Pre-Retirement Planning
For employees who are within 6 months of retirement, please email hrbenefits@umbc.edu to schedule a one-on-one retirement consultation with a member of the Benefits and Wellness team.
Retiring from the State of Maryland and the USM – TIAA video with information about Retiree health benefits.
Optional Retirement Plan details
Upon hire, Exempt staff and Faculty must elect to join either Maryland State Pension system or the Optional Retirement Program. The Optional Retirement Program (ORP) is a defined contribution plan. Enrollment into the ORP is irrevocable.
There are two providers who administer the ORP: TIAA or Fidelity. Both vendors offer free consultations with Certified Retirement Planners. To schedule an appointment with TIAA or Fidelity, please visit the Retirement Vendors Contact Information website.
The ORP plans is a defined 403(b) contribution plan. The ORP differs from a Defined Benefit plan (i.e. pension) in that the amount of benefits paid at retirement depends upon the amount of accumulated contributions, plus earnings and dividends, in the member’s account at the time the claim is made.
The University contributes 7.25% of the member’s annual salary into the USM ORP 403b account over 20 pay periods. The employee may not contribute any additional money to their ORP account; however, they can contribute to a Supplemental Retirement Account via contributions from their paycheck.
ORP contributions are immediately vested and may be eligible for rollover or transfer into another 403b account upon the employee’s separation from UMBC employment.
ORP contributions are invested primarily in mutual funds and the employee can allocate their funds as desired. Employees have the option to switch to the other ORP vendor one time per calendar year.
There is no death benefit in the ORP plan. Upon the employee’s passing, the designated beneficiary inherits the account balance. There are also no allowances for COLA or disability retirement with the ORP plan. Unused Sick Leave ends upon retirement, and does not convert to retirement credit nor is paid out.
For healthcare options in retirement, please see the State of Maryland Benefits Guide and the Retirement Plan Comparison Chart.
Other links:
Financial Counseling Sessions Schedule
Retirement Plan Selection for New Hires
Retirement Plan Selection Memo 2017