Thanks to you the Voluntary Defined Contribution (VDC) program is celebrating 10 years of success with more than 4,000 participants and $211 million in managed assets.
Interested in implementing the VDC program at your agency?
The VDC program helps eligible participants take control of their retirement savings in many ways, including:
All New York State agencies are required to offer the VDC program to eligible employees.
A VDC plan can move to different agencies with employees, who can take cash withdrawals and name beneficiaries. Compare the VDC program to defined benefit plans.
The VDC program costs significantly less from the agency’s perspective than DB plans. For example, if an agency employee with an annual salary rate of pay of $100,000 has a VDC plan, your agency could potentially save $75,000 over 10 years.
Employees are fully vested after just one year. DB plans generally don’t vest for 10 years.
VDC programs offer more options in every department. Employees can choose investments and authorized investment providers including Corebridge Financial (formerly AIG Retirement Services), Fidelity, TIAA and Voya. With defined benefit plans, the agency chooses the investments and the providers.
The VDC is a new alternative to the ERS/TRS defined benefit plans. It debuted in New York on July 1, 2013.
An employee has 30 days from the date of hire to enroll. After 30 days, employees are defaulted into an ERS/TRS defined benefit plan.
TIAA, the Third Party Administrator, supports agencies by offering help and guidance to educate employees.
If you invest in the SUNY Optional Retirement Program through Fidelity you will be investing in a variable group annuity contract issued by Massachusetts Mutual Life Insurance Company ("MassMutual"), 1295 State Street, Springfield, MA 01111-0001 and administered by Fidelity Investments. If benefit payments are annuitized under the group annuity contract issued by MassMutual, those benefit guarantees are subject to the claims paying ability of MassMutual.
New York State employees who have an annual salary rate of pay of at least $75,000 per year may be eligible for the VDC program.
Employees are not eligible if a union represents them. You may not be eligible if you previously participated in a New York State Public Defined Benefit plan. View additional eligibility information.
An employee has 30 days from the date of hire to elect the VDC program.
"If I start teaching at a different school, will my retirement plan go with me?"
This website has in-depth information about the VDC program and
makes it easy for your employees to enroll online.
This video provides a brief, interactive comparison between the
Defined Benefit and Defined Contributions options available to
your new employees.
View the video
Employees can pick up the phone and call
1-866-271-0960 to talk through their options.
Your hub for employee materials and resources.
Administrators (through TIAA):
Hours: Monday to Friday, 8 a.m. to 6 p.m. (ET)
Employees (through Retirement@Work):
Hours: Monday to Friday, 8 a.m. to 10 p.m. (ET)