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Working at Cornell

Contract College Retirement Plans

Choose between a defined benefit pension plan that provides a specified payment amount at retirement OR a defined contribution plan, where assets are based on amounts contributed by the employer, the employee, and the success of investments chosen by the participant.

New York State requires that all regular full-time employees (employees scheduled to work 30 hours or more per week) enroll in a New York state retirement plan.  Fixed-term employees, as well as regular employees scheduled to work less than 30 hours per week, have the option to enroll in a New York State retirement plan on a go-forward basis; if your position changes and you become a regular employee scheduled to work 30 hours or more per week, you will be required to enroll in a New York State retirement plan effective the date your position has changed.  

Quick Facts

  • Plans:
    • Employees Retirement System (ERS) - a defined benefit pension plan that provides a specified payment amount at retirement
    • SUNY Optional Retirement Program (SUNY ORP) - a defined contribution plan, where assets are based on amounts contributed by the employer, the employee, and the success of investments chosen by the participant
  • Eligibility:
    • hourly employees are only eligible for the ERS pension plan
    • salaried employees may choose between the ERS pension plan and the SUNY ORP Retirement Program; though election must be made within the first 30 days of date of hire; after 30 days, your only enrollment option is the ERS pension plan
    • County Cooperative Extension Association employees are only eligible for the ERS pension plan, unless they have a SUNY ORP contract from prior employment
  • Beneficiaries: It's important to note that the beneficiary functionality in Workday does not integrate with outside vendors.

Plan Options

The ERS Pension Plan

One option is a defined benefit pension plan, called the Employees' Retirement System (ERS) with the New York State and Local Retirement System (NYSLRS). This plan is available for both salaried and hourly employees. 

The benefits provided include:

When you join the ERS pension plan, you are assigned to one of six tiers based on your date of membership. All employees who join after April 1, 2012 are in Tier 6.  Tier 6 members have mandatory contributions between 3 and 6 percent for their entire careers, based on earnings. Information on ERS tiers, contribution rates, etc. can be found at the Comparison of ERS Benefits website.

To find out more about the Employees' Retirement System (ERS) visit "Membership in a Nutshell" on the NYSLRS website.

ERS Credit for Previous Public Service

You may be able to obtain credit for your previous public employment. It is very important that you claim all the service you are entitled to receive, as early as possible, because records documenting your previous service may become lost or destroyed with the passage of time. 

  • Learn more about purchasing service credit by watching this short video.

SUNY Optional Retirement Program (SUNY ORP)

Option two is a defined contribution 401(a) plan called the State University of New York Optional Retirement Program (SUNY ORP). This plan is only available to salaried employees, or past participants of SUNY ORP. 

Benefits are provided under one of six available tiers based on the enrollment date. Employees who join SUNY ORP after April 12, 2012 are Tier 6 members and have a 366-day vesting period in effect from the date of hire. Employees who have a vested prior employer-funded account with any of the SUNY ORP vendors may have the vesting period waived upon confirmation of the prior employer-funded account.

The Tier 6 required Employee Contribution Rate in a given year is based upon wages from the earlier of the two prior calendar years (the two-year look-back) and ranges from 3-6% (see below for details). The Employer Contribution Rate is 8% of gross salary for the first seven years of active SUNY-ORP membership service, and 10% thereafter, upon completion of the seventh year of membership.

Tiers 1 - 5 Contribution Rates

Employer/Employee contribution rates will apply to all members of the SUNY ORP in prior Tiers 1 – 5, as follows:

Employer Contribution Rates

The Employer shall contribute an amount to the Plan in accordance with the following schedule, based on date ORP membership is established (Plan Entry Date):

  • Tier 1 (prior to 7/01/1973) and Tier 2 (7/01/1973 – 7/26/1976)
    • 12% of the first $16,500 of Compensation
    • 15% of Compensation above $16,500
  • Tier 3 (7/27/1976 – 8/31/1983 and Tier 4 (9/1/1983 – 7/16/1992)
    • 12% of the first $16,500 of Compensation
    • 15% of all Compensation above $16,500
  • Tier 5 (7/17/1992 – 3/31/2012)
    • 11% of Compensation for the first seven Years of Membership
    • 13% of Compensation for years after the completion of seven Years of Membership
Employee Contribution Rates

Participants in Tiers 1 through 5 are not required to contribute Employee contributions.  Previously required mandatory contributions are currently paid by NYS as ER contributions. The 10-year time period, has elapsed for all members with a Plan entry date prior to April 1, 2012, as set forth in NYS Education Law section 393.

