The Best Place
To Start
Take advantage of key
Retirement Program changes
U
T S
y
ste
m
R
et
i
re
m
e
n
t Pro
g
ra
m
s
The
U
T S
y
ste
m
rece
n
tl
y
co
mp
lete
d
a thoro
ug
h re
vi
e
w
o
f
the ret
i
re
m
e
n
t
p
lat
f
or
m
s
a
nd
Pro
vid
ers
.
Th
i
s research re
v
eale
d
a
n
o
pp
ort
uni
t
y
to
m
a
k
e
p
os
i
t
iv
e cha
ng
es to
the
R
et
i
re
m
e
n
t Pro
g
ra
m
s
.
So
m
e e
n
ha
n
ce
m
e
n
ts
in
cl
ud
e
:
• Expanded investment options
• More comprehensive communications and education programs
• Signifi cantly reduced costs
• Improved recordkeeping and administrative capabilities
Y
o
u
r
Fu
t
u
re
.
Y
o
u
r
C
ho
i
ce
.
U
T S
y
ste
m’
s research le
d
to the creat
i
o
n
o
f
o
n
e
p
lat
f
or
m—
the
U
T S
y
ste
m
R
et
i
re
m
e
n
t
Pro
g
ra
m
s
.
Th
i
s
n
e
w
str
u
ct
u
re
i
s
in
te
nd
e
d
to
p
ro
vid
e
y
o
u
wi
th eas
y
access to
qu
al
i
t
y
ret
i
re
m
e
n
t Pro
vid
ers a
nd
inv
est
m
e
n
t
p
ro
du
cts
f
or all
U
T S
y
ste
m
R
et
i
re
m
e
n
t Pro
g
ra
m
s
.
Please ta
k
e a
m
o
m
e
n
t to re
vi
e
w
th
i
s
b
roch
u
re to
:
• Find out about the new investment options that are being offered
in the Retirement Programs
• Learn more about and consider participating in the Voluntary Programs
• Review the approved Provider list to ensure that your contributions are invested
in a way that suits your personal investment goals
I
f
y
o
u
ha
v
e a
ddi
t
i
o
n
al
qu
est
i
o
n
s
,
a
“
F
re
qu
e
n
tl
y
as
k
e
d
qu
est
i
o
n
s
”
sect
i
o
n
i
s
in
cl
ud
e
d
in
th
i
s
b
roch
u
re o
n
p
a
g
e
7
.
O
r co
n
tact
y
o
u
r
in
st
i
t
u
t
i
o
n’
s Be
n
e
fi
ts
O
f
fi
ce
,
or a re
p
rese
n
tat
iv
e
f
ro
m
y
o
u
r selecte
d
Pro
vid
er
.
W
e ho
p
e that
y
o
u
wi
ll
fi
nd
the
n
e
w
inv
est
m
e
n
t o
p
t
i
o
n
s a
nd
e
du
ca
-t
i
o
n
o
pp
ort
uni
t
i
es hel
pfu
l as
y
o
u
co
n
t
inu
e o
n
y
o
u
r
j
o
u
r
n
e
y
o
f
ret
i
re
m
e
n
t
p
la
nning.
Ta
b
le o
f
C
o
n
te
n
ts
Pro
g
ra
m
s at a
g
la
n
ce
1
V
ol
un
tar
y
p
art
i
c
ip
at
i
o
n—w
h
y
i
t
’
s
imp
orta
n
t
2
U
T S
y
ste
m
a
pp
ro
v
e
d
Pro
vid
ers
3
Y
o
u
r
inv
est
m
e
n
t o
p
t
i
o
n
s
4
A
sset allocat
i
o
n
5
E
n
roll
in
a
nd
m
a
n
a
g
e
y
o
u
r acco
un
ts
6
F
re
qu
e
n
tl
y
as
k
e
d
qu
est
i
o
n
s
7
Pro
g
ra
m
s at a
g
la
n
ce
VOLUNTARY PROGRAMS Eligibility Employee contribution Employer contribution Employee withdrawals General contribution limits†Over age 50 catch-up contribution†
15-year catch-up contribution Three years prior to retirement catch-up (special catch-up)†
Early distributions
UTSaver TSA UTSaver DCP
All employees All employees Pretaxdollars After-taxdollars
None None Taxable whenwithdrawn
$15,000IRS maximumfor both traditional andRoth sources.(Each dollar of a Roth contribution reduces the amount that can
be contributedpretax, andvice versa.) $5,000 combined with Roth $5,000 combined with traditional $3,000 combined with Roth $3,000 combined with traditional N/A N/A Distributions made prior to age 59½ will be subject to ordinaryincome tax andpossibly a 10%penalty “Nonqualifi ed” distributions made prior to age 59½ will be subject to ordinaryincome tax andpossibly a 10%penalty‡ All employees Pretaxdollars None Taxfree whenwithdrawn Taxable whenwithdrawn $15,000 $5,000 N/A Up to $15,000 (maynot be used simultaneouslywith age 50 catch-up) Distributions made prior to age 59½ will be subject to ordinaryincome tax Roth* Traditional *Available after December 1,2006.
