What is the Alternative Retirement Plan?
The Alternative Retirement Plan (ARP) is a defined contribution plan. The benefit received upon retirement is based on the amount you have contributed during your career, subject to any investment gains or losses.
Who is eligible to participate?
Employees of the University who are hired into an ARP-eligible position as first-time hires on or after July 1, 1991, may elect to participate in the ARP plan in lieu of the Education Retirement Board (ERB) defined benefit plan within their first 90 days of employment at UNM. For a complete list of eligible ARP positions, please refer to the New Mexico Education Retirement Board Operations Manual or contact the New Mexico Education Retirement Board at (866) 691-2345 or email Member.Help@state.nm.us.
Features of the plan
- Employees are 100% vested in account accumulations at all times
- Employees can make an annual election to switch ARP providers.
- After seven years of participation in the ARP plan, employees can make a one-time switch to the ERB defined benefit plan.
How do I enroll?
To participate in the ARP plan, complete the Alternative Retirement Plan (ARP) Election Form and submit it to the UNM Payroll Department prior to the end of the first 90 days of employment. Contact the ARP provider selected and set up an ARP account.
TIAA
For immediate assistance with general questions, please call TIAA at 800-842-2252. To meet with TIAA Financial Consultant Julie Flores in person, please call 800-732-8353 or click here to schedule an appointment.
FIDELITY
Contact Sam Casad at 303-549-6274 or samuel.casad@fmr.com or via the Fidelity website
How much do I contribute to the plan?
Employees over $24,000
The Employee Contribution is 10.7% and the Employer contribution is 14.15%. (3.25% of the employer match goes to the Educational Retirement Board to help pay for the unfunded liability incurred by the defined benefit plan.)
Employees $24,000 or less
The Employee Contribution is 7.9% and the Employer contribution is 14.15%. (3.25% percent of the employer match goes to the Educational Retirement Board to help pay for the unfunded liability incurred by the defined benefit plan.)
When can I retire under this plan?
You can apply for a distribution of your ARP contributions upon separation from UNM. If you plan to retire with UNM post-retirement benefits, additional qualifications apply. Please refer to the UNM Policy 3600, Section 3.36 and 3.7 for the additional qualifying criteria.
All Alternative Retirement Plan (ARP) retirements need to be coordinated through UNM’s Benefits & Employee Wellness. An employee may be eligible for UNM benefits into retirement if they meet the criteria of University Policy 3600, sections 3.6 and 3.7.
1. Contact Benefits & Employee Wellness
At least 90-days prior to retirement, contact Benefits & Employee Wellness to discuss your eligibility for UNM benefits as a retiree. You can review eligibility information in Sections 3.6 and 3.7 of University Policy 3600. Your Benefits Representative will work with you through the retirement process to ensure all the necessary steps are taken for a positive retirement experience. Email us at hrbenefits@unm.edu.
2. Contact your ARP provider
60-90 days ahead of your retirement date, contact your ARP provider and apply for a distribution from your retirement account. It is recommended that you schedule an appointment with the ARP provider to discuss the distribution options available under your plan. Your distribution date must be in the month following your last scheduled day of employment with UNM.
3. Notify your department
Notify your department, in writing, of your intentions to retire and your last scheduled day of employment with UNM. UNM Faculty who are on a 9-month academic contract are generally required to give at least a semester’s notice to their department.*
*Retirement date must always be the first of any month. Faculty on a 9-month academic contract that ends in May must select a July 1 retirement date per New Mexico statute. Faculty on a 12-month contract may retire on the first of any given month of the year.