Important updates for TIAA Retirement Plan

The IRS announced retirement plan contribution limits are increasing for all participants. Marquette's TIAA plan also allows active employees who are age 50 or older to increase their annual employee plan contributions beyond standard IRS annual limits, known as "age-based catch-up contributions."

Beginning in 2026, there is also an IRS change to age-based catch-up contribution rules for those earning FICA wages in excess of $150,000 (indexed annually, based on box 3 of the W2 from the prior calendar year) such that their age-based catch-up contributions must be designated as Roth. A Roth contribution means that taxes are taken out of your contribution before it is remitted to the plan.

For additional information about Roth contributions, please visit TIAA, participate in a TIAA webinar on Jan. 22, and/or discuss how these updates affect your retirement plan with a financial advisor from Francis, LLC. Visit My Financial Wellness to learn about free financial planning opportunities.

What does this mean for you?

• If you are already enrolled and contributing "max," your contribution will automatically be adjusted to the total maximum contribution limits listed below. If you are currently contributing a percentage of your salary, you can increase that contribution percentage up to the below limits.
• For those electing age-based catch-up contributions and earned in excess of $150,000, your contributions will automatically be converted to Roth after the annual contribution limit has been reached ($24,500 for 2026).
• If you would like to change your contributions you must make that change in the TIAA portal.

If you are not currently contributing the "max" amount for your age, you can automatically increase your contribution to your retirement plan every year by 1% or 2% - or whatever percent you choose. To select an "auto increase" option, go to the TIAA portal.

Information about our retirement plan with TIAA can be found on the retirement plan page. Updates to contribution amounts, effective with the next available payroll cycle, can be made at any time in the TIAA portal. For additional assistance, call TIAA at (800) 842-2776 or discuss how these updates affect your retirement plan with a financial advisor from Francis, LLC - schedule at My Financial Wellness.