June 30 deadline for retirement plan

For congregations and other UU organizations already participating in the UU Organizations Retirement Plan, June 30 is the deadline to submit the 2014 Employer Participation Agreement form to the UUA’s Office of Church Staff Finances.

Congregations and other eligible employers that have not been participating in the plan are not required to join by the June 30 deadline.

A new participation agreement is required of each participating employer because, after more than a year of work by the UUA Retirement Plan Committee, last year the UUA Board of Trustees approved a comprehensive revision of the plan, also referred to as “restatement” of the plan. Restatement means the plan was updated to include all of the changes that have been made to federal regulations affecting retirement plans since the last restatement of the UU plan, which occurred in 1999, and to reflect current best practices of defined contribution retirement plans.

The restated plan gives congregations and other participating employers greater flexibility in retirement benefits offered and encourages participants to contribute more toward retirement.

New options include allowing employers to match employee contributions rather than simply making a base employer contribution. Fair compensation guidelines remain the same. Another key change is that employees who are not eligible to receive employer contributions are able to elect to make their own voluntary pre-tax salary reduction contributions. See the Employee Contributions Form here.

In order to continue to be a participating employer with the plan, employers/congregations must pass a motion to adopt the restated plan, submit the 2014 Employer Participation Agreement, and receive confirmation from the UUA Retirement Plan Committee. This process must be completed by June 30. A sample adoption motion can be found here.

Failure to act may mean that organizations may not be able to continue to submit contributions on behalf of their employees to TIAA-CREF. Congregations that are not yet participating in the plan are invited to view detailed information online and direct specific inquiries to retirementplan@uua.org. Employees who are already enrolled participants in the plan do not need to re-enroll.

Participants in the plan as of last November received a packet of materials regarding the restatement as well, and are encouraged to engage their employers in conversation about the benefit and any changes the employer may be considering.