 Tier 6 Current Contribution Rates

Employer Contribution Rates

8% of compensable salary for the first seven years of SUNY ORP membership, and 10% after the completion of seven years of SUNY ORP membership.

Employee Contribution Rates

The employee contribution rate to be based initially (and upon rehire) on the employee’s projected estimated annual wage.

Wages of $45,000 or less3%
Wages between $45,001 and $55,0003.5%
Wages between $55,001 and $75,0004.5%
Wages between $75,001 and $100,0005.75%
Wages Greater than $100,0006%

SUNY ORP 2-Year Lookback:  Tier 6 employee contribution rates are based on an employee’s annual wage, as required by NYS Legislation.  Once a Tier 6 member completes three (3) calendar years of membership, an employee’s contribution rate is based on the annual pensionable salary from the earlier of the two prior calendar years. For example, a contribution rate change for 01/01/2025 is based on annual pensionable wages as of 12/31/2023.

Income Tax

  • Federal income tax: employee contributions are made through payroll deduction and are not subject to Federal income tax until distributions are taken.
  • NY State and local income tax: employee contributions are subject to NYS state and local taxes when contributed and are exempt at distribution. For taxation information on SUNY ORP distributions, please refer to the SUNY website.
Employee contributions made prior to January 1, 1990 were subject to Federal income tax. Employee contributions made on and after January 1, 1990 are made pre-Federal income tax.

All contributions are made based upon compensation up to the federal limit, which is determined annually by the IRS.  

Please be advised: Per the written terms of the plan documents that govern SUNY ORP (as administered by SUNY Benefits Administration), while employed with Cornell (full-time, part-time, non-benefits eligible, or in an Endowed position), you are not eligible to take a distribution from SUNY ORP.  If you separate from service from Cornell University and are subsequently re-employed by Cornell University, you are not able to take distributions from your SUNY ORP account (regardless of your position).

 If you retire from Cornell University and return to work, you are subject to the applicable provisions of the Retirement and Social Security Law (which dictates the $35,000 a year earnings limit if you are under the age of 65).    

If you have retired, returned to work in a less than full-time position, have attained the age of 59-1/2, and wish to take a SUNY ORP distribution, you must file a written declaration (an email is acceptable) that you have retired and are subsequently employed in a position that is less than full time. If you retire from Cornell University and return to work, do not plan on taking SUNY ORP distributions OR are not taking SUNY ORP distributions, you may be able to re-enroll in SUNY ORP, regardless of the position and hours you are scheduled to work (the position must be a Contract College position).   Please contact HR Services and Transitions Center, at hrservices@cornell.edu, for more information.  

You are not able to take SUNY ORP distributions (or receive ERS/TRS pension payments) while receiving contributions from, or participating in, any New York State retirement program (i.e. ERS pension plan, TRS pension plan, SUNY ORP).

Comparing Plans

If you're new to Cornell and trying to decide which option is right for you, check out this comparison chart and this video offered by the State University of New York (SUNY). New exempt employees must select which of the two retirement plans in which to participate within 30 days of hire.

Changing between plans

If you are a salaried (exempt) employee and you choose to enroll in the SUNY ORP 401(a) retirement plan, you may not switch to the ERS pension plan even, if you change jobs.

If you are an hourly (non-exempt) employee enrolled in the ERS pension plan and your job status changes to salaried, you will have the option of electing SUNY ORP or remaining in ERS.  You must elect to enroll in SUNY ORP within 30 days of your job status change; after 30 days, you will remain enrolled in the ERS pension plan.

Enrollment

ERS Pension Plan

Enrollment in the ERS pension plan is not through Workday but by the completion of Form RS 5420 Employees’ Retirement System Membership Registration. The completed form must be returned to the HR Services and Transitions Center; please do NOT send the form to the address noted in the upper left of the form.

SUNY ORP Retirement Plan

Enrollment in the SUNY ORP retirement plan is not through Workday but by the completion of a New York State (Contract College) Retirement Plan Election form. Please complete the form that pertains to your position and return the completed form in its entirety to the HR Services and Transitions Center.  

