Preparing for retirement during your working years
Preparing for retirement begins early. Understanding your retirement plans, contribution rates, and expectations as early as your 20s and 30s can help set you up for success as you move toward mid- and late-career and, eventually, retirement.
Know your UA retirement plan(s)
To start, it is important to know what plan(s) you participate in at UA - your current
employer.
- UA has multiple retirement plans available:
- Public Employees Retirement System (PERS)
- Teachers Retirement System (TRS)
- Optional Retirement Plan (ORP)
- Review your current retirement plan by logging in to UAOnline > "Employee Dashboard "> "Benefits" > "Current Summary" > "Select."
Know your contribution rate vs. UA's contribution rate
After you have located your retirement plan(s), it is important to know the rates
at which you are contributing and what UA is contributing on your behalf. Below are
the most common retirement plans. More information can be found on our retirement webpages.
Employee contributions
- PERS DC = 8% of salary
- TRS DC = 8% of salary
- ORP Tier 3 = 8% of salary
Employer contributions
- PERS DC = 5% of salary
- TRS DC = 7% of salary
- ORP Tier 3 = 12% of salary
- UA Pension Plan* = 7.65% of first $52,000 made
*Employee contributions are not allowed on the UA Pension Plan.
At UA, these retirement contributions are fixed percentages. There is no way for an employee (or for UA) to contribute a higher or a lower percentage.
Review the section below to learn how you could save more for retirement outside PERS, TRS, and the ORP.
Know the vesting schedule
Vesting in retirement funds means that you are able to take the portion of funds that
you are vested in with you when you separate employment. Any funds you are not vested
in will be forfeit.
Know what options you have for further savings
Now that we have determined what plans you are in and the contribution rates for them,
we should look at other options available to save for retirement that you might want
to consider, depending on your goals, time horizon, and risk tolerance.
Options available through UA
- Voluntary 403(b) with pre-tax deductions
- Voluntary 403(b) with post-tax deductions (Roth)
- Voluntary 457(b) for executives only
- Health Savings Accounts (HSA) for those enrolled in a qualified health plan only
- Alaska529 for educational expenses only
There are additional options to consider outside of your employment such as personal investments, property, individual retirement accounts, brokerage accounts, certificate of deposits, high yield savings accounts, and so many more.
Meet with a financial advisor regularly
We have a dedicated article that helps you prepare for these conversations.
Keep reassessing over the years
Retirement planning doesn't stop. Keep reviewing your accounts on a regular basis
and making adjustments based on your current situation.
- If you are over 50 take advantage of catch-up contributions to the voluntary 403(b) plan
- If you are over 55, you can make additional contributions to your HSA
- Make a plan to reduce unnecessary expenses and eliminate debt
- Create a household budget
- Keep track of retirement accounts from other employers outside of UA
Nearing retirement
When you start seeing yourself retiring in the next 1-3 years, it's time to start
putting all your planning into motion. Below is a high level list of some items to
consider. It is certainly not exhaustive. Take the time to meet with your financial
planners, start your retirement paperwork, and meet with a UA benefits specialist
to help you prepare. Our news article 'Planning your retirement?' is a great place to start, too.
- Review all retirement accounts with UA and with any other employers
- Review your social security (if any; UA employees do not contribute to social security)
- Understand how to enroll in Medicare and what to expect - especially if you have an HSA or will be enrolling after age
62
- TouchCare can assist with this process. Schedule a Medicare appointment today!
- Watch TouchCare's on demand webinar "The ABCs of Medicare: Plans, Pricing, and Pitfalls"
- Review your current health care and make a plan for what your health care will look
like after you retire.
- Will you enroll in COBRA for a certain period?
- Will you enroll in a spouse's coverage while they are still actively working?
- Will you enroll in a program with your PERS/TRS retirement?
Emailed via benefits newsletter on 2/3/2026.
Contact Benefits: (907) 450-8242 | ua-benefits@alaska.edu | schedule one-on-one time