my IMPORTANT INFORMATION ABOUT THE RETIREMENT REDESIGN Your Transition Guide November 2018
If you need this information in an alternate format, please contact the Human Resource Information Center at 919-684-5600. Si necesita esta información en otro formato, por favor comuníquese con el Centro de Información de Recursos Humanos al 919-684-5600. 2
YOUR DUKE FACULTY AND STAFF RETIREMENT PLAN Contents Page GET READY FOR THE CHANGES AHEAD 4 ACTION STEPS 5 HOW THIS TRANSITION AFFECTS FUTURE CONTRIBUTIONS AND ACCOUNT BALANCES FIDELITY 6 TIAA 7 VALIC 8 VANGUARD 9 IMPORTANT THINGS TO KNOW 10 IMPORTANT INFORMATION ABOUT REQUIRED MINIMUM DISTRIBUTIONS AND SYSTEMATIC WITHDRAWALS BLACKOUT PERIOD 12 OPTIONAL ONE-TIME TRANSFER IN-KIND TO BROKERAGELINK TRANSITION CALENDAR 14 RESOURCES AVAILABLE 18 6 11 13 A note for retirees, former employees, and beneficiaries with an account balance in the plan If you have an account balance in the Duke Faculty and Staff Retirement Plan, the upcoming changes may affect you even if you are now retired or no longer employed by Duke. You have the following options for your vested account balance in the Duke Faculty and Staff Retirement Plan: s Leave your retirement savings in the Duke Faculty and Staff Retirement Plan to take advantage of the new investment lineup. s Roll any or all of your vested balances into an Individual Retirement Account (IRA) or another employer s retirement plan (if allowed by new employer). s Withdraw vested balances using various distribution options such as a lump sum, installments or an annuity. Distributions, other than rollover, are taxed as ordinary income. IRS penalties may apply on distributions if you are younger than age 59½. If you are receiving distributions from the plan, please review page 11 for important information about required minimum distributions and systematic withdrawals. Be sure to consider all your available options and the applicable fees and features of each before moving your retirement assets. 3
GET READY FOR THE CHANGES AHEAD Beginning January 15, 2019, Fidelity will become Duke s primary recordkeeping and retirement services provider, including investment options, loans and hardship withdrawals. A new investment lineup has been added to the Duke Faculty and Staff Retirement Plan ( Duke 403(b) Retirement Plan ) that will allow you to continue to create a well-diversified portfolio. This guide will help you understand your options and the actions to take. Blackout Period To ensure that all information is transferred accurately from your current Duke 403(b) Retirement Plan account at TIAA, VALIC or Vanguard, to your new Duke 403(b) Retirement Plan account at Fidelity, there will be a period of time when you will not be able to direct or diversify investments in your individual accounts, obtain a loan or request a distribution from the Duke 403(b) Retirement Plan. Refer to the Blackout Period section on page 12 for additional information. Please be aware mutual fund balances transferring from TIAA, VALIC or Vanguard into the new lineup at Fidelity will not be visible in Fidelity NetBenefits until the blackout period has ended. Your mutual fund balances transferring will continue to be invested according to the Retirement Redesign Mapping Strategy Guide. 4
ACTION STEPS Below are three steps you should take to prepare for the changes ahead. Review the Transition Calendar section on pages 14-17 of this guide for more information. 1 Review your current funds and how they will map to the new investment lineup. Decision points: s Move current account balances to Fidelity and invest in the new investment lineup before January. s Consult with a Fidelity representative if you are considering an optional self-directed brokerage account. s No action: If you take no action, current balances will transfer to the new investment lineup in January based on the Retirement Redesign Mapping Strategy Guide. 2 Decide what to do with future contributions. Future contributions will not be mapped according to the mapping strategy. s Select investments from the new investment lineup at Fidelity at fidelity.com/duke. s Update payroll deductions through Retirement Manager at hr.duke.edu/retirementmanager by December 27, 2018. s No action: If you take no action, future contributions will be directed to Fidelity and invested in a Vanguard Institutional Target Retirement Fund, based on your age, beginning with your January 18, 2019, paycheck (biweekly payroll) or your January 25, 2019, paycheck (monthly payroll). Note: If you are interested in investing in the new TIAA Traditional, you must enroll or re-enroll by December 27, 2018. For additional information, visit hr.duke.edu/tiaaenrollment. 3 Update your beneficiary designations. s Designations on file with TIAA, VALIC, and Vanguard will not transfer to your Fidelity account. Update your beneficiary designations at fidelity.com/duke. Questions and Resources Set up an appointment with a Fidelity representative to talk through your questions by calling 800-823-0172 or visit fidelity.com/duke. For more information, visit hr.duke.edu/retirementredesign. Target Date Funds are an asset mix of stocks, bonds, and other investments that automatically become more conservative as the fund approaches its target retirement date and beyond. Principal invested is not guaranteed. 5