Enrollment in a NYS retirement plan is irrevocable and will continue for all SUNY and Community College employment (including Cornell University Contract Colleges) unless an employee becomes newly eligible to participate in an alternative NYS retirement plan.

Managing your Accounts

ERS Pension Plan with NYSLRS

To find out what tier you are in, sign into Retirement Online and look under 'My Account Summary’. You can also contact the NYSLRS Contact Center at 1-866-805-0990.

Address Changes with NYSLRS

It’s important that you keep your contact information updated with NYSLRS, especially if your Members Annual Statement is sent to you via mail (it is mailed in May – July). You can update your contact information with NYSLRS by four different ways. Please note that address changes in Workday do NOT feed over to NYSLRS. 

  1. Log into your Retirement Online account. Under “My Profile Information” find your address click the update link OR
  2. Complete a Change of Address Form (RS5512) and mail it to the address on the form, attention Member Services (the form does not come to Cornell University).
  3. Mail a signed letter (including your name, old address, new address, date of change, and NYSLRS registration number) to:     

NYSLRS
Attn: Member Services 
110 State Street
Albany, NY 12244-0001 

  1. Call 1-866-805-0990 if your new address is not a PO Box or foreign address.  You’ll need your NYSLRS registration number.

Name Changes with NYSLRS

To change your name with NYSLRS, you must complete the RS5483 Name Change Notice form and provide supporting documentation as noted. Please note that name changes in Workday do NOT feed over to NYSLRS.

 ERS Members Annual Statement

The Members Annual Statements (MAS) is a snapshot of the member’s NYSLRS account as of March 31, the end of the State Fiscal Year.  It will list your tier, years of service, etc.  It is YOUR responsibility to review your Member Annual Statement each year, for information and to confirm the accuracy of the noted information. Cornell University does NOT receive copies of MAS, nor does NYSLRS provide tier, years of services, etc. information to Cornell.

The MAS are available at Retirement Online so members do not have to wait for their MAS to be mailed!

Get Your Statement Online

Update your delivery preference to receive an email notifying you as soon as next year’s MAS is available online:

If you choose email as your delivery preference, you will NOT receive a printed copy in the mail.

SUNY ORP

SUNY ORP participants must use the Retirement@Work portal to select their investment provider (they may have multiple investment providers) and to select an investment alternative based on investment objectives, time horizon, and risk tolerance among other factors, using the four investment providers. Enrolling in SUNY ORP via Retirement@Work does not enroll you in SUNY ORP in Workday.

The four investment providers are:

Failure to select an investment provider will result in SUNY ORP accounts remaining with TIAA until an election is made. SUNY ORP participants may change their investment provider selection at any time.

Information on SUNY ORP investment options

Managing your Beneficiaries

Active employees should periodically review their retirement plan beneficiary designations and update them if needed regarding in-service death benefits (pertains to any active Contract College employee).  Life circumstances sometimes change, and the beneficiary you may have named before might not be the one you would choose today. If you are not a member of the ERS pension plan or the SUNY ORP retirement plan, you must designate a beneficiary to receive the in-service survivor’s benefit. Please contact HR Services and Transitions Center to receive the RS6357 Non-Member Employee Designation of Beneficiary form.

Beneficiaries for the retirement plans are not designated through Workday.

ERS Pension Plan with NYSLRS

ERS Pension Plan members:  Sign in to Retirement Online and click “View and Update My Beneficiaries” to make sure you have beneficiaries listed on your account. Going online is the quickest way for members to change/update their pension plan beneficiary(ies).  

Members may also complete the Designation of Beneficiary form (RS5127) and mail it to NYSLRS at the address on the form (Cornell University does not get form RS5127). The form must be properly notarized and the original must be mailed to NYSLRS.

To designate a trust as either your primary or contingent beneficiary, the Designation of Beneficiary Trust With Contingent Beneficiaries (RS5127-T) must be completed. The form must be properly notarized and the original must be mailed to NYSLRS at the address on the form (Cornell University does not get form RS5127-T).  This form is for active members only.  

Retirement Online is NY state's self-service tool that provides access to your retirement account information. Sign Up or Sign In to view your current beneficiaries, or designate beneficiaries. The Designation of Beneficiary form (original or a copy) is not sent to Cornell.

For more information, visit Life Changes: Why Should I Designate a Beneficiary?

SUNY ORP

Beneficiary information for your SUNY ORP retirement plan is updated directly through your selected investment provider: