Planning Your Retirement
hat does retirement mean to you? REAL LIFE STORIES:
Does it conjure up visions of
leisurely travel to the world’s great Retirement Planning at USC
cities or most isolated mountaintops? Will
your hobbies become the central obsession of
your life—maybe even turn into a small
Starting Early These Happy, Golden Years A Really Good Game Plan
business? Will you spend your time
volunteering to serve the needs of others?
Does the idea of afternoon naps on a shady
porch sound great or terrifying?
Whatever you look forward to after
retirement, planning ahead will make it more
probable and possible that you will have the
resources to spend your time as you choose.
Your participation in USC Retirement Plans
is important to building the ﬁnancial Sarah Smith Carolyn Watanabe Derek Wynn
resources you will need. However, they are Floor Manager, General Books Retired July 2005 Assistant Coach, Women’s Basketball
only part of the picture. This guide will help Jody Wynn
you understand your retirement beneﬁts and Carolyn Watanabe is now among the happily Assistant Coach, Women’s Basketball
Sarah Smith started working at USC in June 2004 retired. After 20 years working with the USC
how they ﬁt into that larger picture. We’ve just a few weeks after graduating from USC with a School for Early Childhood Education, she retired
identiﬁed many resources for you to use as major in English Language and Literature. She is Derek and Jody Wynn love coaching basketball
in July from her supervisory position with their
you work toward a retirement that meets your now a brand new (and very young) participant in and love being parents of their toddler Jada. With
Head Start program. Carolyn retired early to join
the Faculty and Exempt Staff Retirement Plan. recruitment, practice, meetings and family life,
vision of what it should be. her husband who retired from his career position
“When I was in college my parents said their they are a very busy couple. Their energy and
several years ago, but who continues to work
retirement fund was not what they thought it enthusiasm extends even to retirement planning.
would be. They regretted not taking a serious Derek notes, “We’ve been planning for retirement
interest in their fund earlier on in their marriage, and putting money away for the future for several
Carolyn participated in the Faculty and Exempt
therefore giving it more time to develop.” Sarah years. When we came to USC a year ago, we
Staff Retirement Plan. “Where else can you put in
also anticipates the Social Security system being thought the plans here were great because of the
5% and get 10% back?. It’s like free money.” She
very different by the time she’s ready to retire. USC match.” They are now participants in both
was an aggressive investor in earlier years with her
the Faculty and Exempt Staff Retirement Plan and
investments allocated heavily toward the stock
When Sarah became eligible for the retirement the Supplemental Retirement Plan. They met with
market. As she neared retirement, she worked with
plan, she decided to participate as soon as possible. beneﬁts staff several times to enroll, calculate their
a ﬁnancial planner to rebalance her investments
She asked advice from friends about investment maximum contributions, and setup their
more conservatively. Carolyn also participated in
choices and then met with Marie Manning in the investment allocations.
the Supplemental Retirement Plan and put in the
Beneﬁts Ofﬁce to sign up. The university’s maximum contributions for several years.
contribution of 10% of salary makes the They have “maxed out” their contributions to both
retirement plan “an opportunity that is just too plans. According to Jody, “We’re saving as much as
Carolyn attended the USC Transitions seminar last
good to miss.” Now she’s enjoying reviewing her we can while our daughter is young. We wanted to
spring and urges everyone to attend as soon as
USC Retirement quarterly statements from Fidelity and watching they are invited. “One area that everyone should
maximize our contributions now because children
get more expensive as they get older. Keeping our
her money grow. plan ahead for is medical coverage during
Plans in Brief With almost half a century until retirement, Sarah
retirement. I’m fortunate because my husband’s
retirement includes medical beneﬁts. Because USC
expenses down now is easier than it will be when
she’s a teenager or heading to college.” This
hasn’t thought a lot about what she will do when strategy must make Jody’s father (who is a ﬁnancial
Non-Exempt Staff Retirement Plan provides only a Medicare Supplement, you need to
she retires. She does know that she will need the planner) very proud—maximum early
plan ahead for medical coverage, especially if you
The Non-Exempt Staff Retirement Plan resources to continue to enjoy her love of travel. contributions will have a long time to grow.
want to retire before 65.”
provides retirement beneﬁts funded by the
university for non-exempt employees. The plan Jody and Derek hope to be involved in coaching
She is now relishing the new-found freedom of
provides lifetime beneﬁts based on the number basketball as long as they can. When the day
retirement and “Just doing whatever I want to do
of years of eligible service, the employee’s comes that retirement is inevitable, they want to
each day.” The timing of her retirement was
earnings as a non-exempt employee, and age at be prepared and not have to worry about money.
decided when her husband retired, then lots of her
retirement. They hope to spend their retirement years being
friends—and then a granddaughter was born just
with Jada and involved with all the activities she’s
one year ago. “I take care of my granddaughter
Faculty and Exempt Staff Retirement one afternoon a week and attend ‘Mommy and
involved with. Do they think she will follow in
Plan their basketball footsteps? “Whatever she wants to
Me’ exercise classes with her.” Carol participates in
The Faculty and Exempt Staff Retirement Plan do—athletics, art, dance. We want to be there to
the emeriti center and recently received her USC
provides the opportunity to build retirement support whatever she chooses to do,” says Jody.
Retiree Gold Card and along with it her e-mail
income through employee deferral of income account. “It works. This week I went to campus to
and additional contributions by the university. lunch with friends and parked for free; then went
Employees are required to contribute 5 percent to the bookstore and received a 10% discount.”
of eligible monthly earnings on a pretax basis
and USC contributes an additional 10 percent.
Contributions are invested by the employee’s
choice of ﬁve companies selected by the
Faculty: Your Top 3 1. Do I have to negotiate to get a pension?
You don’t have to negotiate, because USC doesn’t
coverage.) You will be covered when you see any
doctor who accepts Medicare, and you have no
university to manage the investment of the
retirement plan contributions. Retirement Questions wait until you are about to retire before
contributing toward your retirement. USC has
cost for physician services when you see a USC
doctor. Beginning in 2006, USC Senior Care will
income is based on the amount of funds been putting 10% of your salary into your also provide vision and dental beneﬁts.
contributed to the retirement account adjusted retirement account, at a 2-1 match, every month
by any earnings, expenses, gains or losses. since you were a newcomer at USC and enrolled in 3. Is retirement all or nothing? Can I stay part of the
the retirement plan. Talk to the Beneﬁts Ofﬁce (or academic community?
Supplemental Retirement Plan look at the TIAA/CREF, Fidelity or Prudential The Faculty Handbook now provides that emeriti
The Supplemental Retirement Plan helps Web site) to calculate your retirement income, and faculty are eligible to continue part-time teaching
employees increase their retirement income by learn your options on receiving it. (And remember and research. The Emeriti Center also provides
voluntarily investing their own pretax that you will receive Social Security, and you will opportunities to mentor, do research, and teach
contributions in a retirement account. no longer be paying Social Security tax or making through the Emeriti College. And deans often
Employees decide the amount of their pretax the 5% retirement contribution.) agree to phase retirement over a year or two of
contribution within IRS limits. Contributions part-time work for proportionate compensation.