HOW THIS TRANSITION AFFECTS FUTURE CONTRIBUTIONS AND ACCOUNT BALANCES If you have an account with Fidelity Future Contributions You must select investments for future contributions from the new investment lineup at Fidelity at fidelity.com/duke. Future contributions will be directed to your chosen investments in the new investment lineup at Fidelity effective with your January 18, 2019, paycheck (biweekly payroll) or your January 25, 2019, paycheck (monthly payroll). If you do not make an investment election in the new investment lineup at Fidelity by January 14, 2019, your contributions will be directed to a Vanguard Institutional Target Retirement Fund based on your age. Account Balances On January 14, 2019, at 4 p.m. Eastern time, all account balances at Fidelity will be transferred to the new investment lineup according to the Retirement Redesign Mapping Strategy Guide. Balances already invested in the new investment lineup will remain. If you would like to keep investments that are not included in the new investment lineup, these mutual funds may be eligible to be transferred in-kind to the same fund(s) within a Fidelity BrokerageLink account. To choose this option, you must set up a Fidelity BrokerageLink account by December 31, 2018. See additional details regarding the optional one-time transfer in-kind to BrokerageLink on page 13. Paperwork for a hardship withdrawal must be received by Fidelity, in good order, prior to December 28, 2018. Paperwork for a non-hardship withdrawal (if eligible) must be received prior to the blackout period. IMPORTANT DATES TO REMEMBER: Nov. 30, 2018 Last day to request plan-to-plan transfer paperwork. Contact Fidelity at 800-823-0172 to initiate a plan-to-plan transfer. Dec. 28, 2018 Last day to return paperwork to Fidelity for a hardship withdrawal. Dec. 31, 2018 Open a Fidelity BrokerageLink account by this date to be eligible for the optional one-time transfer in-kind of eligible funds at Fidelity. Jan. 14, 2019 Last day to return paperwork to Fidelity for a nonhardship withdrawal (if eligible). Blackout period begins at 4 p.m. Eastern time. If 100% of your balance is at Fidelity, you will not be affected by the blackout period. All account balances at Fidelity will transfer to the new investment lineup. Week of Jan. 27, 2019 Blackout period ends. 6
HOW THIS TRANSITION AFFECTS FUTURE CONTRIBUTIONS AND ACCOUNT BALANCES If you have an account with TIAA Future Contributions You must select investments for future contributions from the new investment lineup at Fidelity at fidelity.com/duke. Future contributions will be directed to your chosen investments in the new investment lineup at Fidelity effective with your January 18, 2019, paycheck (biweekly payroll) or your January 25, 2019, paycheck (monthly payroll). If you do not make an investment election in the new investment lineup at Fidelity by January 14, 2019, your contributions will be directed to a Vanguard Institutional Target Retirement Fund based on your age. Participants who are currently directing contributions to the TIAA Traditional account under the RA/GSRA contracts will not be automatically enrolled in the new TIAA Traditional under the new Retirement Choice contract. You must re-enroll in the new TIAA Traditional by December 27, 2018. Please visit hr.duke.edu/tiaaenrollment for additional information about how to re-enroll in the new TIAA Traditional or contact Human Resources at 919-684-5600. Account Balances Starting on January 14, 2019, all mutual fund balances at TIAA will transfer to the new investment lineup at Fidelity, according to the Retirement Redesign Mapping Strategy Guide. If you do not want your mutual fund account balances at TIAA to transfer according to the Retirement Redesign Mapping Strategy Guide, you can directly transfer your balances to Fidelity by November 30, 2018. Contact Fidelity at 800-823-0172 to initiate a plan-to-plan transfer. Paperwork must be received by TIAA, in good order, prior to 4 p.m. Eastern time on January 4, 2019, in order to be processed before the blackout period begins. TIAA annuity account balances will not transfer to Fidelity unless you initiate a transfer request. Contact TIAA to discuss any questions you have about the annuity products. Remember that some annuity products may have penalties or restrictions on transfers. Note: Annuity and mutual fund options held at TIAA are not eligible for the optional one-time transfer in-kind to BrokerageLink. Loans and Hardship Withdrawals Starting in January 