Voluntary Retirement Incentive Program FAQs
Visit the Staff Voluntary Retirement Incentive (VRI) Program webpage for details including eligibility, application documents, and Zoom information webinars.
General FAQs
Why is Cornell offering a retirement incentive?
The Staff Voluntary Retirement Incentive (Staff VRI) program is designed to support the university’s longest serving staff who may be considering retirement during this challenging financial period. The program provides an option for eligible staff to retire with additional support while helping the university reduce payroll expenses as part of broader efforts to manage operating budgets responsibly. By offering a meaningful benefit to those who may already be considering retirement, Cornell can reduce personnel costs while continuing to serve students, faculty, staff, and the broader community effectively.
Why is there a cap on the number of applications accepted?
The cap of 175 participants allows the university to offer a meaningful benefit to those who may already be considering retirement, while reducing personnel costs and continuing to serve students, faculty, staff, and the broader community effectively.
What criteria will the university use in accepting applications?
All qualified applicants (meaning those who meet the criteria listed above) will be ranked in order of years of credited service. The incentive package will be provided to the 175 highest ranking employees on that list.
I was placed on layoff status prior to March 23,2026 — am I eligible for the Staff VRI?
No. To be eligible for the VRI, you must be on the active payroll as a benefits-eligible employee on March 23, 2026.
If you were placed on layoff after March 23, 2026, you may apply for the VRI up through 11:59 p.m. EST April 22, 2026.
How should I decide whether to apply for this incentive program?
The Staff VRI is a voluntary program. Whether to apply is an important personal decision, and staff should take time to consider it carefully.
Will the university be offering another VRI?
Cornell has no current plans to offer other programs of this type.
What if I’ve already given notice to my supervisor of my intent to retire?
Employees, who qualify under the eligibility terms of this program, who as of March 23 have previously submitted an intent to retire in writing and whose proposed date of retirement was March 23, 2026 to January 1, 2027 (last day worked December 31, 2026), should discuss with their supervisor if they now wish to apply for this Staff VRI program. If there is mutual agreement with your supervisor, and you qualify as one of the 175 employees that receives the incentive program, a new retirement date may be established within the terms of this Staff VRI program.
Application and Decision Process
How does the application process work?
Here are the steps:
- Carefully review the materials in your application packet.
- Consult with your family and with a financial or legal advisor before you decide to apply for the VRI.
- If you wish to apply for the Staff VRI program, sign the application form (Document #2) and return it (via scan/email or mail) to the HR Services and Transitions Center, 395 Pine Tree Road, Suite 130, hrservices@cornell.edu, by 11:59 p.m. EST on April 22, 2026. If you are not able to return the application via scan/email, you should use the US Postal Service. Your application must be postmarked no later than April 22, 2026.
What happens after I submit my application?
The HR Services and Transitions Center (HRSTC) will:
- Review your application and confirm with you and your HR Representative that we have received it and that you are a qualified applicant. If you are not a qualified applicant, we will reach out to you to explain why.
- You will receive notice on or about May 18, 2026, whether you are one of the 175 employees who will receive the incentive.
- If you are one of the employees who will receive the incentive package, you will receive additional information regarding the next steps to take, and you should work with your supervisor to prepare for your retirement date. Your planned retirement date will be July 1, 2026 (last day worked on June 30, 2026), unless a later date in 2026 is mutually agreed-upon between you and your supervisor.
Can I withdraw my application after I submit it?
Yes, you should notify the HRSTC at https://wcmcprd.service-now.com/cornellbenefits/ before 5:00 p.m. EST on April 22, 2026, and request that your application be withdrawn.
What happens if I apply but am not one of the 175 employees who receive the incentive package?
Your employment will continue as it otherwise would.
If I’m not chosen for the Staff VRI, could I still be laid off as part of Resilient Cornell?
If you are not one of the 175 employees who receive the incentive package, your application for the incentive has no effect on your current employment status. As with all employees, it is possible that your position could be affected by future workforce changes.