Martin Levine 2. Do I have to stay working to have USC health
are invested by the employee’s choice of ﬁve
Vice Provost for Faculty Affairs insurance? More information is available on the Faculty Portal
companies selected by the university to manage
investments under the Faculty and Exempt No more. USC Senior Care is available to all USC at www.usc.edu/faculty under the tab “Especially
From his many talks with faculty who are thinking retirees age 65 or over, and their spouses and for” at the link for “Retired/Retiring Faculty.”
Staff Retirement Plan.
about retirement, Marty Levine hears three main domestic partners age 65 or over. It is Medicare Additional information about these questions is
questions. supplemental insurance. (By law, such insurance included throughout this publication. See the back
comes in standardized packages; USC Senior Care page (“Resources”) for telephone numbers and
is a “level J” plan, which has the highest level of Web addresses.
Start Early, Start Early Participation in USC Retirement
Choose to Save
Set Goals, Mixed messages. We are bombarded
Non-exempt employees (who are at least 21 years
of age) are automatically enrolled in the Non-
Exempt Staff Retirement Plan after six months of
All kinds of information and inspiration about
saving for retirement.
Track Progress everyday with hundreds of ways to spend
money. Turn on the television, the radio,
employment and completion of at least 500 hours
of service. I Started Saving for Retirement Late—How Do I
browse the Internet, walk through a Faculty and exempt staff (who are at least 21 years www.prudential.com
There are many resources available to
shopping mall or pick up your mail. And of age) are eligible for participation in the Faculty This online information provides ideas for catching
help you plan for retirement. No matter up and a learning guide about IRAs. From the
then there are the big ticket demands on and Exempt Staff Retirement Plan after six months
where you turn, you will ﬁnd that advice of employment and completion of at least 500 Prudential home page, choose Retirement Basics.
our income: buying a house or car,
emphasizes three main areas. hours of service. Participation is mandatory after
paying for a college education, vacations ﬁve years of eligible employment or attaining What Every Employee Should Know About
and holidays. So what are the best ways Retirement Savings
Start early tenure. Don’t wait until participation is mandatory
Starting early means now, ASAP. The to reconcile those demands with the need to start. For every pretax dollar that you don’t
invest, you are also losing two dollars from the This 7-minute online movie from Fidelity explores
more years you have until retirement the to begin saving when retirement is the how to make the most of your retirement savings
university. That is free money you are giving away!
more time your investments have to grow. “back-burner demand” on your hard- plan and why participating now is so valuable.
There also are ways to catch-up if you earned dollars? Participation in the Supplemental Retirement Plan
can begin at anytime and at any age. You can start eTrac
missed earlier opportunities for www.usc.edu/etrac
small. The minimum payroll reduction for the
retirement savings. • Make a budget and stick to it. Your Supplemental Retirement Plan is $25 per month. The maximum amount you can contribute each
retirement savings should be a line item All faculty and staff, full time and part time, are year to the USC Supplemental Retirement Plan is
Set goals eligible to participate. Participation can begin or available on eTrac. The maximum contribution
in your budget.
Set your ﬁnancial goals by making a end at anytime. listed includes any catch-up provisions for which
• Be disciplined about using credit cards. you are eligible. To set up your access to eTrac, you
realistic estimate of how much income
• Get started even if you can afford only a What if I didn’t start early? will need a copy of your recent pay stub or advice
you will need during retirement and for slip. Once you’ve logged in, choose Beneﬁts
small amount. A few dollars invested in If you think you have some
how long. The closer you are to Inquiry and scroll down to Retirement
your 20’s and 30’s have a long time to catching up to do, begin or
retirement the more detailed and accurate increase your contributions to the
grow. The single greatest power in
that estimate needs to be. USC Supplemental Retirement
saving money is time, because time IRS Publication 590 Individual Retirement Accounts
Plan. In 2006, participants may www.irs.gov
Track progress allows you to take advantage of defer up to $15,000. “Catch-up”
compound interest. Compound interest The IRS rules on IRAs in 100 pages of easy
At least once a year, assess your progress provisions may allow participants who are over age
reading. On the IRS home page, search for 590 in
toward your ﬁnancial goals. Tally up your is earning interest on your interest. 50 or who have 15 years of service to defer even
forms and publications.
assets and liabilities. Review and
rebalance the types of investments you’re Find out if you qualify for a Traditional or ROTH
making. IRA. Even if you are participating in a USC
retirement plan, you (or your spouse) may still be
eligible to contribute to an IRA. IRAs (Individual
Retirement Accounts) are savings plans with special
tax breaks that can help you grow your savings for
retirement. Limits on contribution amounts and
tax deductions are based on participation in
employer sponsored retirement plans, age, tax
ﬁling status and income level. Consult your tax
preparer or ﬁnancial advisor to discuss your The Rule of 72
personal situation. With the magic of compounding at work, you can
predict how long it will take to double your money. It’s
Use other investments to help you reach your goal. called the Rule of 72—you simply divide 72 by the
You can supplement your tax-deferred retirement earnings rate on your investment. For instance, at a
plan contributions with money that you invest on constant 6% growth rate, your money will double in
an after-tax basis. These investments could include approximately 12 years (72 divided by 6).
mutual funds, savings accounts and U.S. savings
bonds, to name just a few.
Magic of Compound Interest Amount Invested
Saved $2,000 per year
from age 40 to age 65
Saved $2,000 per year
from age 20 to age 65
Saved $2,000 per year
from age 20 through
age 30. Kept money in $159,557
account until age 65.
0 $50K $100K $150K $200K $250K $300K $350K
Assumes a 5% annual rate of return compounded monthly. Calculations from the Employee Beneﬁt
Research Institute, “The Magic of Compounding”
2 UNIVERSITY OF SOUTHERN CALIFORNIA
Set Goals Setting Goals—Think Income
In addition to putting money into savings to
prepare for retirement, you also must plan how to
take it out. Because your retirement may last many A 26-page booklet about distribution options for
Setting your retirement goals means that years, once you’ve retired you will need to manage workplace savings is available on Fidelity’s Web
what you’ve accumulated to make sure you have a site. (Under Quick Links, choose “Retirement
you must answer some basic questions: lasting stream of income. Income” in the Guides/Brochures section) The
When do you want to retire? How much
booklet explains the options you have regarding
income will you need? How long do you Income from USC Retirement workplace savings when you retire. At USC, the
expect to live after you retire? There are Plans workplace savings eligible for these options are
many resources to help you answer these your retirement accounts under either the Faculty
USC Non-Exempt Staff Retirement Plan and Exempt Staff Retirement Plan or the
questions. The goal setting tools listed
The retirement beneﬁts funded by USC under this Supplemental Retirement Plan. Investors with
below will let you test different answers plan will provide lifetime payments when you Fidelity also may use NetBeneﬁts, their advanced
so you can see how they affect your retire. The plan is designed to pay full beneﬁts at online retirement planning tools.
