wish to continue your insurance coverages.
• The Request for Continuation of Coverage upon Retirement form that must be filled out prior to the deadline and returned to Human Resources, whether you are electing to continue or end your coverages.
• All other applicable forms that are specific to your current and future coverages.

Deadlines: Retirement paperwork may be submitted no later than 30 days after your retirement date. It is not advisable to submit continuation forms after your retirement date. There can be critical impacts on Senior Plan enrollments, and may cause a delay in claims processing.

As you near the date of your retirement you will receive COBRA paperwork in the mail. This does not mean that your continuation paperwork was not received by SEGIP. Your employer is required by federal law to offer you COBRA coverage when your employment ends. If you have submitted your Request for Continuation of Coverage upon Retirement you may disregard this paperwork.

For all other questions, please reach out to your Human Resources Benefits Team.

Classified Retirement Plan

Minnesota State Retirement System (MSRS)

• Classified employees are enrolled in the Minnesota State Retirement System (MSRS) General Plan, a defined benefit retirement plan. This plan provides retirement, survivor and disability coverage for eligible employees. All investments within the plan are managed by the State Board of Investment. Employees and the employer contribute a set percentage of salary.
• The MSRS General Plan requires a minimum of three years of service for vesting and provides a guaranteed lifetime annuity to eligible retirees.
• Vested members are eligible to collect a full retirement benefit at age 65. Most employees can begin collecting a reduced monthly benefit at age 55 or later.
• At retirement, the lifetime benefit is calculated using a formula defined in Minnesota law. The first piece we consider is the length of service. Then we calculate the high-five average salary. We take these two pieces and apply it to a benefit multiplier to determine the retirement benefit. Other factors that determine the monthly benefit are the retirement age and the survivor benefit option selected at retirement. This type of benefit is valuable because the retiree cannot outlive retirement savings.
• MSRS offers educational opportunities to help you better understand your retirement plan accounts. They offer FREE Mid-Career and Pre-Retirement Webinars intended to help you make informed savings decisions as you plan for retirement. Register for an upcoming Webinar.

For more information, including the General Plan handbook, contribution rates and the service credit formula, visit the General Employees Retirement Plan page.

Unclassified Retirement Plans

IFO, MSUAASF and Administrators.

Unclassified employees (working .25 FTE and above) are enrolled in either the Individual Retirement Account Plan (IRAP) or the Teachers Retirement Association (TRA). After two years of employment, full-time employees also begin contributing to the Supplemental Retirement Plan. New employees have one year to review the provisions of the IRAP and TRA plans to determine retirement plan choice.

Minnesota Teacher's Retirement Association (TRA)

• TRA is an option for faculty, administrators, and unclassified MMA and MAPE members who wish to participate in a Defined Benefit Plan.
• Eligible employees have one (1) year from the date they become eligible to participate in a retirement plan to make an irrevocable election to participate in the Teachers Retirement Association, rather than the Individual Retirement Account Plan (IRAP).
• Upon retirement, participants receive a monthly benefit for life, calculated using: Their highest average salary over five years, years of eligible teaching service, and age at retirement.
• Vesting Requirement: Employees become vested after three years of participation.
  • Part-time service counts toward vesting on a pro-rated basis.
• Guaranteed Annuity: TRA provides a secure, lifetime annuity once vested and retired.

Individual Retirement Account Plan (IRAP)

• IRAP is a mandatory retirement and Defined Contribution Plan for faculty, system administrators and unclassified members of MAPE and MMA.
• An employee becomes eligible to contribute to the plan if he or she works twenty-five (25) percent or more of a full-time position. Once an employee meets the eligibility requirement, enrollment in the Individual Retirement Account Plan is automatic.
• Contributions to this account will be 100% vested immediately.

Supplemental Retirement Plan (SRP)

• SRP is a mandatory plan for all faculty and unclassified employees following two (2) years of full-time service.
• Employee contribution limits are established by language in applicable bargaining agreements and personnel plans.
• Contributions are deducted from each paycheck on a pretax basis and deposited in the Plan. The contributions are subject to Social Security tax, so the participant's future Social Security benefits are not reduced by participation in the Plan.
• A participant who is currently employed and has employee SRP contributions deducted from their pay receives MnSCU matching contributions. MnSCU makes a contribution equal to 100% of the employee's contributions to the SRP.

