Retiring or Leaving BU?

When retiring or leaving the University, you should consider:

  • You should inform your supervisor that you are planning to retire. You will also need to provide them with a written resignation letter.
  • If you are age 62 or older, be sure to contact Social Security for information on Social Security and Medicare.
  • Health plan coverage
  • Your participation in the long-term disability plan ends.
  • Basic life insurance plan and group supplemental life insurance plan
    •     Your coverage ends on the last day of the month in which you terminate your employment.
    •     You may convert your coverage to an individual life insurance policy.
    •     You must apply for conversion and pay your first premium within 31 days after the reduction or termination of the coverage you wish to convert.
    •     You will not have to submit evidence of insurability to convert your coverage.
  • Travel accident insurance plan
    • Your participation in the travel accident insurance plan ends on the day you terminate your employment or retire.
  • Personal and family accident insurance plan
    •     Your coverage ends 31 days after you terminate your employment or retire. You may convert your coverage for yourself and your covered dependents to an individual policy at regular individual policy rates.
  • Supplemental death benefit plan
    • Membership in the plan will end on the day you terminate employment or retire.
  • Retirement Plan and Supplemental Retirement & Savings Plan
    • You are fully vested in all your funds, regardless of when you leave the University.
    • Fidelity Investments: You may elect to receive a lump-sum distribution, leave funds in your account for distribution at a later date, or roll over all or a portion of your account into an IRA, provided you meet federal requirements.
    • TIAA: You may elect to receive a lump-sum distribution (depending on your investment choices within TIAA), leave all accumulated money in your TIAA accounts and receive an annuity, or leave funds in your account for distribution at a later date. If you take a lump-sum payment, you may be able to roll over all or a portion of it into an IRA.
    • If you elect a plan distribution, be sure to understand any tax implications.
  • Flexible spending account (dependent care) and flexible spending account (health care)
    • When you leave the University or retire, you can be reimbursed for eligible expenses that were incurred through your date of termination of employment. All claims must be submitted by March 31 following the end of the calendar year of your termination.
    • For the flexible spending account (health care) only, continue your plan coverage through COBRA, provided you make this election within 60 days after the end of the month in which you leave the University. If you elect to continue coverage, your contributions will be after tax.
  • Tuition Remission Program
    • If your spouse is receiving Tuition Remission benefits and your employment ends before the first day of class, your spouse will be required to pay full tuition for courses taken that semester. If your employment ends after the first day of classes, your spouse’s benefits will continue until the end of the semester.
    • If your dependent children are receiving Tuition Remission benefits, these benefits will terminate at the end of the semester in which you leave employment unless you meet the criteria listed below:
      • Once your dependent children begin receiving benefits: If you retire at age 55 or later and have completed 10 or more years of continuous service after age 45, your eligible unmarried dependent children may continue to receive Tuition Remission benefits in an undergraduate degree program at the University.
      • Before your dependent children begin receiving benefits: If you retire at age 55 or later and have completed 10 or more years of continuous service after age 45, the University will provide your eligible unmarried dependent children with eight semesters of Tuition Remission benefits in an undergraduate degree program at the University.
    • If you were hired on or before June 30, 1985, and your employment ends before the first day instruction begins, you will be required to pay the full tuition for all courses taken that semester.
    • If you were hired on or after July 1, 1985, and your employment ends before the final exam end date or the end-of-session date for the semester, you will be required to pay full tuition for all courses taken that semester.
    • If you are involuntarily terminated from your employment, Tuition Remission will not be revoked for that semester.
  • You can make changes to your address, emergency contact, and employee withholding (W-4) on BUworks.