retirement goals. age 65. When you retire, you may choose from a
variety of annuity options. Options include About Income Options
straight life, 10-year certain, 50% survivor, and www.tiaa-cref.org
100% survivor annuities. The age at which you Information about income options from TIAA-
Ballpark Estimate retire and the option you choose will determine the CREF is available online as both an interactive
www.choosetosave.org/ballpark/ amount of your monthly beneﬁt. You may start planning tool and as an Acrobat ﬁle to read online
The Ballpark Estimate is an easy-to-use, one-page your payments as early as age 55; however, the or printout. If you have a TIAA-CREF account,
worksheet that helps you quickly identify monthly beneﬁt will be reduced. There is no they will develop retirement income guidelines for
approximately how much you need to save to fund reduction in the monthly beneﬁt for employees you as you near retirement. From the home page,
a comfortable retirement. Both an interactive, who retire after age 60 with 25 years of service. click on “Retirement Countdown.”
online worksheet and a copy to printout and Your spouse’s notarized consent is necessary if you
complete are available. The worksheet was select an option that does not provide spousal
developed by the Employee Beneﬁt Research beneﬁts. This plan is subject to minimum
Institute. distribution requirements. You must begin to
receive payments by the April following the year
How long will you be retired? Retirement Goal Evaluator you turn 70½ if you are no longer employed at
The average American retiring at 65 can expect to The Retirement Goal Evaluator available online at
spend 18 years in retirement. the TIAA-CREF Web site is available to anyone Faculty and Exempt Staff Retirement Plan
(you don’t have to be an investor with TIAA-CREF and Supplemental Retirement Plan
A study by TIAA-CREF found the expected length of
to use it). The short questionnaire lets you set Distribution options of your retirement account
retirement for their annuitants at age 60 is 25 years for
men and 29 years for women. different retirement ages and income replacement under these plans provide a broad array of
targets; then calculates how much you will need to possibilities. They range from periodic payments
save each year to reach your target. From the and lump sum distributions to rollovers to lifetime
TIAA-CREF home page, choose Retirement annuities. Review the distribution options available
Countdown, then Retirement Goal Evaluator. from the company which is investing your
retirement savings. These plans are also subject to
Retirement Planning Calculator minimum distribution requirements. You must
www.prudential.com/ begin to receive payments by the April following
This online calculator from Prudential provides for the year you turn 70½ if you are no longer
a broad look at your current assets and how they employed at USC.
will translate into retirement income. From the
Prudential home page, choose Calculators and
Guides, then Retirement Planning Calculator. It’s
available to anyone.
Retirement Savings Worksheet
This 2-page worksheet from Fidelity is available to
printout and complete on your own. Go to
“Planning” and choose “Manage Your Savings”
then “Are You on Track.” You will need to do some
simple math to calculate your retirement goals and
how much you will need to save each month to
meet them, so have a calculator handy
Supplemental Retirement Plan
Enrollment is Online
It’s the Only Way to Enroll or Make Changes! Complete instructions about using the online process are Even if you’ve not used eTrac before, it’s easy to set up
available on the Beneﬁts Web site. Choose Retirement your access. Just go to www.usc.edu/etrac and follow the
Programs from the home page. Instructions are available instructions. You’ll want to have a copy of a recent pay
for both new, continuing and annual renewal participants stub or advice slip handy.
and the pages link directly to the eTrac enrollment
process. Once you’ve completed your enrollment, you’ll receive an
acknowledgement via e-mail. You’ll also be contacted to
In mid-October, you’ll be sent a reminder and instructions provide missing or additional information once your
via your USC e-mail account on how to access this online agreement is reviewed and processed. Finally, you’ll be
process. When you log onto eTrac with your password, notiﬁed when your payroll deduction for your 2006
you’ll ﬁnd information about: contributions has been set up so you can view it on eTrac.
• your individually calculated maximum contribution If you do not have access to a computer, you may go to
limits for 2006 your beneﬁts ofﬁce and use the computers we make
• your 2005 contribution amount available for public use. You can also use computer labs
• the vendors to which you currently direct your on campus. To use the computers at these facilities, you
contributions must present your employee ID card.
• a tax-modeling tool to help you calculate the effect
increasing your retirement contribution will have on
your taxes and net pay
Track USC Retirement Plans
Non-Exempt Staff Retirement Plan
Retirement beneﬁts under this plan are based on
Social Security provides a base level of
retirement income. On average, Social
Retirement Plan Investment Companies
Participants in the Faculty and Exempt Staff
your years of service, your earnings as a non- Security replaces about 40% of income. Retirement Plan and the Supplemental Retirement
Progress exempt employee and your age at retirement. For
an estimated beneﬁt calculation, contact the
Program Manager for the plan at firstname.lastname@example.org
However, the higher your income the
lower the percentage of income
replacement will be. The average
Plan can get detailed information about their
retirement accounts and use the many retirement
planning tools available online. Many of the
or (213) 437-1831. monthly payment received by retirement planning tools also are available to non-
today’s retirees is $955. The participants.
To track your progress toward your
Faculty and Exempt Staff Retirement Plan and maximum monthly Social
retirement goals, you will need to look at Supplemental Retirement Plan Security retirement beneﬁts is Fidelity Investments www.mysavingsatwork.com
four areas: The ﬁve investment companies provide $1,939 for a worker retiring at age Prudential Financial www.prudential.com
participants with quarterly statements of account 65½, the age at which full Social SunAmerica www.sunamerica.com
• USC Retirement Plans balances and investment performance. This Security beneﬁts are paid in 2005. TIAA-CREF www.tiaa-cref.org
information also is available online through their Previous changes to Social Security to Vanguard Company www.vanguard.com
• Personal Savings Web sites. Each quarter, you should review your address future solvency issues resulted
statement and your investment allocation. Each in the gradual raising of the age at which full Individual Counseling Sessions
• Social Security company provides information (either online or in beneﬁts can be collected, from 65 in 2002 to 67 by www.usc.edu/beneﬁts
printed form) to help you make investment the year 2027. Today, solvency issues are being Each of the retirement plan investment companies
• Other Assets decisions that match your investment proﬁle. That addressed again and may result in changes over the offers individual counseling sessions to participants
proﬁle may change over time as you get closer to next few years. None of the current proposals for throughout the year. Visit the Beneﬁts Web site
retirement. change will affect current recipients of beneﬁts or (choose Coming Events) for a schedule and how to
“near retirees”—deﬁned as those age 55 and older. make an appointment.
