Voluntary Retirement Incentive Option


The Voluntary Retirement Incentive (VRI) Option is an alternative retirement benefit available to eligible tenured faculty that allows them to forego their vested right to five years of state-funded partial (40%) reemployment in exchange for a tax free medical expense account known as a VEBA. This tax free medical account is established at the time of retirement with a one-time lump sum payment generally equal to 50% of the faculty member’s tenured-backed annual salary. The following contribution limits will apply to 100% tenured faculty members: $25,000 is the minimum and $100,000 is the maximum. Proportional contribution limits will apply to faculty members with partial tenure.

Applying for the VRI option is independent from applying for retirement from the University of Washington. Contact UW Benefits to initiate the UW retirement process.

Open Election Period

September 1, 2016 – February 28, 2017

Retirement Window

September 1, 2016 – August 31, 2017

How do eligible tenured faculty members sign up for this limited incentive option?

Tenured faculty members are encouraged to contact their department chair, program director, dean, or chancellor to discuss their retirement plans. If the VRI option is considered, the following steps must be taken:

Step 1 – The tenured faculty member must submit a completed VRI Notice of Interest form to Academic Personnel for verification of eligibility. The Notice of Interest form will be available on August 15, 2016.

Step 2 – Upon verification, a contract (Application, Acknowledgement, and Agreement) will be generated and sent to the applicant retiree and notice provided to the relevant dean or chancellor.

Step 3 – The signed VRI contract must be returned to Academic Personnel no later than February 28, 2017.

Step 4 – The tenured faculty member must contact the Benefits Office and submit and Application for Retirement.

Step 5 – After the faculty member’s retirement, the VEBA account will be funded and made available.

Questions?

Contact vri@uw.edu for VRI questions.

Additional Resources