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 partial (40%) reemployment in exchange for a tax free health reimbursement arrangement known as a VEBA. This tax free health reimbursement arrangement 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
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 is available here: bit.ly/vrinoi
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. The signed VRI contract must be returned to Academic Personnel no later than February 28, 2017.
Step 3 – Separate from electing the VRI, the tenured faculty member must complete the UW Benefits forms required for retirement and establishment of the VEBA account.
Contact email@example.com for VRI questions.