The Social Security Administration sends you a Choose to Save
Personal savings are an important part of reaching statement each year around your birthday if you
your retirement goals. These after-tax savings can www.choosetosave.org
are over age 25. Review the statement for accuracy, This site includes many online calculators to
be directed into savings accounts, U.S. savings how retirement age affects beneﬁts, and use the
bonds, stocks and bonds, annuities or in Individual answer important questions about your progress,
estimated income in your retirement planning. You including “Am I saving enough?” and “How much
Retirement Accounts. Review your balances and also can estimate your retirement beneﬁt and stay
your monthly savings when you review your can I invest before taxes each year?” Gather your
up-to-date on changes on the Social Security numbers and plug-in the information online. The
retirement plan each quarter. Remember that these Administration Web site at www.socialsecurity.gov.
other forms of savings are a part of your calculations are done for you.
The 2005 Trustees report explains the solvency
investment allocation picture. issues pushing changes to social security in detail Social Security
and summarizes those issues in an easy-to-read www.socialsecurity.gov
publication titled “The Future of Social Security.”
Calculate your estimated beneﬁt online, what
happens if you work after retirement and other
Other Assets factors that may affect your retirement beneﬁt. If
Other sources of retirement income include you have a spouse who will receive a government
working in retirement or tapping into home (federal, state or local) pension, the site includes
equity. More than 70% of retirees work either to information about the Government Pension Offset
supplement their income or for personal and Windfall Elimination Provisions. Calculators
fulﬁllment during the ﬁrst 10 years of retirement. are available to estimate the impact of those
Almost half of retirees move to a smaller house or a provisions on your spouse’s social security beneﬁts
lower cost living area during the ﬁrst 10 years of (based on his or her own earnings or yours).
retirement. In Southern California, home equity is
a major part of most households’ net worth. Aside Estimating Your Home’s Value
from selling a home to tap into that equity, reverse www.bankofamerica.com
mortgages are available to borrow against the value Enter your address and ZIP code and get
of the home. comparable home sales in your neighborhood.
From the Bank of America home page, choose
Loans and Home Buying Overview, then “Real
Estate Center–Find out how much your home is
Four Checklists for Retirement 5 to 10 years until retirement Use the services available to you for free from Contact your beneﬁts ofﬁce 3 months before
Time for a thorough review of your ﬁnancial the investment companies managing your you retire. They can help you with both your
Planning situation. retirement accounts. They can provide retirement and medical beneﬁts as well as your
Do a careful analysis of your income needs extensive information about both investing decisions about continuing other types of
Throughout Your Working Career during retirement. during retirement and income distribution insurance.
Create a household budget that includes a line Determine whether you’re on track to meet options. Prepare and send your resignation letter to
item for retirement savings. your retirement savings goals. Attend an individual counseling session with a your dean or supervisor.
Set an estimated retirement goal. –If you’re on track, keep up the good work. representative from your retirement investment –Faculty should, preferably, send this letter of
Invest your retirement savings for long-term –If you’re likely to fall short, make changes— company. intent early in the fall if they plan to resign in
growth. delay retirement, use catch-up provisions to Start the decision making process on whether the spring. This will give your department
Participate in the retirement plans available at put away more pre-tax dollars; make additional or not you will be relocating and selling your time to ﬁnd a replacement for the next
USC. investments with after-tax money. home when you retire. academic year.
Keep track of retirement earnings from both Review your insurance needs and existing Attend the annual Transitions seminar at USC. –Staff should send this letter two to four weeks
current and previous employers (consider coverage. Review your will, trust or estate plan, if prior to their retirement date. Generally, the
consolidating your assets if possible). Attend an individual counseling session with a applicable. larger your responsibilities the more notice you
Read and save all communications about your representative from your retirement investment should give that you will be leaving.
retirement savings (from USC, investment company. Less than 1 year away Review your vacation accruals. Unused
companies, and the Social Security If you’ve accumulated sizeable assets, consider Review your income needs during retirement. vacation days will be included in your ﬁnal
Administration) estate planning. Decide how you want to receive your income check.
Review your asset allocation at least once a from your retirement plan Review your most recent pay stub or advice
year and rebalance your portfolio. 1 to 5 years until retirement –Participants in the Non-Exempt Retirement slip or log on to eTrac for a detailed list of
Review your insurance needs and existing Tighten up your estimate of expenses during Plan should contact the program manager to your deductions. You’ll need to make
coverage at least once a year. retirement. discuss the income options available to them at arrangements to continue deductions after
Make sure that the beneﬁciary designations on Explore how you will receive your retirement least 3 months before they retire. Once retired, your retire for deductions such as USC Federal
your retirement savings and insurance policies income. Learn about income annuities and participants (and spouses, if married) must set Credit Union, School of Dentistry payment
are up-to-date. retirement income management tools from up an appointment to complete the necessary plans; retirement plan loans and ticket ofﬁce
Evaluate your need for a will or trust and keep investment companies. paperwork to begin pension payments. purchases.
them up-to-date. Carefully review your estimate of beneﬁts from –Participants in the Faculty and Exempt Staff Set aside transition funds in a savings or
Evaluate the need to hire a ﬁnancial planner. the Social Security Administration. Retirement Plan and the Supplemental checking account to take care of any
Check to see if you’re still on track toward Retirement Plan should request information unexpected expenses or delays in expected
reaching your retirement goal. from their investment companies about retirement payments.
If you’re not on track, maximize all tax- income options at least 6 months before they
advantaged savings and also save more after-tax retire. Paperwork will need to be completed to
dollars. start payments.
Consider hiring a ﬁnancial planner to help. Review your medical coverage and how you
Re-evaluate the asset allocation of your will obtain medical coverage when you retire.
investments as you near retirement.
4 UNIVERSITY OF SOUTHERN CALIFORNIA
Don’t delay enrollment. Retirement counselors from each of our ﬁve
How to choose a ﬁnancial
retirement investment companies can provide you
You are eligible to participate in the Faculty and
Exempt Staff Retirement Plan upon meeting
with educational tools to help you make a decision planner
based on your goals. The retirement counselors are
eligibility requirements. If you do not wish to As you work on tracking progress toward your
on campus at least once a month. Check the
begin participating right away you must complete retirement goals, you may decide that you want
“Coming Events” section of the Beneﬁts Web site
a waiver stating so. Participation is mandatory after guidance from a professional. Stockbrokers,
for dates, locations and phone numbers to call to
ﬁve years of eligible employment or attaining insurance agents, and ﬁnancial planners can
set up an appointment.
tenure. But don’t wait until participation is assist you in developing a comprehensive
mandatory to start. investment plan. But ﬁnding a qualiﬁed
“Take positive action to assure your investment ﬁts
professional with whom you are comfortable is
your retirement goals. All employees, whether new
Both exempt and non-exempt employees can begin not easy. The following recommendations from
participants or long-term participants, should
participation in the Supplemental Retirement Plan the Employee Beneﬁt Research Institute will
review their investment allocation and retirement
immediately upon hire or at any time during help you identify several good candidates and
goals at least once a year.”