†Contribution limits shown are IRS maximums for 2006.
‡A“qualifi ed”distribution occurs when the Roth account has beeninplace for five taxable years (from the year offi rst contribution) and one of the following events has occurred:(1) attainment of age 59½;(2)disability; or (3)death.
Contribution limits mayvarybased onincome,years of service,previous deferrals, and other factors.Contact your Benefi ts Offi ce for a calculation of your personal contribution limit for each voluntaryprogram.
MANDATORY PROGRAMS
• All employees automatically enrolled • Definedbenefi t plan
• TRS controls/monitors your
investments
• Benefi t based onyears of service, salary, and actuarial formula
• Vested after five years
• Vested right to a lifetime annuity • Disabilitybenefi t provided
Teacher Retirement System (TRS) Optional Retirement Program (ORP)
• Maybe chosen(irrevocably)by certain eligible titles duringinitial period of eligibility
• Defined contributionplan • Youmanage your investments • Account growth based onperformance
ofyour selectedinvestment portfolio • Vested after one year and one day • Vested right to employer contributions • No disabilitybenefi t
Y
o
u
are
m
ost l
ik
el
y
f
a
mi
l
i
ar
wi
th the T
R
S a
nd
O
R
P
b
eca
u
se
y
o
u
r
p
art
i
c
ip
at
i
o
n
in
o
n
e o
f
these
p
ro
g
ra
m
s
i
s
m
a
nd
ator
y.
D
id
y
o
u
kn
o
w
that the
U
TSa
v
er TS
A
a
nd
U
TSa
v
er
D
C
P
—
the
v
ol
un
tar
y
p
ro
g
ra
m
s to
w
h
i
ch
y
o
u
ca
n
m
a
k
e
p
reta
x
a
nd
/
or a
f
ter
-
ta
x
co
n
tr
ibu
t
i
o
n
s
—
are
j
u
st
as
imp
orta
n
t a
p
art o
f
the
R
et
i
re
m
e
n
t Pro
g
ra
m
s
?
V
ol
un
tar
y
co
n
tr
ibu
t
i
o
n
s to these
p
ro
g
ra
m
s
ha
v
e
b
eco
m
e a
n
in
creas
ing
l
y
imp
orta
n
t
p
art o
f
sa
ving
f
or ret
i
re
m
e
n
t
.
C
o
n
s
id
er
w
h
y
the e
x
tra
sa
ving
s co
u
l
d
b
e
imp
orta
n
t to
y
o
u:
•
Tha
nk
s to st
unning
a
dv
a
n
ces
in
m
e
di
c
in
e
,
health
,
a
nd
nu
tr
i
t
i
o
n
,
m
ost
A
m
er
i
ca
n
s
n
o
w
a
n
t
i
c
ip
ate l
iving
lo
ng
p
ast the
i
r tra
di
t
i
o
n
al ret
i
re
m
e
n
t a
g
e
.
O
n
e
in
fi
v
e
wi
ll
p
ro
b
a
b
l
y
cele
b
rate h
i
s or her
100
th
bi
rth
d
a
y.
Th
i
s co
u
l
d
stretch
y
o
u
r ret
i
re
m
e
n
t
in
co
m
e o
v
er a
s
p
a
n
o
f
se
v
eral
d
eca
d
es
.