If I don't apply for the Staff VRI, am I likely to be laid off?
Any future decisions on the need for lay-offs will be made in accordance with university policy and independent of the Staff VRI program. No employees will be laid off simply because they did not apply for the Staff VRI program.
Can I accept the VRI package and then continue to work at Cornell?
No. This incentive is designed to reduce payroll costs by permanently transitioning 175 employees into retirement. Accordingly, employees who accept the VRI package cannot return to work at Cornell.
Will my department refill my position when I retire?
A primary reason for offering the VRI is to reduce payroll costs at a time when the University needs to reduce its operating budget. Departments are expected to carefully review all open positions and make strategic decisions about how to meet their objectives.
Incentives and Benefits
How will I receive the incentive payments and how will they be taxed?
The VRI payment is based on your annual base pay as of March 23, 2026. It will be calculated using your position's scheduled hours and will be paid to you in a lump sum, less applicable tax withholdings. The CURP incentive contribution will be remitted directly into your CURP account(s) in the same Fidelity investment / TIAA allocation that is in place in your account(s) as of June 30, 2026, up to the statutory limits on contributions for the calendar year. CURP contributions remitted to your account(s) will generally not be taxed until you withdraw the money. Contract College employees accepted into the VRI program who do not have a CURP account will have one created for them, and the contributions remitted to those accounts will also generally not be taxed until they are withdrawn.
The VRI materials state that if I apply and am accepted under the VRI, I will receive the equivalent of six months of my annual base pay, less applicable tax withholdings, as a lump sum. Can I have some of the lump sum salary amount shielded from current taxation by placing it into the Cornell University Tax-Deferred Annuity Plan (CUTDAP)?
Yes, you may contribute up to the 2026 Internal Revenue Service limits into your voluntary TDA account(s) - you may create a TDA account(s) for this purpose, if you do not currently have one. The IRS contribution limit for 2026 is $32,500 (which includes the catch-up contribution for individuals over age 50). Please be aware that although deferral contributions into your TDA account will usually be made on a pre-tax basis, IRS rules regarding mandatory Roth catch-up contributions could apply to your personal situation (for example, if you earned over $150,000 at Cornell in 2025). In addition, you must pay FICA tax on your total 2026 income, including any amount contributed to the TDA. Income taxes will generally not be due on your TDA accumulations until you withdraw the funds from your account(s). You should speak with your personal tax or financial advisor to determine whether you wish to make a deferral contribution from your VRI lump sum. Please also be aware that there are deadlines for processing TDA contribution changes in time to apply to your final paycheck (see FAQ on timing of incentive payments below).
When will my incentive payments be made?
You will receive the lump-sum incentive payment in a Workday paycheck, as soon as practicable after you sign and return the Release of Claims (Document #3) before the deadline you will be provided. The CURP contributions will be remitted to your elected vendor(s) on or around your date of retirement and final paycheck. To impact tax withholdings or TDA contributions in the same paycheck as your incentive payments, please confirm the deadlines for processing your Workday changes.
What benefits will I receive in retirement?
Below and in the email cover letter you received with the application packet are links to the "Retirement and Beyond" booklet, which explains the Cornell programs and plans available in retirement.
There will be a number of Pre-Retirement Planning Seminars that will be available online during the period March 23 - April 22 (see the presentation listing #4c, included with this document). Representatives from the HR Services and Transitions Center will answer questions on the Staff VRI program, and present information on benefits in retirement.
The links for both the Endowed Retirement and Beyond booklet and the Contract College Retirement and Beyond booklet are here: https://hr.cornell.edu/understand-your-benefits/health-care/retiree-benefits.
After you have a chance to review the booklet, and attend a seminar, if you still have questions, please contact the HR Services and Transitions Center at https://wcmcprd.service-now.com/cornellbenefits/ or at 607-255-3936.