Awilda P. Bregand employment. Non-exempt employees need to interview each before making your selection.
evaluate whether their beneﬁts from the Non-
Director, USC Beneﬁts Administration
Exempt Staff Retirement Plan alone will meet their
Don’t lose touch with USC. You may begin by asking family and friends for
retirement income needs. Former employees of USC who recommendations. You can call or visit a local
What Not to Do Awilda notes, “Too many people put participation
were participants in the Non-
Exempt Staff Retirement Plan
ﬁnancial services ﬁrm to request information.
Attend a free investment seminar given by a
“Too many people don’t do their homework.” In off because they think they can’t afford their may have retirement beneﬁts stockbroker, insurance agent, or a ﬁnancial
her 20 years in beneﬁts administration, Awilda contribution or think they won’t be here long available when they retire. planner. If one of the speakers looks like a good
Bregand has seen too many people who believe enough.” The pretax deferral helps make it “Former employees need to keep candidate, call him or her for an interview.
retirement is too far away to worry about. Then affordable. The immediate doubling of your USC informed of their current address so we can
when it’s 5 to 10 years away, they suddenly money (with the USC 10% contribution to the reach them with information about any retirement Once you complete your investigation, narrow
discover they haven’t been saving enough. Awilda Faculty and Exempt Staff Retirement Plan) makes beneﬁts they have.” If you leave USC with an your list of potential candidates to those you
cautions “Don’t let the delusion that retirement is it an investment that can’t be beat. Even if accrued beneﬁt with an actuarial value of more wish to interview. Some of the questions you
so far away keep you from starting retirement someone is at USC for just a few years, the money than $5,000 you will be eligible for beneﬁts when should ask are listed below. Don't be shy! A
planning early.” As director of USC Beneﬁts can add up to a substantial amount. Upon leaving you retire (as early as age 55 with a reduction in good professional understands the selection
Administration, Awilda spends much of her time the university the employee has several options— monthly beneﬁt). If your actuarial value at process and will answer your questions fully and
planning how the university provides allow the money to remain invested as it is, request termination is less than $5,000, you will need to honestly. You may want to ask the candidates to
administrative services related to all beneﬁts a rollover to another qualiﬁed retirement plan, or take action regarding your beneﬁt. You may take a respond to these questions in writing before your
programs, including retirement plans. take a lump sum distribution (there are signiﬁcant lump sum distribution or rollover the money into personal interview. Always conduct a personal
tax implications for distributions). another qualiﬁed plan or IRA. If you do not take interview to make sure you are comfortable with
action, we will rollover your money into an IRA. your ﬁnal selection (in other words: you feel you
Don’t be complacent—learn to will work well together—remember, this will be
The university maintains your eTrac account after a long-term relationship).
put your money to work. you leave USC (if you set up your login while
When an employee becomes eligible to participate employed) until April 1 of the following year to Questions to ask:
in the Faculty and Exempt Staff Retirement Plan, allow you to update your address, if necessary. You • What is your area of expertise?
the beneﬁts ofﬁce sends the eligible employee also can update your address by sending e-mail
information on what they need to do to enroll. (beneﬁts@usc.edu) or a letter to USC Beneﬁts • What is your educational background?
“Too many people Awilda advises eligible participants “Don’t make
the mistake of not responding.” You must respond.
Administration. As a qualiﬁed plan we are required
to notify the Social Security Administration of all
• What ﬁnancial planning designations have you
participants’ estimated beneﬁts. They in turn will
put participation If you do not wish to participate when you ﬁrst
become eligible, but would rather wait for the ﬁve notify you to contact USC when you apply for • What further education in ﬁnancial planning do you
plan to pursue?
year mandatory enrollment period you must tell us Social Security beneﬁts.
off because…” so by completing the appropriate form. No
Former employees of USC who are participants in
• Are you a member of any professional ﬁnancial
response means you are automatically enrolled in planning association?
the plan and once enrolled always enrolled. the Faculty and Exempt Staff Retirement Plan or
• How long have you been offering ﬁnancial planning
At the same time you are completing your the Supplemental Retirement Plan will continue to
enrollment forms you must also select the funds in receive regular statements from their investment
which to invest your money. Employees are offered company. Address changes should go directly to • Will you provide references?
a broad array of available investment options. If the investment company.
• Have you ever been cited by a professional or
you do not complete the appropriate fund regulatory governing body for disciplinary reasons?
enrollment forms you will be defaulted into a
money market fund. Returns for the money • In the last year, how many clients have stopped using
your services? Why?
market fund may be signiﬁcantly lower than other
available fund choices. Picking investment options • Do you do the work or will I be turned over to
can be daunting so plan ahead and meet with one another employee of your ﬁrm?
of our retirement counselors on campus.
• What is your approach to saving and investing?
• Will you provide an individualized ﬁnancial plan? Can
I look at a recent example of a plan prepared for
someone in similar ﬁnancial circumstances?
• What kinds of communications can I expect from you
on an ongoing basis (account statements, newsletters,
The example below shows how skipping just one year of saving $3,000 can etc.)?
affect your long-term retirement savings. • How often will you review my portfolio?
• How are you compensated for the services you
• How are fees calculated?
• On average, how much can I expect to pay for your
• What do I receive in return for that fee?
• What, if anything, do you expect of me during our
Assumptions: This hypothetical example assumes
annual $3,000 workplace savings contributions
are made on January 1 each year beginning at
the speciﬁed age and continuing until age 70.
Assumes annual rate of return of 8%. Assumes
annual tax-deferred compounding in a workplace
savings plan. Final account balances are prior to
any distributions and taxes may be due upon
distribution. This hypothetical example is for
illustrative purposes only and does not represent
the performance of any security. From Fidelity
Investments at Fidelity.com
Health Care during Retirement Medicare Access to Your Retirement Funds Hardship Withdrawals
www.medicare.gov There are many limitations on hardship
Planning for your health care costs is an important While Working withdrawals from your retirement accounts. You
part of your retirement planning. Eligibility for Generally, people who are over age 65 and
USC health beneﬁt programs ends when your receiving Social Security payments automatically Borrowing Money from Your Retirement may request a withdrawal limited to your principal
employment with USC ends, even if you are qualify for Medicare. There are two parts to Account contributions but not any earnings or university
retiring. Your coverage ends on the last day of the Medicare: Hospital Insurance (sometimes called contributions. To be eligible, you must ﬁrst exhaust
Although both the Faculty and Exempt Staff
month in which you terminate. At that time, Part A) and Medical Insurance (sometimes called the loan provisions of your plan. The amount you
Retirement Plan and the Supplemental Retirement
depending on your age, you will need to enroll in Part B).Part A helps pay for inpatient hospital care, can withdraw may also be limited by the
Plan include loan provisions, borrowing from your
either COBRA or Medicare. If you are eligible for skilled nursing care, and other services. Part B investment manager.
retirement account may not be such a good idea.
