The Optional Retirement Program (ORP) may be chosen by certain employees as an alternative to TRS based on their appointment to certain positions. This program is a defined contribution plan governed by Internal Revenue Code Section 403(b).

Eligibility for ORP is determined by the job performed. Your UTA Benefits Services will notify you if you are in an ORP-eligible position.

To be eligible to participate in ORP, an employee must:

(1) initially be appointed on a full-time basis for 4 ½ months or more; and

(2) be appointed to a position otherwise eligible to participate in ORP.

Employees who are eligible to participate in a retirement program who are not eligible to participate in ORP must participate in TRS. Examples of eligible positions include faculty positions, specialized professional positions such as physicians, engineers or attorneys, and executive-level administrative positions.

You have 90 days from the date you first become eligible for the ORP to make your enrollment decision. If you are reclassified or assume a new job and become ORP-eligible for the first time after your initial employment date, the 90-day election period begins on the day your reclassification becomes effective. The decision to elect ORP is a once-per-lifetime, irrevocable decision.

A set percentage of your salary is directed to whichever of the five authorized retirement providers you chose to work with. Your contributions and the state matching funds are then invested according to your directions with that authorized provider. After vesting (one year and one day of participation), the benefit you receive at the time of retirement will be your personal contributions and state matching funds, plus or minus any investment returns.

ORP is called a “defined contribution plan” because the retirement benefit is based on the actual amount contributed to the individual participant’s account and the rate of return on investment rather than a formula. At the time of retirement, you are eligible to receive your accumulated contributions and state matching funds plus or minus investment returns.

All ORP-eligible employees should receive An Overview of TRS and ORP. A copy can be found at: https://www.utbenefits.link/ORP You may also wish to discuss both options with Benefits Services, a representative of TRS, or one of the five authorized providers.

The employee contribution for ORP is 6.65%, and the employer contribution is 8.5%.