How To

retire


The procedures outlined below have been developed to assist employees of Northern Illinois University with the retirement process. Any questions regarding the information provided should be directed to Human Resource Services at (815) 753-6000.

  1. Employees considering retirement should familiarize themselves with the SURS website and the valuable information it provides:
    1. SURS Website - http://www.surs.org
    2. SURS Retirement Preparation Checklist - http://www.surs.org/sites/default/files/pdfsx/RetirementPreparationChecklist.pdf
    3. SURS Retirement Plans - http://surs.org/tags/retirement-plans
  2. Employees who have decided upon a retirement date should contact SURS (800-275-7877 or www.SURS.org) for a retirement application. Additionally, below are links to the retirement applications for the three SURS retirement plans:

    * Retirement applications should be filed directly with SURS with as much notice as possible in advance of the planned retirement date.
    *Employees with reciprocal service (TRS, SERS, IMRF, etc.) should contact the applicable system for a retirement application.
    *Be sure to include State Employees Group Insurance Participation Election form with retirement application.

    1. Traditional Plan Retirement Application - http://www.surs.org/retirement-application-builder-defined-benefit-plans
    2. Portable Plan Retirement Application - http://www.surs.org/retirement-application-builder-defined-benefit-plans
    3. Self-Managed Plan Retirement Application - http://www.surs.org/self-managed-plan-retirement-application-builder

  3. Once employees have decided to retire, they need to formally resign their positions at NIU:

    * It is important that notice be provided as soon as possible to avoid delays or overpayment. Although not required, this is typically no less than 30 days prior to the last day worked.

    1. Faculty and SPS employees should provide a retirement letter to their department chairs or supervisors notifying them of their last day of employment and their planned retirement date with SURS.
    2. Civil Service employees need to complete a separation form with Human Resource Services. Appointments are encouraged.
  4. All employees who are retiring are required to submit their final Benefit Usage Report or Salaried Non-Exempt / Hourly Time Sheets to the Payroll Office.
    *
    Please note, the forms should be signed by both the employee and supervisor before being sent to HR.

    1. Faculty, SPS, and exempt Civil Service employees need to submit their final Benefit Usage Reports to the Payroll Office by their last day of work to avoid any delays in their final benefit payout.
    2. Salaried Non-Exempt and Hourly Civil Service employees need to submit their final Hourly Time Sheets to the department office on their last day of work to avoid any delays in their final benefit payouts.
  5. Employees who would like to defer any portion of their sick/vacation payouts to their 403(b) or 457(b) plans should contact Human Resource Services to complete the necessary paperwork.
    1. NIU 403(b) Supplemental Retirement Plan Salary Contribution Agreement 
      1. Completed forms should be turned into Human Resource Services 14 days prior to the employee’s last day of work.
    2. State Employees 457(b) Deferred Compensation Plan Enrollment Form 
      State Employees Deferred Compensation Plan Beneficiary Election Form
      1. Completed forms should be turned into Human Resource Services by the end of the month before the month of deferral.
  6. Employees wishing to make changes to their tax withholding should complete a new Form W4 and submit it to the Payroll Office 8 days before their last day of work. If this change is only for the benefit payout, employees should write ‘Payout Only’ on the top of the form.
    1. W-4 Form 
  7. Employees who choose to have their last day of work be a date other than the last day of the month, should contact the Insurance Office at 753-6000 to discuss any impact this may have on their insurance coverage.
  8. Faculty who are on 9-month contracts and are paid over 9 months (pay is not spread over 12 months) and are retiring should contact Human Resource Services at 753-6000 to discuss options to receive their final regular paychecks.
  9. Before their last day of work, employees should complete the exit checklist process with their chairs, directors, or supervisors.
    1. Exit Check List
  10. Employees who are retiring should consult with Social Security to determine if they will be impacted by the windfall provision whey they begin collecting an annuity from SURS.
  11. State Employees Group Insurance Program Medicare Requirements 

    • Each member and dependent must contact the Social Security Administration (SSA) and apply for Medicare benefits upon turning the age of 65. If the SSA determines that the member and/or dependent is eligible for Medicare Part A at a premium-free rate, the member and/or dependent is required by the State to enroll in Medicare Part A. Retirees and survivors, as well as employees without current employment status (on a disability leave of absence), must also enroll in Medicare Part B, if eligible. Once enrolled in Medicare, the member and/or dependent is required to send a front side copy of the Medicare identification card to the State of Illinois Medicare COB Unit.

    • If the SSA determines that a member is not eligible for premium-free Medicare Part A based on his/her own work history or the work history of a spouse at least 62 years of age (when applicable), the member must request a written statement of the Medicare ineligibility from the SSA. Upon receipt, the written statement must be forwarded to the State of Illinois Medicare COB Unit to avoid a financial penalty. Members who are ineligible for premium-free Medicare Part A benefits, as determined by the SSA, are not required to enroll into Medicare

Other General Information: