Phased Retirement

General Overview

The Phased Retirement plan is available to faculty and unclassified staff who are at least age 55 and have 10 years of full-time service with the Kansas board of regents.

Implementation

August 8, 1994 memo attachment from Ed Meyen regarding Phased Retirement Program. Implementation of the Regents Reduced Service (Phased Retirement) Program - Lawrence Campus

The primary focus of the reduced service program will be on members of the faculty. Faculty members can be accommodated on a reduced assignment through reductions in teaching loads. An unclassified professional staff member's request for reduced service will be considered only when it is deemed to be of benefit to both the University and the staff member. Professional staff members have responsibilities that are not easily accommodated through part-time assignments.

Participation

Participation in the program is not automatic or guaranteed. The primary consideration will be institutional needs. The continued effective operation of the unit to which the individual is assigned is key to decisions on granting reduced service requests.

The maximum length of time for a phased retirement agreement is five (5) years. The phased retirement agreement can be of a shorter duration, but cannot exceed five (5) years.

Faculty Requests

Recommendations in response to requests of faculty will be initiated at the department level, with endorsements sought at the dean level, and the final decision being made by the Vice Chancellor for Academic Affairs. In cases involving faculty holding a joint appointment in a center or institute, the Vice Chancellor for Research, Graduate Studies and Public Service will coordinate with the Vice Chancellor for Academic Affairs in making the decision.

Unclassified Professional Staff Requests

For professional unclassified staff, recommendations will be initiated at the unit level, and the endorsement made by the appropriate vice chancellor or director, with the final decision being made by either the Executive Vice Chancellor or the University Director, depending on the reporting lines of the staff member making the request.

Phased Retirement FTE

The minimum proportion of time allowed for the reduced service program will be 25%. The maximum time allowed will be 75%.

The level of reduced service can vary over time. For example, a person might reduce his or her service to 75% for the first year and 50% for the second year. The specific plan for reductions, as well as the date established for full retirement, must be included in the agreement of participation.

The salary saved through reduced service programs for faculty will remain with the academic unit, e.g., the College or school. The salary saved when an unclassified professional staff member goes on reduced service will revert to the appropriate vice chancellor or university director.

Benefits Provided on a Full-time Basis

Under the Phased Retirement Program, benefits are calculated on a "full-time basis". If, at the time of entry into the Phased Retirement Program, the individual had an appointment of less than 100% time, benefits would not be calculated at 100% but would be calculated at the percentage appointment the individual had immediately prior to entering into the Phased Retirement Program.

Full-time equivalency

If the individual has a 100% appointment immediately prior to entering the Phased Retirement Program and enters into a 50% phased retirement plan, benefits would be calculated at a full-time basis or 100%.

If the individual has a 75% appointment immediately prior to entering the Phased Retirement Program and enters into a 50% phased retirement plan, benefits would be calculated at a "full-time equivalent" basis of 75%. In other words, the salary for the 75% appointment would constitute "full-time" and would be used to calculate benefits.

Benefits Affected

Under the Phased Retirement Program, all employer provided benefits are to continue on a "full-time basis". Those benefits include:

Mandatory Retirement Plan Contributions

The Phased Retirement Program participant will receive salary according to FTE and the participant's 5.5% contribution to the mandatory retirement plan will be 5.5% of that reduced gross salary.

The University's contribution, currently 8.5% of gross salary, to the mandatory retirement plan will be based on the "full-time equivalent" salary.

Accrual of Sick and/or Annual Leave

The Phased Retirement Program participant will accrue sick and/or annual leave based on "full-time equivalency".

Life Insurance Coverage

In the event of death, the Phased Retirement Program participant's benefit will be calculated at 150% of "full-time equivalent" salary.

Disability Insurance Coverage

In the event of total disability, the Phased Retirement Program Participant's benefit will be calculated at 60% of the "full-time equivalent" annual salary.

Health Insurance Premiums

The Phased Retirement Program participant will pay health insurance premiums based upon the lower "full-time equivalent" biweekly premium.

Income from the Mandatory Retirement Program

Phased Retirement Program participants may elect to receive income from the unclassified mandatory retirement plan (i.e., ING, Lincoln National, Security Benefit Life and/or TIAA-CREF).