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Frequent Contributor

TIAA Traditional Rates, July 1, 2020

Rate drops where TIAA could [accumulating RC, RCP; payout pre-2002]. Newer IRAs were unchanged.

RC 2.75%  https://www.tiaa.org/public/investment-performance/tiaatraditional/profile?ticker=47933637

RA 3.00% [min]  https://www.tiaa.org/public/investment-performance/tiaatraditional/profile?ticker=47933630

RCP 2.00%  https://www.tiaa.org/public/investment-performance/tiaatraditional/profile?ticker=47933638

SRA 3.00% [min]  https://www.tiaa.org/public/investment-performance/tiaatraditional/profile?ticker=47933631

Newer IRAs 1.00%  https://www.tiaa.org/public/investment-performance/tiaatraditional/profile?ticker=47933634

INCOME PAYOUT RATES FOR LIFETIME ANNUITIES ISSUED DURING AUGUST 2020VINTAGE(WHEN MONEY WAS CONTRIBUTED) LIFETIME INCOME PAYOUT RATESINGLE LIFE WITH 10-YEAR GUARANTEE LIFETIME INCOME PAYOUT RATEJOINT LIFE WITH 20-YEAR GUARANTEE

20205.7%4.9%
2016 - 20195.8%5.0%
2012 - 20155.9%5.1%
2002 - 20116.4%5.5%
Pre-20028.0%7.2%

An income payout rate represents the amount of annual income you will receive as a percentage of the amount you convert to lifetime annuity payments.

The examples shown above are based on a 65-year-old choosing a single life annuity with a 10-year guarantee period or a joint life annuity (with full benefit to survivor) with a 20-year guarantee period. Income payout rates for each participant will vary by age, the annuity partner’s age (for joint options) and the income option selected. Note that participants who contribute to TIAA Traditional over the long term may receive higher income amounts, since they would get the rates applicable to the older vintages as shown above.

Figures shown above are based on the TIAA Traditional Standard Payment Method.

YBB
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7 Replies
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Participant ○

Re: TIAA Traditional Rates, July 1, 2020

Thanks, YBB!

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Follower ○○○

Re: TIAA Traditional Rates, July 1, 2020

Thank you! I haven't been able to find it, yet I am sure that the TIAA Stable Value is going down on July 1. I believe the largest decrease it can have is 0.75%. My guess is that it will decrease by the maximum, taking it down from 2.24% to 1.49%. I appreciate your updates!

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Frequent Contributor

Re: TIAA Traditional Rates, July 1, 2020

A new poster has TIAA SV in his/her plan and updated rates are shown. TIAA shows gross rate as 2.20% & net rate as 2.05% [after plan fees]. For some reason, TIAA doesn't show SV on its general site [or, I cannot find it].

https://www.tiaa.org/public/tcm/mskcc/investment-performance/tiaastablevalue/profile?ticker=40070503...

YBB
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Follower ○○○

Re: TIAA Traditional Rates, July 1, 2020

YBB: Thank you for the information on TIAA Stable Value.

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Explorer ○○

Re: TIAA Traditional Rates, July 1, 2020


@DAlan wrote:

YBB: Thank you for the information on TIAA Stable Value.


You have to be a little careful of the stable value account. Like other TIAA products the rates, and fees, might not be the same for all participants or employers. I have one paying 2% net, and the other paying 1%. So far both say they will not go below 1%, but that could change . . .

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Frequent Contributor

Re: TIAA Traditional Rates, July 1, 2020 [TIAA SV Template]


@dknightd wrote:

@DAlan wrote:

YBB: Thank you for the information on TIAA Stable Value.


You have to be a little careful of the stable value account. Like other TIAA products the rates, and fees, might not be the same for all participants or employers. I have one paying 2% net, and the other paying 1%. So far both say they will not go below 1%, but that could change . . .


Quite true. Thanks.

I found on search several variations for TIAA SV that are plan specific - both the gross rates [2.20-2.25%] and net rates [after plan fees, 0.06-0.90%] vary. I also found a blank template at TIAA website that is without any rate info [but it has the rules] - it is customized for each plan. It seems that in plans where TIAA is only plan administrator/recordkeeper, it offers RC [with withdrawal limitations] and then RCP and/or TIAA SV.   https://www.tiaa.org/public/investment-performance/tiaastablevalue/profile 

YBB
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Explorer ○○

Re: TIAA Traditional Rates, July 1, 2020 [TIAA SV Template]

I think the rules are consistent across all plans. It will be interesting to see if they consider  a withdrawal as a transfer. I suspect not. Certainly SV is not for everybody. But for now pays more than money market.

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