*
•
A
d
ecl
in
e
in
the
p
o
pu
lar
i
t
y
a
nd
co
v
era
g
e o
f
tra
di
t
i
o
n
al
p
e
n
s
i
o
n
p
la
n
s
fi
nd
s the a
v
era
g
e
w
or
k
er
d
e
p
e
nding
m
ore o
f
te
n
o
n
p
erso
n
al ret
i
re
m
e
n
t sa
ving
s
.
•
The ret
i
re
m
e
n
t o
f
the
b
a
by
b
oo
m
g
e
n
erat
i
o
n
o
v
er the
n
e
x
t
10
y
ears co
u
l
d
lea
d
to
p
ote
n
t
i
al stra
in
s o
n
Soc
i
al Sec
u
r
i
t
y
b
e
n
e
fi
ts a
nd
a
d
ecrease
in
b
e
n
e
fi
ts
f
or
fu
t
u
re ret
i
rees
.
*The 2003 Retirement Confi dence Survey,Employee Benefi t Research Institute,American Savings EducationCouncil, MathewGreenwald&Associates,April 2003.
The
U
TSa
v
er TS
A
a
nd
U
TSa
v
er
D
C
P are
d
es
ign
e
d
to hel
p
y
o
u
sa
v
e
m
ore
m
o
n
e
y
o
n
y
o
u
r
o
wn
so that
y
o
u
ha
v
e the
in
co
m
e
n
ee
d
e
d
to last thro
ug
ho
u
t
y
o
u
r
y
ears
in
ret
i
re
m
e
n
t
.
C
o
n
s
id
er
m
a
king
co
n
tr
ibu
t
i
o
n
s a
nd
see the
imp
act o
f
ho
w
inv
est
ing
e
v
e
n
a s
m
all a
m
o
un
t
ca
n
a
dd
up
o
v
er the lo
ng
ter
m.
V
ol
un
tar
y
p
art
i
c
ip
at
i
o
n—
w
h
y
i
t
’
s
imp
orta
n
t
H
o
w
y
o
u
r sa
ving
s ca
n
g
ro
w
$25,000 $20,000 $15,000 $10,000 $5,000 $05 years of savings 10 years of savings
$8,629
$21,486
Assumptions:Annual salary$35,000paidmonthly,4% contribution rate ($1,400per year),
8% rate of return.
2
The
U
T S
y
ste
m
p
rese
n
ts s
i
x
qu
al
i
t
y
ret
i
re
m
e
n
t Pro
vid
ers
wi
th
w
h
i
ch
y
o
u
ca
n
inv
est
y
o
u
r
O
R
P
,
U
TSa
v
er TS
A
,
a
nd
U
TSa
v
er
D
C
P co
n
tr
ibu
t
i
o
n
s
.
Y
o
u
m
a
y
select o
n
e or
m
ore
,
or all s
i
x
,
d
e
p
e
nding
o
n
y
o
u
r
inv
est
m
e
n
t a
nd
ser
vi
ce
n
ee
d
s
.
The Pro
vid
ers are
:
A
s
umm
ar
y
o
f
the
inv
est
m
e
n
ts a
nd
ser
vi
ces o
ff
ere
d
by
each Pro
vid
er
i
s
in
cl
ud
e
d
at the e
nd
o
f
th
i
s
b
roch
u
re
.
I
f
y
o
u
are c
u
rre
n
tl
y
co
n
tr
ibu
t
ing
to a Pro
vid
er that
i
s
n
ot l
i
ste
d
a
b
o
v
e
,
y
o
u
wi
ll rece
iv
e co
mmuni
-cat
i
o
n
s later th
i
s
y
ear
wi
th
inf
or
m
at
i
o
n
o
n
sta
nd
ar
d
s that
y
o
u
r Pro
vid
er
mu
st
m
eet to co
n
t
inu
e to
rece
iv
e
y
o
u
r co
n
tr
ibu
t
i
o
n
s
.
I
f
y
o
u
r Pro
vid
er ca
nn
ot
m
eet these sta
nd
ar
d
s or chooses
n
ot to
,
y
o
u
wi
ll
b
e as
k
e
d
to start
inv
est
ing
y
o
u
r
fu
t
u
re co
n
tr
ibu
t
i
o
n
s
wi
th o
n
e o
f
the s
i
x
a
pp
ro
v
e
d
Pro
vid
ers
.