Medicare, you should enroll in Parts A, B and D requires payment of monthly premiums ($78.20 in No more than two loans may be initiated within
three months prior to termination to ensure no 2005; adjusted annually) and helps pay for such A ﬁnancial hardship, as deﬁned by the IRS, is an
any 5-year period.
gap in your coverage. If you are not eligible for items as doctor's fees, outpatient hospital visits, immediate and heavy ﬁnancial need arising from:
Medicare, you may elect to continue your coverage and other medical services and supplies. The following are some excellent reasons from • Tax-deductible medical expenses, not covered by medical
through COBRA for up to 18 months by paying Prudential about why borrowing money from your insurance, incurred by you, your spouse, or any of your
the full premium plus a 2% administrative fee. Beginning January 1, 2006, new Medicare retirement account is a bad idea. dependents;
Rates for COBRA coverage after termination of prescription drug plans will be available to people
employment are available on the beneﬁts Web site with Medicare. Insurance companies and other • You are risking your ﬁnancial future. • Costs directly related to the purchase of a primary
(from the home page, choose forms; scroll down to private companies will work with Medicare to offer The money in your account is earmarked for your residence (excluding mortgage payments);
Health and Welfare then click on “Cashpay Rates these drug plans. They will negotiate discounts on retirement years. If you borrow money from your
and COBRA rates). drug prices. Medicare prescription drug plans account, you may put yourself on very shaky ﬁnancial • Payment of tuition, related educational fees and room
provide insurance coverage for prescription drugs. ground when it's time to retire. and board expenses for the next 12 months of post-
Retiree Health Stipend Like other insurance, if you join you will pay a secondary education for you, your spouse or
• You repay your loan with after-tax dollars. dependents; or
At the discretion of the Board of Trustees, the monthly premium (generally around $35 in 2006
Unlike the pre-tax contributions to the program, the
university may offer a retiree health stipend to and adjusted annually) and pay a share of the cost money you use to repay your loan is deducted from your • Payments necessary to prevent eviction from your
eligible retirees. Currently, to qualify a retiree must of your prescriptions. Costs will vary depending on paycheck using after-tax dollars which will be taxed primary residence or foreclosure of the mortgage on
have worked for ﬁfteen years in a full-time, the drug plan you choose. again when you eventually withdraw the money in your principal residence.
beneﬁts-eligible staff or faculty position, have retirement. DOUBLE TAXATION!
attained age 65, and be fully separated from service The Medicare Web site includes comprehensive Federal income tax of 10 per cent will be withheld
with the university on or before the end of the information about eligibility and beneﬁts. • The money that you borrow is not working for from the amount withdrawn and penalties will
your ﬁnancial future.
prior ﬁscal year. The continuation of this stipend is apply if you are under age 59½. You must apply
If the money you borrow from your account was
reviewed each ﬁscal year and is subject to change at invested in equity or bond funds, you may lose out on
for a hardship withdrawal through your beneﬁts
anytime. The annual stipend was $600 in 2005. investment earnings if the fund(s) in which you were ofﬁce and submit documentation of your ﬁnancial
Questions regarding eligibility should be directed invested rise in value while your money is out of your hardship as well as your spouse’s notarized consent.
to the Beneﬁts Administration Ofﬁce at account. And you can never recover that loss.
(213) 437-1839. If You Leave USC before Retirement Age
• Other loan options have tax advantages that your
Non-Exempt Staff Retirement Plan
USC Senior Care retirement program can't offer.
The interest you pay on a home equity loan, for example, If you have satisﬁed the vesting requirement and
www.usc.edu/health/uscp/seniorcare/ the (actuarial) present value of your beneﬁt is less
may be tax deductible. The loan interest you pay when
USC Senior Care is a Medicare supplement you borrow from your retirement program isn't. There than $5,000, you may either receive a lump sum
program for former employees of USC. The are so many ways to borrow money that it doesn't make payment or roll the beneﬁt over to an IRA or your
program ﬁlls gaps in Medicare coverage by sense to consider your retirement program as a primary new employer's retirement plan. If the present
providing supplemental payments on Medicare source for a loan. value is more than $5,000, you cannot receive
hospital coverage, and no deductibles or payment or rollover the beneﬁt but will receive a
co-payments for health care services provided by lifetime annuity beneﬁt at retirement. Be sure you
USC physicians. keep us informed of your current address so you
will receive your beneﬁts when you’re eligible. You
must begin to receive payments by the April
With the advent of Medicare Part D, USC Senior following the year you turn 70½ if you are no
Care will no longer provide prescription drug longer employed by USC. Call (213) 437-1831 for
beneﬁts effective January 1, 2006. The Centers for information.
Medicare and Medicaid services (CMS) have
clearly deﬁned guidelines that do not enable USC Faculty and Exempt Staff and Supplemental
Senior care to continue to provide pharmaceutical Retirement Plans
beneﬁts. However, Senior Care is pleased to Contact your investment company or your beneﬁts
announce the addition of dental and vision, two ofﬁce to discuss options regarding your retirement
beneﬁts that were formerly not provided under account. You may leave these funds in your USC
Senior Care. In addition, Senior Care premiums retirement account or you may be able to rollover
will be signiﬁcantly lower in 2006. funds to your new employer’s retirement plan or
into a rollover IRA. If you leave the funds in your
USC retirement account, you must begin to
Those eligible for USC Senior Care include USC
receive payments by the April following the year
faculty and staff retirees age 65 and over. Spouses
you turn 70½ if you are no longer employed by
or registered domestic partners also have access to
USC. Call (213) 437-1835 or 437-1821 for
the plan. All plan participants must be enrolled in information.
Medicare parts A and B. For retirees who receive a
health stipend from the university, participation in
USC Senior Care will not affect the stipend. For
more information, visit the USC Senior Care Web
site or call 1-800-USC-CARE and ask for a USC
Senior Care representative.
Why are there so many different names for our retirement plans?
During their many years of existence, our
retirement plans have changed names. So
when talking to people on campus you may
hear other names crop up (or abbreviations Plan Name Internal Revenue Code Old and Alternate Name Type of Plan
of prior names, which is even more
Non-Exempt Staff Retirement Plan 401 (a) Support Staff Retirement Plan, SSRP Deﬁned Beneﬁt
confusing). These other names sometimes
appear on ofﬁcial plan documents or on Faculty and Exempt Staff Retirement Plan 401 (a) USC contribution Basic Retirement Plan Deﬁned Contribution
investment company information. Also, each
of the retirement plans is qualiﬁed (for tax 403 (b) Mandatory Employee Tax Deferred Annuity Plan Deﬁned Contribution
deferral) under certain sections of the Contribution
Internal Revenue Code. Plans are often Supplemental Retirement Plan 403 (b) Tax Deferred Annuity Plan Deﬁned Contribution
referred to by these numbers. The third
variant that you will frequently hear refers
to the two broad categories of retirement
plans: deﬁned contribution and deﬁned
beneﬁt. Here’s a chart that should help.
