If You Leave the University

Prior to age 65, you may not withdraw any of the funds in your Retirement Plan accounts under any circumstances as long as you are employed at the University.

If your employment with Boston University ends at any time before retirement, you are fully vested in all your Retirement Plan funds. You will receive payment of your accounts.

Fidelity

  1. You may elect to receive a lump sum distribution of your moneys invested in these accounts.
  2. You may leave funds on deposit for distribution at a later date. Under current tax laws, payments must start by the April 1 following the calendar year when you reach age 70½. You may not make contributions directly to your Fidelity accounts.
  3. You may roll over your account to an IRA or other plan that accepts rollovers, provided that you meet federal tax law requirements.

TIAA-CREF

  1. For Retirement Annuity (RA) contracts issued prior to June 1, 2005:
    (a) If your TIAA contract is less than $2,000 in value, you may apply for a lump sum distribution of the full value of your account. You may then roll over your lump sum payment into an IRA or other plan that accepts rollovers, provided you meet federal tax law requirements.
    (b) If your TIAA contract is at least $2,000 in value, you may begin receiving lifetime annuity payments or elect TIAA’s Transfer Payout Annuity. Under current tax laws, payments must start by the April 1 following the year in which you reach age 70½ or upon retirement, whichever is later.
  2. For Group Retirement Annuity (GRA) contracts issued after June 1, 2005:
    (a) You may apply for a lump sum distribution of the full value of your account within a 120-day period following your termination of employment. A withdrawal charge of 2.5% applies to such lump sum withdrawals. You may then roll over your lump sum payment into an IRA or other plan that accepts rollovers, provided you meet federal tax law requirements.
    (b) You may receive a fixed-period annuity of 5 to 30 years (subject to IRS restrictions).
  3. You may elect to receive a lump sum distribution of moneys invested in CREF. This may be rolled over into an IRA or other plan that accepts rollovers, provided you meet federal tax law requirements.

The rights of your spouse also apply to the choice of a form of payment for benefits due when you terminate your employment with the University.