To receive the University’s matching contributions, you must satisfy the matching contribution eligibility requirements and you must contribute at least 2% of compensation through salary reductions. The amount of the matching contributions is based on your date of hire as follows:
- For Employees Hired Before January 1, 2006 (or whose adjusted date of hire was before that date) - If you contribute 2% of your compensation to the Plan, you will receive an additional University matching contribution to the Plan equal to 10% of compensation for a total matching and salary reduction contribution of 12%. For Employees hired before January 1, 2006 , the University does not match salary reduction contributions in excess of 2% of your compensation.
- For Employees Hired On or After January 1, 2006 (or whose adjusted date of hire is on or after that date) - Once eligible for the Universtity matching contribution, if the employee contributes at least 2%, there will be a University matching contribution according to the following schedule:
|If Your Salary Reduction Contribution Is:||The RIT Matching Contribution Will Be:||Your Total Salary Reduction and Matching Contribution Will Be:|
*For employees hired on or after January 1, 2006, the University does not match salary reduction contributions in excess of 5% of compensation.
The definition of compensation for the employee contribution is different than for the RIT matching contribution. Please refer to the Employee Salary Reduction Contributions and Matching Contributions sections of this summary for the definition of eligible pay for each.
The University makes its matching contributions on a payroll-by-payroll basis based on your contributions and match-eligible compensation for that payroll period.
NOTE: The Internal Revenue Code and its regulations impose various rules and limitations on contributions that can be made to the Plan. Accordingly, the University’s obligation to contribute to the Plan is subject to those rules and limitations.
If you cannot make additional pre-tax and/or Roth contributions because you have reached the IRS limit for making pre-tax/Roth contributions, your contribution required for matching contributions will be made on an after-tax basis, up to the legal limit, for the remainder of the plan year.
For purposes of calculating your matching contribution, your “compensation” depends on what type of employee you are:
- Faculty members – If you are a faculty member, your compensation is your contract salary for the academic year.
- Non-faculty members – If you are not a faculty member, your compensation is your basic annual earnings as remuneration for services.
Regardless of what type of employee you are, compensation also includes any one-time annual merit bonus payment under the RIT compensation plan, as well as salary reduction contributions to this Plan, to a qualified transportation plan or to a cafeteria plan. However, compensation never includes shift premiums, overtime, severance pay, adjunct pay for regular employees, teaching overload pay for faculty members, any other extra remuneration of whatever nature (except the previously mentioned onetime annual bonus payment), or any amounts in excess of the compensation limit of Internal Revenue Code Section 401(a)(17) (for 2019 this amount is $280,000, and it is adjusted by the IRS for cost of living changes after 2019). Compensation you earn before you become eligible to receive matching contributions will be ignored in calculating the matching contribution.