6 UNIVERSITY OF SOUTHERN CALIFORNIA
Protecting Your Retirement Long Term Care Insurance
Roughly 50% of Americans now turning age 65
Savings will be admitted to a nursing home at some point
www.usc.edu/beneﬁts in their lives. And nursing home care is expensive.
Estimates show that one year of such care ranges
between $33,000 to over $91,000. USC
Disability Insurance employment provides you with the opportunity to
What would happen to your retirement planning if participate in Long Term Care Insurance from
you could not work because of a disabling injury CNA Financial Corporation. You pay the full cost
or illness? Disability beneﬁts replace part of your of the insurance but at group rates. Beneﬁts from
income if an injury or illness prevents you from this program help pay the cost of nursing home
working. Disability plans at USC are explained on care, convalescent care, or home health care for
the Beneﬁts Web site and at patients requiring special care due to illness, injury,
capsnet.us.edu/DIS/Index.cfm. or the natural aging process. This includes expenses
not normally covered by Medicare, Medicaid, and
Life Insurance most other medical insurance policies. Costs for
Even though you have a plan for retirement savings coverage are based on your age at the time you ﬁrst
in place, the unexpected can prevent you from enroll and will not increase solely due to your age.
reaching your goals. You can help protect your Parents and grandparents of eligible employees and
loved ones from ﬁnancial problems through life their spouses or domestic partners also may
insurance, which pays a pre-determined amount to purchase this insurance subject to the vendor’s
your beneﬁciaries in the event of your death (there eligibility requirements.
is no income tax liability to the beneﬁciary). Many
factors go into determining the amount of life Cancer Expense Protection Insurance
insurance you need, including the age of your This insurance provides direct cash payments to
dependents, existing savings and the need to the insured who is diagnosed with cancer. It also
replace future retirement savings or beneﬁts. pays for several types of expenses associated with
the treatment of cancer. These beneﬁts are paid
When was the last time you reviewed your regardless of any other insurance you may have.
beneﬁciary? Log onto eTrac and see who is listed as AFLAC Cancer Expense Protection Insurance is
your beneﬁciary for life insurance. Does it say “No available at group rates through USC.
information available”? If so, that means it’s time
to update your beneﬁciary. You may download the For more information about any of these types of
update form from the Beneﬁts Web site. insurance, contact your beneﬁts ofﬁce.
The life insurance available through USC is term
life insurance, which means you have the insurance
during the time that premiums are paid. USC pays
for a basic amount of life insurance with
Prudential Life Insurance Company and you may
purchase additional insurance for both yourself and
your eligible dependents.
Retirement Planning Glossary
Annuity A contract or agreement providing for Guaranteed Period A minimum payment Single-Life Annuity An annuity that guarantees
the payment of a sum of money at regular period during which income will be paid even if lifetime income for one person only.
intervals. the annuitant (and annuity partner, if any) dies.
Payments continue to the beneﬁciary until the end Traditional IRA (Individual Retirement
Asset Allocation How you divide your of the guaranteed period. Account) Provides the opportunity to make tax-
investments among different asset categories. deductible contributions to a retirement account
Mutual Fund Pool of money from multiple outside of an employer’s plan.
Beneﬁciary The person, trust, institution or investors. Professional money managers use the
estate named to receive death beneﬁts, if any, from pool of money to buy individual securities such as Two-Life Annuity An annuity that guarantees
insurance or annuity contracts. stocks, bonds, and short-term investments in lifetime income for two people.
accordance with the fund’s investment objective.
Deﬁned Beneﬁt A retirement plan offering a However, rather than owning the securities directly, Vested An employee’s right to receive a present or
guaranteed stream of monthly income, based on a the mutual fund investors own shares in the fund. future pension beneﬁt is vested when it is no
formula typically tied to the participant’s longer contingent upon remaining in the service of
compensation and years of service. Rebalancing Since investments grow at different the employer.
rates over time, an asset allocation can drift out of
Deﬁned Contribution A retirement plan that balance. This drift can increase the likelihood that
provides beneﬁts based solely on the amount your investments will not meet your expectations.
contributed to the participant’s account adjusted Rebalancing is the process of returning your
by any income, expenses, gains and losses. portfolio to its proper allocation by shifting money
among asset classes.
Diversiﬁcation of Assets One of the most
basic strategies for reducing investment risk, Rollover An employee’s transfer of retirement
diversiﬁcation is the strategy of investing in a broad funds from one retirement plan to another plan of
range of stocks and/or bonds, or spreading your the same type or to an IRA, or from one IRA to
investment across the securities of different another, without incurring a tax liability. A rollover
countries, industries, or companies. In this way, can be made directly between carriers. Or, you can
potential losses in one area may be offset by elect to receive the distribution and the rollover
potential gains in others. must be made within 60 days of receiving the cash
distribution. The law requires 20% federal income
Fixed Annuity A traditional insurance tax withholding on money eligible for rollover if it
investment vehicle, often used for retirement is not moved directly to the second plan or
accounts, that guarantees principal and a speciﬁed investment company.
interest rate and may also offer dividends.
RESOURCES Using the Investment Company Prudential
Choose to Save Program
Web Sites The Prudential Web site includes retirement www.choosetosave.org
USC Beneﬁts Administration The investment companies that manage the information and planning tools available to all This Web site is part of an educational outreach
retirement accounts under USC retirement plans Web site visitors. To login to information about program to educate Americans about the need to
Although all beneﬁts staff can answer have extensive retirement planning tools on their your own account, you need to enter your account plan and save for long-term personal ﬁnancial
general questions about your USC Web sites. Explore these sites and ﬁnd the number and set up a PIN number. Once you’re security. The program was developed by the
retirement plans, several specialists are resources you are most comfortable with. Many of logged on, you can explore an Information Center Employee Beneﬁt Research Institute and the
assigned to help you with more complex these tools are available to anyone. Additional (USC retirement plan rules), detailed information American Savings Education Council. The Web
services and planning tools are usually available to about your account balance and investments, and site includes an extensive set of online calculators
questions and procedures. plan participants who register or login to their many planning tools and calculators. that cover not only retirement planning, but all
account. The advantage of being logged into your Short online courses are available to Prudential types of ﬁnancial planning from buying an auto to
account is that information on your account investors, which cover How to Choose credit card debt and home mortgages.
balances is already included when you use the Investments, Understanding the Value of Your
calculators or other planning tools. Pension Plan, Basics of Estate Planning, Individual Counseling Sessions
Consolidating Your Retirement Savings, and
If you don’t have access to the Internet from your Distribution Options. www.usc.edu/beneﬁts
home or workplace, you are welcome to visit your Each of the retirement plan investment companies
Prudential names for your retirement accounts
Beneﬁts Ofﬁce to use these online retirement offer individual counseling sessions to participants
• USC Basic Retirement Plan–your contributions to the throughout the year. Visit the Beneﬁts Web site
Faculty and Exempt Staff Retirement Plan
(choose Coming Events) for a schedule and how to
• USC Deﬁned Contribution Plan–USC contributions to the
Faculty and Exempt Staff Retirement Plan
make an appointment.