Optional Retirement Plans

For All Employees

No matter which mandatory retirement plan you have, Minnesota State provides two voluntary retirement plans. As a state employee in an educational institution, you may participate in the 403(b)Tax Sheltered Annuity Plan and the 457(b) State of Minnesota’s Deferred Compensation Plan. For maximum flexibility both programs offer pretax and after-tax Roth options. These plans are voluntary, and you may enroll at any time.

Minnesota Deferred Compensation Plan (MNDCP)

• The State of Minnesota Deferred Compensation Plan (457[b]) is a voluntary savings plan that is available to any full-time, part-time, or temporary Minnesota State employee.
• MNDCP allows employees to place a portion of earnings into a tax-deferred investment program under section 457 of the Internal Revenue Code.
• You are eligible to withdraw savings from your MNDCP account at any age upon retirement, termination of employment, or disability.
• If you are still employed, you are eligible to withdraw your MNDCP savings anytime after age 59½.
• Upon your death your designated beneficiary(ies) can withdraw funds.
• This program is managed by the Minnesota State Retirement System (MSRS). There is a minimum contribution of $10 per paycheck.

Tax Sheltered Annuity Plan (TSA)

• The Tax Sheltered Annuity plan (403[b]) is a voluntary retirement savings plan available to all Minnesota State employees.
• You can select your own investments immediately and make Roth contributions that can grow tax-free
• You decide how much you will save out of each paycheck, subject to Internal Revenue Service limitations.
• Contributions to this account will be 100% vested immediately.
• You can change your contribution amount or transfer your investments within the plans at any time. It is your money. You control it.

Eligibility

To be awarded emeritus status, an employee must have:

• Separated, or be separating, from the university with a minimum of 10 years full-time equivalent service;
• Established a record of distinguished service while employed at the university; and
• Separated from employment in good standing.

Emeriti Benefits

• Email and access to SCSU WiFi.
• Basic computer support on campus by HuskyTech.
• A complimentary campus parking permit.
• A complimentary Emeriti identification card that can be presented for benefits such as discounted admission to ticketed events (equal to the employee rate); access to cultural events other than events scheduled by invitation only; and use of recreational facilities on the same basis as active employees. 
• A profile in the Repository for faculty emeriti.
• Access to library resources on the same basis as employees.
• Listing in the campus directory.
• Invitation to activities and events hosted by the University and/or Alumni Association.
• An order of SCSU Emeriti business cards providing personal contact information provided by their department.
• Some benefits will continue to be extended to surviving spouses of emeriti. 

For questions about these benefits or how to obtain them, see the Frequently Asked Questions section of the University Policies & Procedure page.

Volunteer Opportunities

Many retired SCSU employees have expressed an interest in performing a variety of volunteer tasks for the university. These include:

• Tutoring
• Assisting with alumni events
• Serving as event ambassadors
• Volunteering at University programs and activities such as the Husky Food Pantry, Commencement, or conferences such as Power In Diversity
• Supporting Continuing Education and Outreach programs
• Assisting International programs and activities
• Serving as a thesis or dissertation committee member
• Assisting with student recruitment

Questions about volunteer opportunities may be directed to the department of Advancement & Alumni Engagement.

Process Overview

When an official retirement and Emeriti request has been received by Human Resources (HR), Human Resources will initiate the step-by-step process. The decision whether to grant emeriti status shall come from the President. The decision of the President is final.

Emeriti ID Card Process

Once Emeriti status is granted, you must bring your old campus card to Husky Tech at the James W. Miller Learning Resources Center.  A new card will be issued. The first Emeriti ID card is free of charge, but replacement cards are $15.

For questions or concerns about your SCSU ID contact Husky Tech.

For all other information:

Visit: Emeriti - St. Cloud State University Policy & Procedures.