Track A Retirement
| Enrollment Forms -Track A |
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Track A consists of two parts. If you elect Track A, most employees* will participate in both plans:
OU contributes 8% of your Base Pay over $9,000. You do not contribute. You direct the investment of your account. The amount you receive at retirement depends on how much has accumulated in your account over the years you have participated in the plan. If you elect Track A, the plan becomes effective on the first day of the month after your hire date or election date.
This is a defined benefit plan. You contribute mandatory contributions of 7% of your Total Compensation. OU also contributes 7.55% of your Total Compensation. Keep in mind that OTRS is a defined benefit so you earn retirement benefits based on a formula. You cannot receive a distribution of OU's contributions if you retire or leave OU. Your retirement benefit is calculated using a formula that considers your total service credit and your average Total Compensation during your five highest-paid years (Years of service credit x 2% x average Total Compensation for your five highest-paid years = your retirement benefit).
Membership begins on your date of hire. After you submit your election to participate in Track A, both you and OU make contributions retroactive to your date of hire. To avoid having catch-up payroll deductions, it is important to make your election as soon as possible -- preferably within 30 days.
The required enrollment forms can be found by clicking on the links in the above box. You should submit these forms:
- DCP application
- OTRS application
- OTRS tax agreement
- 401(a) company application (you may choose more than one)
- Election Form (salaried employees under age 45 only)
* For hourly employees, election of OTRS is optional. See Section 2 - Track Eligibility for more details.
