UC Retirement Choice (UCRP 2016 Tier)

Retirement benefits are calculated based on “eligible pay” for the Plan year (from July 1 to June 30), which does not include certain types of compensation, such as:

• Pay that exceeds the full-time rate or established base pay rates for regular, normal positions;
• Overtime pay (unless for compensatory time off);
• Pay that exceeds the base salary (X+X’) under the Health Sciences Compensation Plan.

For a list of types of compensation that are not considered “eligible pay” when calculating retirement benefits, see A Complete Guide to Your UC Retirement BenefitsPDF.

The maximum salary that counts toward your pension benefits each Plan year is consistent with the maximum on pensionable earnings under the California Public Employees’ Pension Reform Act (PEPRA). This maximum also applies to other California public pension plans and is reviewed annually and may be adjusted. 

For the 2024 Plan year (from July 1, 2024, to June 30, 2025), the maximum is $151,446. For the 2025 Plan year (from July 1, 2025, to June 30, 2026), the maximum is $155,081.

The IRS sets a dollar maximum for annual earnings for the Plan year upon which retirement benefits and contributions may be based. This maximum is also reviewed and may be adjusted annually. For the 2024 Plan year, this maximum is $345,000. For the 2025 Plan year, this maximum is $350,000.

In general, you are eligible for the faculty program if you are an academic appointee in one of the following groups. All others are eligible for the staff program.

• Ladder-rank faculty and equivalent titles (Professorial and Equivalent titles, which include Agronomists, Astronomers, Clinical Professor of Dentistry [over 50%] and Supervisor of Physical Ed)
• Professor in Residence series
• Professor of Clinical (X) series
• Acting full, associate and assistant professors
• Lecturers/Senior Lecturers (full-time) with Security of Employment or Potential Security of Employment (excluding UC Hastings Lecturers/ Senior Lecturers)
• Adjunct Professor series
• Health Science Clinical Professor series
• Librarians covered by the Professional Librarians Unit (LX Unit) and Non-Senate Instructional/UC-AFT (IX), due to specific provisions within their collective bargaining agreement

Pension Choice is a defined benefit plan (with a supplemental account for certain employees). Your benefit from the pension component is determined by a formula based on age, service and pay, not based on contributions made by you and UC. 

Employer and employee contribution rates to UCRP are set periodically by the UC Regents. Employee contributions and the provisions of Pension Choice and Savings Choice are subject to collective bargaining for represented employees. Please refer to the appropriate collective bargaining agreement, as benefits and other provisions may vary.

1. Make your choice online at myUCretirement.com/choose You’ll get a quick refresher on the options and how they compare.
2. Register and log in when prompted. Then select the option you’ve decided works best for you.
3. You’ll receive a confirmation statement reflecting your choice.
4. Your contributions will begin to be deducted from your paycheck following your choice (usually within one to two pay periods).