Retirement Allowance Plan (RAP)

RAP Closing to All New Participants

Effective July 1, 2018, the Retirement Allowance Plan (RAP) will close to all new participants.  As of that date, any part-time or temporary employees who work the minimum required hours (1,000) will become eligible to participate in the Basic and Matching Plans.

If you are a participant in the RAP as of July 1, 2018, you will remain in that Plan and continue to accrue a benefit for the years in which you work 1,000 hours.

For more information about this change, please refer to the FAQ.

Eligibility

You’re eligible if:

  • You’re not covered by the Basic and Matching Plans, and
  • You work at least 1,000 hours per year
  • You don’t have to sign up for the RAP or contribute anything toward it; the University makes contributions on your behalf to a pension fund.

    Benefit Amount

    Your benefit amount under the RAP is based on a percentage of your salary for each year that you participate in the plan. The formula used to calculate your annual RAP benefit is:

    Final average pay × Years of RAP participation × 1.25% (.0125)

    Your “final average pay” is the average of your highest 5 years of earnings out of your last 10 years of participation in the RAP.

    Benefits, payable to you for life, are available only upon retirement or termination from all Penn/UPHS entities. Reduced benefits are available beginning at age 55; full benefits are available at age 65.

    Vesting

    You’re fully vested in your RAP benefits after completing 1,000 hours of service per year for 5 years. Being vested means you own the money in your account even if you leave the University

    You can supplement the RAP by making tax-deferred contributions through the Supplemental Retirement Annuity (SRA).

    Contact Us

    Retirement Call Center
    (877) 736-6738




    Questions? Contact Human Resources: 215-898-1327.