This article summarizes the Governor Budget proposals in the New England region. Governor Ned Lamont of Connecticut proposed restructuring, refinancing the systems' payments and slowing the rate of increase in the teachers' pension fund and the state employee pension fund, both of which are underfunded. Lamont also announced that for the first…

Private-college presidents often draw scrutiny for their hefty compensation packages, but most of them have a ready comeback: I could make a lot more money in the corporate world. While this statement is surely sometimes true, it is also true that some of the nation's top-paid presidents continue to receive perks that their corporate counterparts…

Teachers Insurance and Annuity Association (TIAA) and College Retirement Equities Fund (CREF), the largest pension system in the country, has lost its tax exemption, a change that has both created problems and opened doors to new ventures. TIAA-CREF is now seeking opportunities to manage state tuition-savings plans, and has also established six…

Eligibility for an IRA has been severely changed by the Tax Reform Act of 1986. In 1987 educators who have a retirement plan administered by their employer will face new eligibility rules. For self-employment income, a Keogh plan is an excellent way to shelter income and provide retirement income. (MLW)

The data presented in this combined report--"Rankings & Estimates"--provide facts about the extent to which local, state, and national governments commit resources to public education. As one might expect in a nation as diverse as the United States--with respect to economics, geography, and politics--the level of commitment to…

Congress' proposed revision of the Internal Revenue Code could have a significant impact on the retirement options available to educators. Some retirement and tax shelter plans are reviewed including: Individual Retirement Accounts, Keogh plans, Section 403(b) of the Code, and retirement and estate planning. (MLW)

Three types of structures used in university systems to permit faculty and staff to take advantage of voluntary Tax Sheltered Annuity (TSA) programs are discussed. An innovative system at the University of Nevada is described. (MLW)

Important considerations for institutions wanting to establish supplementary early retirement benefits to encourage the practice are outlined. Regulations concerning pension plans, tax-sheltered annuities, and deferred compensation are reviewed. Individually negotiated early retirement supplements are not recommended. (MSE)

Strategic benefit planning is a management process that establishes overall objectives that form the basis for decision making on all elements of indirect compensation. The Tax Reform Act of 1986 and implications to tax-sheltered annuities are discussed. An example of a statement of university policy on employee benefits is appended. (MLW)

New federal tax law requiring employees to pay taxes on a large sum of money at one time rather than over the course of retirement makes college retirement "buyout plans" no longer feasible and hampers colleges' efforts to thin faculty ranks after the uncapping of the mandatory retirement age. (MSE)

The 1986 amendments to the Age Discrimination in Employment Act and tax reforms from that year will require changes in retirement policies in higher education, especially pension plans, because of the extension of nondiscrimination rules to all tax-deferred annuities. (Author/MSE)

Information on retirement investment planning is provided for college and university human resource managers, focusing on what employees need to know about maximizing contributions to the 403(b) plan without becoming liable for penalties for excessive savings. Calculations are explained and illustrated with a hypothetical case and data charts.…

The Tax Reform Act of 1986 and subsequent legislation have radically altered the rules needed to maintain favorable tax status of tax-sheltered annuity plans for college employees. Application of the new rules is complex. Critical questions facing institutions and organizations are answered, and potential liabilities facing educational employers…

The potential impact of the new nondiscrimination requirements of the Tax Reform Act of 1986 in faculty pension plans is devastating for faculty. The faculty's pension program's ability to survive in a form that serves the mutual interests of both faculty and institution is now in question. (MLW)

This article reviews and comments on various issues addressed by the 1994 Internal Revenue Service (IRS) audit guidelines for nonprofit organizations. It focuses on topics especially relevant to colleges and universities, such as unrelated business income, employment taxes, fringe benefits, fund raising, research and contracts, scholarships and…