Voluntary Retirement Savings Plan SECURE Act Provision

October 11, 2021
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Effective January 1, 2022, participants will be able to take a withdrawal from their Voluntary Retirement Savings Plan (VRSP) to pay for the qualified birth or adoption of a child, as permitted by the Setting Every Community Up for Retirement Enhancement (SECURE) Act. 

Some details of this provision:
  • Withdraw up to $5,000 per parent, penalty-free, from your VRSP 
  • 10% early withdrawal penalty will not apply 
  • State income tax withholding may be required
  • Withdrawal must occur within one-year of birth date or date legal adoption is finalized
  • Withdrawal not available from employer contributions
  • Withdrawal cannot be used for adopting spouse’s child
  • You can repay back into your VRSP

This withdrawal provision only applies to the VRSP. Other University retirement plans do not allow.

To find out more, or to request a withdrawal, call TIAA (800-842-2252) or Vanguard (800-523-1188). You can also log in to your VRSP account at each vendor.

VRSP information