www.mysavingsatwork.com • USC Supplemental Retirement Plan
Teri Aparicio The Fidelity Web site includes several retirement You will need to total your balances to use the
Program Manager planning tools available to all visitors to the site. If planning tools. The Transitions Program is an intensive two days
Non-Exempt Staff Retirement Plan you’re a Fidelity investor, you can login and get spent exploring both ﬁnancial planning and other
(213) 437-1831 detailed information about your retirement AIG SunAmerica issues surrounding retirement. Presented by USC
email@example.com accounts and use their portfolio analysis tools. The www.sunamerica.com Beneﬁts Administration and the Emeriti Center,
Teri Aparicio is experienced in helping employees Retirement Check Up will give you an estimate of The AIG SunAmerica Web site includes basic those eligible to attend will receive an invitation in
though all phases of the Non-Exempt Staff retirement income based on your current balances product information and an assortment of the early spring. Separate programs for the Health
Retirement Plan. She calculates beneﬁts, projects in Fidelity accounts. The check up will take you retirement planning tools. For account Sciences and University Park campuses are held in
anticipated beneﬁts, reviews distribution options through a series of questions about your retirement information, participants should contact customer April each year.
with participants, and signs ﬁnal distribution goals and develop an Action Plan based on your service at (800) 842-2776.
documents. retirement goals and your current retirement
savings. Fidelity investors can use Fidelity
Retirement Income Advantage, a new set of www.tiaa-cref.org www.usc.edu/org/emeriti_center/
products, tools and services designed to help plan, In addition to a wealth of retirement planning The Emeriti Center at the university was
invest and manage income during retirement. tools, the TIAA-CREF Web site features Webcasts established in 1978 to provide service and support
Their series of online seminars covers such topics on retirement topics. The 15-minute Webcasts for faculty and staff during retirement. It offers
as Determining Your Retirement Savings Needs include seminars for new investors and for those cultural, educational, and service opportunities for
and Evaluating Investment Options. 5-10 years from retirement and many others. You retirees, and advocates for retiree beneﬁts,
Fidelity names for your retirement accounts need a high speed Internet connection and opportunities and recognition. Seminars on
• USC 403B TDA Plan–your contributions to the Faculty Explorer 5.0 or higher to watch. And don’t let the retirement and pre-retirement issues are offered
and Exempt Staff Retirement Plan and the Supplemental intro music discourage you, the presentations are annually. Videotaped interviews record USC's
Retirement Plan, including rollovers from previous excellent. When you login as a TIAA-CREF living history. A Retiree Gold Card is issued to a
employers participant, you can check the daily balances of retiree who has worked at USC for at least ten
• USC 401 (A)–USC contributions to Faculty and Exempt your retirement accounts and review detailed years in a beneﬁts-eligible staff or faculty position
Staff Plan information about your investment allocation. and who is age 55 or older when he or she leaves
• Rollover IRA–any contributions you have in your own employment at the university. Among the many
Retirement Specialist IRA set up with Fidelity TIAA-CREF names for your retirement accounts
perquisites available to a Gold Card-eligible retiree
Faculty and Exempt Staff Retirement Plan • Your accounts are listed by each of your employing
(213) 437-1835 are lifetime courtesy parking, USC e-mail account,
institutions and contract numbers.
firstname.lastname@example.org listing in the USC directory, free or discounted
Marie Manning will answer questions and assist Vanguard Company
admission to selected cultural events, continuation
you with the various procedures related to the of many faculty/staff privileges and discounts. The
Faculty and Exempt Staff Retirement Plan or the Emeriti College provides opportunities to mentor,
To log in for information about your retirement do research, and teach on campus and at sites
Supplemental Retirement Plan. Contact Marie if account, choose the Personal Investors section,
you have questions about changing investment throughout greater Los Angeles. For more
then to My Portfolio and logon. Get your balances information, visit the Emeriti Center online or in
companies or investment allocations, stopping or and check your asset mix by answering about 10
starting a Supplemental Retirement Plan, rollover person in the Gerontology Building, Room 220 or
questions. Plan rules are available for USC plans. call (213) 740-8921.
of retirement funds, getting ready to retire, and
signing ﬁnal distribution documents. Vanguard names for your retirement accounts
• USC Tax Deferred Annuity Plan–your contributions to
Retired Faculty Association and Staff
Faculty and Staff Retirement Plan and Supplemental Retirement Association
Retirement Plan www.usc.edu/org/emeriti_center/rfa.htm
• USC Deﬁned Contribution Retirement Plan–USC www.usc.edu/org/emeriti_center/sra.htm
contribution to Faculty and Staff Retirement Plan
The Retired Faculty and Staff Retirement
Associations provide social and enrichment
activities for their members. Membership is open
to retired and current faculty or staff, respectively.
For more information, leave a message at
(213) 740-7122, and you will be contacted.
If You Do Not Have Access University Park Campus Health Sciences Campus
BENE218/13M/OCT2005 Photos by Brian Morri and Irene Fertik
Lyn Miller King Olympic Hall, Room 206 Norris Medical Library Computer Lab
Assistant Manager to a Computer Open 24 hours a day, seven days a week. (requires a library card)
(213) 437-1821 Monday thru Thursday, 7:45 a.m. to 12:00 midnight
email@example.com If you do not have access to a computer, you may go to Leavey Information Commons, Lower level of Friday, 7:45 a.m. to 8:00 p.m.
Lyn Miller works extensively with faculty your Home Department Coordinator or your beneﬁts Leavey Library Saturday, 9:00 a.m. to 5:00 p.m.
throughout their career at USC: from enrollment ofﬁce and use the computers available for public use. You Sunday, 9:00 a.m. to 10:00 p.m.
Monday through Saturday, open 24 hours a day;
in beneﬁts to preparing for retirement. She also also can use computer labs on campus. To use the
on Sunday, open from 9 a.m. to 12:00 midnight
computers at USC computer labs, you must present your
provides resources for understanding and enrolling
employee ID card.
in Medicare beneﬁts. Salvatori Computer Science Center, Room 125 Lab hours listed are for the fall 2005 semester.
Open 24 hours a day, seven days a week.
Taper Hall of Humanities Language Center, Room 309
Monday thru Thursday, 8:00 a.m. to 9:00 p.m.
Friday, 8:00 a.m. to 5:00 p.m.
Closed on Saturday, Sunday and when classes are not in
Waite Phillips Hall of Education, Room B34
Open 24 hours a day, seven days a week.
8 UNIVERSITY OF SOUTHERN CALIFORNIA