SUMMARY OF YALE'S RETIREMENT OPTIONS FOR TENURED FACULTY
If you have tenure and have taught at Yale for 15 years or more and choose to retire at the ages of 62 through 69 you are eligible to receive a cash subsidy at the time of retirement. The amount of the subsidy is a percentage of the average of your annual salary for the last three years. The percentage is determined by three variables: years of service at Yale, age, and the size of the your accumulations in the Yale University Retirement Annuity Program. See the attached table to estimate the size of the benefit for your individual situation. For example, if you had 30 years of service at Yale and accumulations of six or more times as large as your annual salary, you receive a subsidy benefit equal to 90% of your three-year average salary if you retired between ages 62 through 67, 89% at age 68, and declining to 44% at age 69. No benefit is provided if you retire at age 70 or later.
2. Phased Retirement
Under Phased Retirement you have a half-time appointment and receive half your normal annual salary. You would teach half your normal course load and other duties would be adjusted accordingly. You may receive your full Early Retirement Subsidy Benefit based on three-year average full-time salary if you are eligible at the end of your phased retirement. Alternatively, you may receive the Early Retirement Subsidy Benefit based on half of your salary at the time you start Phased Retirement. If you start Phased Retirement after age 69, you will not be eligible for any Early Retirement Subsidy Benefit. You must have 15 years of University service to be eligible for Phased Retirement.
3. Planned Retirement
Planned Retirement is designed to help you to reduce multi-year commitments in an orderly way. If you choose to enter the Planned Retirement program, you must set irrevocably a specific date within 1 to 3 years by which you will fully retire. You will be allowed to arrange for an orderly reduction in certain responsibilities, with appropriate approval. These may include dissertation supervision and major departmental administrative responsibilities that require multi-year commitments. Reduced classroom teaching responsibilities will not be offered to individuals electing Planned Retirement. If you participate in Planned Retirement you may elect to accelerate the receipt of any Early Retirement Subsidy benefit you will become eligible for at the time of full retirement. IMPORTANT: This is only a summary. You should rely on the full description of these plans that can be obtained at the Yale Benefits Office. Call 432-5550 and ask for information on Yale's faculty early retirement benefits.