COP 05-0606 Retirement and Continuation of Benefits
Florida Retirement System - Florida SouthWestern State College is a participant in the Florida Retirement System (FRS). The FRS is an employee and employer contributory retirement plan. The rules surrounding FRS including the contribution rates are determined by the Florida Legislature and are reviewed yearly. One of the requirements of the State is that full-time and part-time regular employees must participate in the FRS. Additional information regarding FRS can be viewed at www.myfrs.com.
Employees contribute 3% of their gross monthly salary on a pre-tax basis. The employer also contributes an amount equal to the gross monthly salary multiplied by the corresponding employer rate. Employee contributions are vested immediately, and the employer contributions have a vesting period. The vesting period may vary depending on what plan you enroll in and when you enroll.
The FRS offers two types of retirement plans to its members: pension plan and investment plan.
The FRS Pension Plan is a defined benefit plan designed for long term service employees. Vesting requirements vary depending on when you enrolled in the plan. Investments are directed by the State and it is not portable if you should leave FRS employment. At retirement, the pension plan pays a guaranteed lifetime monthly benefit based on a formula using age at retirement, years of FRS service and Average Final Compensation.
The FRS Investment Plan is a defined contribution plan designed for a more mobile workforce. It carries a one year vesting requirement; contributions are self-directed, and funds are portable if you should leave FRS employment. Employees must initially elect to take the investment plan within the first eight months of the date of hire. This is the default plan if you do not make an election. NOTE: Full-time and part-time regular employees are automatically enrolled in the FRS Investment Plan upon new hire. If employees wish to enroll in the FRS Pension Plan, they must elect to do so within the 8 months following their month of hire by 4:00 p.m. EST on the last business day of the month. FRS elections are made online at myfrs.com.
The State Community College System Optional Retirement Plan (CCORP) is a defined contribution plan in which both eligible employees and employers contribute. Administrators, Faculty and High School Teachers are eligible to participate in the CCORP. Eligible employees must enroll within ninety (90) days from the start date of their employment. CCORP enrollment is complete when a contract has been issued by a CCORP provider company and when the proper State of Florida enrollment forms have been submitted to the Division of Retirement. Participants must withdraw from the FRS in order to participate in the CCORP.
Participants who enroll in the CCORP areimmediately vested in both the employee and employer contributions. Contributions are self-directed and funds are portable should you separate from the College.
For questions relating to CCORP, please contact us at benefits@fsw.edu. A participant is required to establish a contract with one of the annuity providers listed below before submitting an Optional Retirement Program Enrollment Form (OCC-1) to Benefits. A detailed list of authorized vendors is below.