Optional Defined Contribution Retirement Plans

Eligibility

Institutions of Higher Education and Teaching Hospitals VRS maintains an optional retirement plan for employees of institutions of higher education engaged in the performance of teaching, administrative or research duties. With approval of VRS, institutions of higher education may establish optional retirement plans for these employees. Teaching hospitals affiliated with institutions of higher education other than the MCV Hospitals Authority or the UVA Medical Center may establish their own retirement plans for health care providers. Eligible employees may elect participation in either the institution's retirement plan or VRS.
VCU Health System VCU Health System may establish one or more retirement plans for its employees, and may make contributions to the plan. Employees in the optional retirement program or VRS could elect on an irrevocable basis to stay in their existing plan or join the Authority's plan. Employees hired after 1/1/98 are automatically enrolled in the System's plan.
UVA Medical Center University of Virginia Medical Center may establish one or more retirement plans for its employees, and may make contributions to the plan. Employees currently in the optional retirement program may stay or join any new plan. Employees currently in VRS may remain, or join any new plan. New employees must join a new plan.
Virginia Port Authority Virginia Port Authority may establish one or more retirement systems for its employees and make contributions to the plan. Employees in the Virginia Retirement System were given an irrevocable election to remain in VRS or join the Authority's plan. Employees hired after 8/1/98 became participants in the Authority's plan.
Volunteer Firefighters and Rescue Squad Workers Pension Fund A defined contribution retirement program for volunteer firefighters and rescue squad workers. Oversight provided by a seven-member board with the VRS Director serving as chairman. The VRS Board of Trustees oversees the fund's investments. This fund became effective on July 1, 2000.

Contribution Paid By

Institutions of Higher Education and Teaching Hospitals 10.4 percent for employees of institutions of higher education, plus .89 percent for the post-retirement health insurance credit. (Institution may provide supplement of up to 2.17 percent)Lesser of total required VRS employer contribution, or eight percent, for employees of teaching hospitals.
VCU Health System 8 percent, or the contribution required by the State if the employee was a member of VRS, whichever is less, plus .89 percent for the post-retirement health insurance credit.
UVA Medical Center 8 percent, but employees who transfer from optional retirement program to any new plan established by UVA Medical Center shall continue to receive their current defined contribution.
Virginia Port Authority 8 percent, or the contribution required by the State if the employee were a member of VRS, whichever is less, plus .89 percent for the post-retirement health insurance credit.
Volunteer Firefighters and Rescue Squad Workers Pension Fund Members of the retirement program make contributions, and the employer may make optional contributions.
 

© 2010, Commonwealth of Virginia

Rev. 02-Mar-2010