Y
o
u
wi
ll
n
ot
b
e re
qui
re
d
to tra
n
s
f
er
y
o
u
r acc
umu
late
d
b
ala
n
ces
,
a
nd
y
o
u
d
o
n
ot
n
ee
d
to
m
a
k
e a
ny
cha
ng
es at th
i
s t
im
e
.
U
T S
y
ste
m
a
pp
ro
v
e
d
Pro
vid
ers
A
I
G
V
A
LI
C
Fidelity Investments
I
NG
Lincoln Financial
G
roup
MetLife Resources
Y
o
u
r
inv
est
m
e
n
t o
p
t
i
o
n
s
4
The s
i
x
a
pp
ro
v
e
d
Pro
vid
ers each o
ff
er a
wid
e
v
ar
i
et
y
o
f
inv
est
m
e
n
t
p
ro
du
cts
.
The
U
T
S
y
ste
m
has cate
g
or
i
z
e
d
y
o
u
r o
p
t
i
o
n
s
in
to t
i
ers
,
b
elo
w.
N
ot all Pro
vid
ers o
ff
er
inv
est
m
e
n
ts
in
each t
i
er
.
S
p
ec
i
fi
c
inv
est
m
e
n
t
p
ro
du
ct
inf
or
m
at
i
o
n
ca
n
b
e
f
o
und
at the e
nd
o
f
th
i
s
b
roch
u
re
.
•
T
i
er
1
:
A
sset allocat
i
o
n
or l
if
e c
y
cle o
p
t
i
o
n
s
These
fund
s are
d
es
ign
e
d
f
or
inv
estors
w
ho
w
a
n
t a s
imp
le
y
et
div
ers
i
fi
e
d
a
pp
roach
to
inv
est
ing.
The
y
are
p
ro
f
ess
i
o
n
all
y
m
a
n
a
g
e
d
fund
s that are re
b
ala
n
ce
d
accor
ding
to the
i
r
inv
est
m
e
n
t o
b
j
ect
iv
e
.
L
if
e c
y
cle
fund
s are re
b
ala
n
ce
d
accor
ding
to a tar
g
et
ret
i
re
m
e
n
t
d
ate
;
asset allocat
i
o
n
fund
s are re
b
ala
n
ce
d
b
ase
d
o
n
r
i
s
k
o
b
j
ect
iv
es
.
•
T
i
er
2
:
C
ore
inv
est
m
e
n
t o
p
t
i
o
n
s
Th
i
s t
i
er
in
cl
ud
es a l
imi
te
d
m
e
nu
o
f
inv
est
m
e
n
t o
p
t
i
o
n
s that re
p
rese
n
t
mu
t
u
al
fund
s
inv
este
d
p
r
im
ar
i
l
y
in
the three
m
a
j
or asset classes
(
stoc
k
s
,
b
o
nd
s
,
a
nd
short
-
ter
m
inv
est
m
e
n
ts
)
.
Y
o
u
m
a
y
w
a
n
t to co
n
s
id
er these o
p
t
i
o
n
s
if
y
o
u
are co
mf
orta
b
le
div
ers
ifying
y
o
u
r
inv
est
m
e
n
ts o
n
y
o
u
r o
wn
or
wi
th the ass
i
sta
n
ce o
f
a
n
inv
est
m
e
n
t
a
dvi
sor a
nd
/
or asset allocat
i
o
n
tools
.
•
T
i
er
3
:
E
x
p
a
nd
e
d
o
p
t
i
o
n
s
Th
i
s t
i
er
in
cl
ud
es a
mu
ch lar
g
er
m
e
nu
o
f
a
ddi
t
i
o
n
al
inv
est
m
e
n
t o
p
t
i
o
n
s
f
or
m
ore
so
p
h
i
st
i
cate
d
inv
estors
.
Y
o
u
m
a
y
w
a
n
t to co
n
s
id
er th
i
s a
pp
roach
if
y
o
u
are
v
er
y
co
m
-f
orta
b
le
m
a
n
a
ging
y
o
u
r o
wn
p
ort
f
ol
i
o
,
or ha
v
e a
n
inv
est
m
e
n
t a
dvi
sor
m
a
n
a
ging
y
o
u
r
p
ort
f
ol
i
o
,
a
nd
und
ersta
nd
ho
w
to research
,
e
v
al
u
ate
,
a
nd
m
o
ni
tor a
wid
e
v
ar
i
et
y
o
f
inv
est
m
e
n
ts
wi
th
diff
ere
n
t r
i
s
k
a
nd
ret
u
r
n
character
i
st
i
cs
.
