Reminder: UCRP contributions increase in July paycheck
As previously announced, contribution rates to the UC Retirement Plan (UCRP) for both the university and faculty and staff will go up this month.
Starting July 1, the university pays 12 percent of pay, up from 10 percent, and contributions for faculty and staff rise to 6.5 percent of pay, up from 5 percent. (Contributions for union-represented employees are subject to collective bargaining where applicable.)
The Board of Regents in 2010 adopted a series of measures as part of a carefully constructed, multipronged strategy to ensure the long-term viability of UCRP benefits and to help reduce the $24 billion unfunded liability to UC’s retirement programs.
Even with these changes, UC’s retirement benefits remain very attractive. In fact, very few public or private employers across the country offer a traditional pension and retiree health benefits.
Faculty and staff will see the increased contributions reflected in their regular paychecks for July earnings, paid between July 17 and August 8, 2013, depending on the payroll cycle. Employee contributions are pre-tax.
For more information about UC’s strategy to protect retirement benefits, visit The Future of UC Retirement Benefits website.