{"id":72979,"date":"2022-02-22T00:00:00","date_gmt":"2022-02-22T06:00:00","guid":{"rendered":"https:\/\/www.unmc.edu\/newsroom\/2022\/02\/22\/nu-system-announces-retirement-plan-enhancements\/"},"modified":"2022-02-22T00:00:00","modified_gmt":"2022-02-22T06:00:00","slug":"nu-system-announces-retirement-plan-enhancements","status":"publish","type":"post","link":"https:\/\/www.unmc.edu\/newsroom\/2022\/02\/22\/nu-system-announces-retirement-plan-enhancements\/","title":{"rendered":"NU system announces retirement plan enhancements"},"content":{"rendered":"

NU system retirement plan participants are invited to participate in one of two Zoom forums to learn more and ask questions about upcoming enhancements to the University of Nebraska retirement programs.<\/span><\/p>\n

NU finance and benefits experts and leading finance faculty will speak to plan participants at the events. The sessions will be at 2 p.m. Wednesday, Feb. 23, and 9 a.m. Thursday, March 3, and can be accessed here<\/a>, where more detailed information and an FAQ also is available. Both Zoom sessions will be recorded and posted on the site<\/a> following the events.<\/span><\/p>\n

The Zoom events follow Monday's announcement of upcoming enhamncements to the NU System's retirement plan,<\/span><\/p>\n

In an email signed by Bruce Currin, associate vice president for human resources,<\/span> and Brian Schlichting,<\/span> assistant vice president for business and finance\/director of benefits, employees were told that the university’s contribution amounts to their retirement plans are <\/span>not changing, and funds will continue to be fully vested right away. No action is necessary on employees’ part at this time.<\/span><\/p>\n

After an eight-month review, a university-wide committee recommended the following changes to the system’s program, in line with best practices being adopted by universities across the country. More than 30 leading finance faculty from University of Nebraska-Lincoln, the University of Nebraska at Omaha and the University of Nebraska at Kearney have expressed support for the changes.<\/span><\/p>\n

First, on <\/b>Nov. 1, 2022, the NU system will move to a more streamlined, lower-cost investment menu for participants in its retirement plan. The proposed menu will be composed of a single best-in-class mutual fund for each broad asset class, as well as “Target Date Funds.”<\/span><\/p>\n

With this simpler, more straightforward approach, employees’ retirement investments will be allocated to target-date funds according to industry standards based on the year in which they turn 65. The target-date funds are invested for potential growth in an employee’s early years, then gradually transition to more conservative investments over time. The target-date funds on the new investment platform will be Vanguard Target Retirement Funds.<\/span><\/p>\n

Employees who desire a different investment allocation will have an opportunity in September and October to redirect the investment allocation of their funds. The NU System’s new core investment lineup will consist of: <\/span><\/p>\n