•
T
i
er
4
:
Sel
f
-
di
recte
d
b
ro
k
era
g
e
Th
i
s t
i
er o
ff
ers
y
o
u
access to tho
u
sa
nd
s o
f
a
ddi
t
i
o
n
al
mu
t
u
al
fund
s
,
a
nd
,
f
or the
U
TSa
v
er
D
C
P
,
individu
al sec
u
r
i
t
i
es
.
The
b
roa
d
s
p
ectr
um
o
f
inv
est
m
e
n
ts
in
th
i
s t
i
er
m
a
k
es
i
t a
g
oo
d
cho
i
ce
f
or
m
ore so
p
h
i
st
i
cate
d
inv
estors
wi
th a
n
und
ersta
nding
o
f
ho
w
to research a
nd
e
v
al
u
ate
individu
al
inv
est
m
e
n
ts
.
There are so
m
e restr
i
ct
i
o
n
s a
nd
a
ddi
t
i
o
n
al
f
ees
f
or th
i
s t
yp
e o
f
acco
un
t
,
a
nd
i
t
i
s
n
ot o
ff
ere
d
thro
ug
h e
v
er
y
Pro
vid
er
.
C
o
n
tact
y
o
u
r Pro
vid
er
di
rectl
y
f
or
m
ore
inf
or
m
at
i
o
n.
•
A
nnui
t
y
o
p
t
i
o
n
s
So
m
e Pro
vid
ers also o
ff
er
fi
x
e
d
a
nd
/
or
v
ar
i
a
b
le a
nnui
t
y
p
ro
du
cts
.
A
n
a
nnui
t
y
i
s a
co
n
tract
wi
th a
n
in
s
u
ra
n
ce co
mp
a
ny
e
n
a
b
l
ing
y
o
u
to acc
umu
late co
n
tr
ibu
t
i
o
n
s
in
a
se
p
arate acco
un
t
und
er
w
h
i
ch
y
o
u
ca
n
select a
v
ar
i
et
y
o
f
inv
est
m
e
n
t o
p
t
i
o
n
s
,
in
cl
ud
-ing
mu
t
u
al
fund
s a
nd
gu
ara
n
tee
d
fi
x
e
d
in
terest acco
un
ts
.
A
n
a
nnui
t
y
also
p
ro
vid
es the
o
p
t
i
o
n
f
or
y
o
u
to rece
iv
e a re
gu
lar ser
i
es o
f
in
co
m
e
p
a
ym
e
n
ts
f
or a s
p
ec
i
fi
e
d
p
er
i
o
d
or
f
or l
if
e
in
ret
u
r
n
f
or
y
o
u
r co
n
tr
ibu
t
i
o
n
s
.
A
v
ar
i
et
y
o
f
asset classes
i
s a
v
a
i
la
b
le
wi
th
in
each o
f
the
inv
est
m
e
n
t t
i
ers to hel
p
y
o
u
b
etter
div
ers
ify
y
o
u
r acco
un
ts
.
The
f
ollo
wing
chart
i
ll
u
strates the
p
ote
n
t
i
al r
i
s
k
a
nd
ret
u
r
n
o
f
these
p
r
im
ar
y
asset
classes
.
The lo
w
er le
f
t cor
n
er o
f
the chart sho
w
s
m
ore sta
b
le
inv
est
m
e
n
ts
wi
th lo
w
er
inv
est
m
e
n
t r
i
s
k.
A
s
y
o
u
m
o
v
e
up
the
di
a
g
o
n
al
,
y
o
u
r
inv
est
m
e
n
t r
i
s
k
in
creases
,
as
d
oes
y
o
u
r
p
ote
n
t
i
al
f
or ret
u
r
n.
A
sset allocat
i
o
n
Less investment risk More infl ation risk
Shorter time horizon Longer time horizon
More investment risk Less infl ation risk
Money Market/ Short-Term Bond Balanced/ Hybrid Domestic Equity International/ Global Equity Specialty
