State Retirement Plans and Social Security

As a State of Ohio public employer, CSU faculty and staff do not contribute towards Social Security. You will contribute towards Medicare. The Social Security Administration has specific rules that apply to employees who contribute to a state retirement plan and do not contribute to Social Security. For financial planning purposes, you will want to understand how benefits of a state government retirement plan may impact eligible Social Security benefits. Information regarding this impact is located on Social Security’s website at ssa.gov. Publications 05-10051, 05-10045 and 10007 are a few publications which address state government retirement plans and Social Security.

Retirement Plan Overview

State Retirement System membership (OPERS or STRS) and contribution percentages for faculty and staff are determined by the position held while employed at CSU. Newly hired full-time faculty and staff (including some full-time rehired retirees), may be eligible for a 120-day Retirement Plan Election period. All new members of OPERS/STRS have a 180-day Retirement Plan Selection period. Contributions are required to be deducted from payroll during the 120-day election period. These contributions are held and will be allocated to the plan chosen once a Retirement Plan Election form is received. Refer to the Retirement Plan Contributions chart for retirement plan contribution percentages currently in place. Contribution percentages are subject to change.

Full-Time Faculty/Staff 120-Day Retirement Plan Election Period

The 120-day Retirement Plan Election period is for eligible full-time faculty and staff to make an election as to whether they choose to remain a member of the State of Ohio Retirement System (OPERS or STRS) and select one of their plans; or opt-out to an Ohio Alternative Retirement Plan (ARP). This 120-day Retirement Plan Election period is a one-time, irrevocable election while continuously employed at Cleveland State University. This election is applied to all positions held during continuous employment with the University.

Newly eligible, full-time hires, whether choosing to remain with OPERS/STRS or opting out to an ARP, must submit their 120-day Retirement Plan Election form to Human Resources. Please email benefits@csuohio.edu no later than their 120-day deadline.

OPERS and STRS/New Member 180-Day Retirement Plan Selection Period

Both OPERS and STRS offer three retirement plan types to new members of their system: Defined Benefit Pension Plan (DB), Defined Contribution Plan (DC) or a Combination Plan (part DB/part DC). New members of OPERS/STRS eligible to make a plan selection have a period of time referred to as a 180-day Retirement Plan Selection period. This selection period typically begins with a member’s first date they begin contributing to the retirement system. During this time new members make a selection as to which of the three retirement plans they wish to participate. A member’s plan selection is submitted directly to the retirement system and not CSU. Eligibility, plan selection deadlines and provisions of the State Retirement Plans are determined by the retirement systems. More detailed information, including webinars, for OPERS and STRS plans is located on the webpages, including opers.org or strsoh.org, or you may contact them by phone at OPERS 800.222.7377 or STRS, 888.227.7877. Plan selection information details for new members of these retirement systems will be mailed directly to the member’s home address by the retirement systems.

Alternative Retirement Plan

The Alternative Retirement Plan (ARP) is a Defined Contribution 401(a) Plan. Eligible full-time faculty and staff will be provided information on this option from the Department of Human Resources during their 120-day Retirement Plan Election period. This packet of information will include a Retirement Plan Election form. This form needs to be emailed to benefits@csuohio.edu within the Retirement Plan Election deadline. This election is a one-time, irrevocable election while continuously employed at Cleveland State University. Participants in the ARP do not retain membership with OPERS/STRS for the period of time they contribute to the ARP and are not eligible to use service time under the ARP towards OPERS/STRS retirement plans. Contribution rates for the ARP are based on the State Retirement Plan for which the position would have participated. Refer to the Retirement Plan Contributions chart (below).