2019 Retirement Plan Updates
There are a number of enhancements coming to retirement plans for 2019.
- TIAA’s administrative fee to the plan will be more transparent. TIAA will become the single service provider for the retirement plan in early 2019. All liquid assets at VALIC will be transferred, or “mapped" to TIAA in early 2019; illiquid assets will follow as the contract with VALIC permits
- The investment menu at TIAA will undergo changes in early 2019
Late December 2018 | TIAA will mail a transition guide to participants with detailed information about the changes.
End of January 2019 | Participants will no longer be able to make changes in their account at VALIC.
February 2019 | Participants’ liquid assets from VALIC will be mapped to the Lifecycle funds at TIAA; participants may log into their TIAA account to make changes to this default election once the mapping has been completed.
For participants with loans, RMDs, systematic withdrawals and other special circumstances, other communications will be forthcoming.
Please check the Pacific Calendar for upcoming dates for TIAA One on One Counseling Sessions and Focus Groups
Can I opt out of this change?
No, the plan changes are not optional. However, if you have reached a distributable event (for example, retirement), then you have the option to move your money outside of the plan.
Does the plan change cost more to me or will I incur transaction fees?
No, there are no costs associated with the consolidation to a single service provider for the retirement plan. One primary purpose of the consolidation is to ensure that participants pay no more than reasonable fees for the service providers to the retirement plan; this transition helps achieve that requirement.
Will all of my account move to TIAA in early 2019?
It depends. Some investment options are not liquid and will not all transfer in early 2019. These investment options (for example, Fixed Account Plus) will transfer over time to TIAA. In addition, if you have an active loan with VALIC, your account may be impacted, and you should be on the lookout for additional information.
How will I learn about the investment options at TIAA?
If you are currently employed by Pacific University, you already have an account with TIAA and have access to the investment options. If you are not currently employed by Pacific University, you will be enrolled automatically. Be on the lookout with additional information from TIAA to learn more.