2025 Updates
September 2025
The University of Iowa has updated its TIAA-administered retirement plans to offer a more streamlined, cost-effective investment lineup. Key changes include:
- New UI Target Retirement Series: A custom, hands-off investment option with guaranteed return features.
- Updated Investment Options: Lower-cost funds replacing some existing choices for better long-term alignment.
- Self-Directed Brokerage Option: Access to thousands of additional investments.
- No Action Required: Contributions and balances will automatically transition; account access remains unchanged.
May 28, 2025
TIAA Retirement Plan Modernization
Learn more about our retirement plan with recordkeeping through TIAA, aimed at modernizing and enhancing the overall investment experience for all participants.
Visit the TIAA Retirement Plan Modernization page for additional information.
Prior Years Retirement Plan Updates
2024 Updates
December 18, 2024
A new feature in our VRSP 403(b) and 457(b) retirement plans starting January 1, 2025. This update is particularly relevant for participants between 60 and 63 during the 2025 calendar year.
New Catch-Up Contribution Limit: Effective January 1, 2025, the IRS has introduced a higher catch-up contribution limit for individuals aged 60-63 by December 31, 2025. The new limit is $11,250 in addition to the regular limit of $23,500, allowing for a total contribution of up to $34,750.
November 12, 2024
IRS Releases 2025 limits on retirement plans:
| Defined Contribution Plans | 2025 | 2024 | Change |
|---|---|---|---|
| Maximum employee elective deferral (VRSP 403(b) and 457(b)) | $23,500 | $23,000 | +$500 |
| Employee catch-up contribution (age 50 or older by year-end) | $7,500 | $7,500 | no change |
| Defined contribution maximum limit, employee + employer (age 49 or younger) | $70,000 | $69,000 | +$1,000 |
| Catch-up contribution limit (age 60, 61, 62, 63) New limit effective Jan. 1, 2025 | $11,250 | N/A | N/A |
| Employee Compensation limit for calculating contributions | $350,000 | $345,000 | +$5,000 |
2023 Updates
November 1, 2023
IRS Releases 2024 limits on retirement plans:
| Defined Contribution Plans | 2024 | 2023 | Change |
|---|---|---|---|
| Maximum employee elective deferral (VRSP 403(b) and 457(b)) | $23,000 | $22,500 | +$500 |
| Employee catch-up contribution (age 50 or older by year-end) | $7,500 | $7,500 | no change |
| Defined contribution maximum limit, employee + employer (age 49 or younger) | $69,000 | $66,000 | +$3,000 |
| Employee Compensation limit for calculating contributions | $345,000 | $330,000 | +$15,000 |
2022 Updates
October 21, 2022
IRS Releases 2023 limits on retirement plans:
| Defined Contribution Plans | 2023 | 2022 | Change |
|---|---|---|---|
| Maximum employee elective deferral | $22,500 | $20,500 | +$2,000 |
| Employee catch-up contribution (age 50 or older by year-end) | $7,500 | $6,500 | +$1,000 |
| Defined contribution maximum limit, employee + employer (age 49 or younger) | $66,000 | $61,000 | +$5,000 |
| Employee Compensation limit for calculating contributions | $330,000 | $305,000 | +$25,000 |
March 1, 2022
On March 1, 2022, Governor Kim Reynolds signed House File 2317. Division VI of that legislation excludes retirement income from Iowa taxable income for eligible taxpayers for tax years beginning on or after Jan. 1, 2023. If you have questions about whether this legislation will affect you, don't hesitate to contact your retirement plan vendor, TIAA or IPERS.
2021 Updates
November 11, 2021
There were two planned changes to the retirement programs administered by TIAA, which were announced in a letter mailed to retirement plan participants:
- The TIAA CREF Mid Cap Value Fund is being replaced by Columbia Select Mid Cap Value Fund. Any assets you have in TIAA CREF Mid Cap will remain in this investment unless you make a change to your account. Effective Jan. 3, 2022, new contributions were directed to Columbia Select Mid Cap.
- An annual plan administrative services fee, which covers the cost of recordkeeping, accounting, legal, investment advisory, and other services, has been implemented. Participant accounts are now charged a servicing fee of up to 0.023% per $1000 invested.
Who is affected by this change?
Any participant who had funds at TIAA was assessed the fee, including active employees and individuals who resigned or retired from the University of Iowa who have funds at TIAA.
What is the cost of the administrative services fee?
A fee of 0.023% means a participant pays $0.23 annually for every $1000 in assets. If the participant has $100,000 in assets, they will pay $23.00 annually or $5.75 per quarter.
When is this fee taken from my account?
The first fee was to be taken at the end of the first quarter of 2022. Fees will be taken quarterly on an ongoing basis.
To learn more, contact TIAA at 800-842-2252 on weekdays, 8 am to 5 pm CST.