2019, all new loans and hardship withdrawals will be processed through Fidelity. Effective December 28, 2018, there will be no additional loans or hardship withdrawals allowed from your TIAA accounts. In order to process a loan or hardship withdrawal before this deadline, the paperwork must be received, in good order, prior to 4 p.m. Eastern time on December 28, 2018. Outstanding loan balances at TIAA will not transfer to Fidelity. You will continue to make loan payments directly to TIAA. IMPORTANT DATES TO REMEMBER: Nov. 30, 2018 Last day to request plan-to-plan transfer paperwork. Contact Fidelity at 800-823-0172 to initiate a plan-to-plan transfer. Dec. 27, 2018 Last day to redirect future contributions to Fidelity through Retirement Manager at hr.duke.edu/ retirementmanager or re-enroll in the new TIAA Traditional at hr.duke.edu/tiaaenrollment. Dec. 28, 2018 Last day to return paperwork to TIAA for a new loan or hardship withdrawal. Jan. 4, 2019 Last day to return paperwork to TIAA for a nonhardship withdrawal (if eligible) or make any changes to your account. Blackout period begins at 4 p.m. Eastern time. Week of Jan. 14, 2019 All mutual fund balances at TIAA will begin to transfer to the new investment lineup at Fidelity. Annuity balances will remain at TIAA. On or after Jan. 16, 2019 Blackout period ends for annuity accounts at TIAA. Week of Jan. 27, 2019 Blackout period ends for mutual funds transferred from TIAA to Fidelity. Automatic Rebalancing Services If you are using the automatic rebalancing services, your allocation on file at TIAA may be affected by the upcoming plan changes. Please contact TIAA on or before January 2, 2019, in order to update your instructions on file. 7
HOW THIS TRANSITION AFFECTS FUTURE CONTRIBUTIONS AND ACCOUNT BALANCES If you have an account with VALIC Future Contributions You must select investments for future contributions from the new investment lineup at Fidelity at fidelity.com/duke. Future contributions will be directed to your chosen investments in the new investment lineup at Fidelity effective with your January 18, 2019, paycheck (biweekly payroll) or your January 25, 2019, paycheck (monthly payroll). If you do not make an investment election in the new investment lineup at Fidelity by January 14, 2019, your contributions will be directed to a Vanguard Institutional Target Retirement Fund based on your age. Account Balances Starting on January 14, 2019, all mutual fund balances at VALIC will transfer to the new investment lineup at Fidelity, according to the Retirement Redesign Mapping Strategy Guide. If you do not want your VALIC mutual fund balances to transfer according to the Retirement Redesign Mapping Strategy Guide, you can directly transfer your balances to Fidelity by November 30, 2018. Contact Fidelity at 800-823-0172 to initiate a plan-to-plan transfer. Paperwork must be received by VALIC, in good order, prior to 4 p.m. Eastern time on December 28, 2018, in order to be processed before the blackout period begins. VALIC annuity account balances will not transfer to Fidelity unless you initiate a transfer request. Contact VALIC to discuss any questions you have about the annuity products. Remember that some annuity products may have penalties or restrictions on transfers. Note: Annuity and mutual fund options held at VALIC are not eligible for the optional one-time transfer in-kind to BrokerageLink. Loans and Hardship Withdrawals Starting in January 2019, all new loans and hardship withdrawals will be processed through Fidelity. Effective December 28, 2018, there will be no additional loans or hardship withdrawals allowed from your VALIC accounts. In order to process a loan or hardship withdrawal before this deadline, the paperwork must be received, in good order, prior to 4 p.m. Eastern time on December 28, 2018. Currently, two loan programs are offered through VALIC: IMPORTANT DATES TO REMEMBER: Nov. 30, 2018 Last day to request plan-to-plan transfer paperwork. Contact Fidelity at 800-823-0172 to initiate a plan-to-plan transfer. Dec. 27, 2018 Last day to redirect future contributions to Fidelity through Retirement Manager at hr.duke.edu/retirementmanager. Dec. 28, 2018 Last day to return all paperwork to VALIC for a new loan or withdrawal. Jan. 7, 2019 Blackout period begins at 4 p.m. Eastern time for mutual funds transferring from VALIC to Fidelity. Week of Jan. 14, 2019 All mutual fund balances at VALIC will begin to transfer to the new investment lineup at Fidelity. Annuity balances will remain at VALIC. Week of Jan. 27, 2019 Blackout period ends for mutual funds transferred from VALIC to Fidelity. s Outstanding loans through the mutual fund platform at VALIC will transfer to Fidelity the week of January 14, 2019. The transition will not affect the original interest commitment and loan period (e.g., 3 or 5 years) for any loan(s) transferring. The payment frequency will be monthly. A separate loan notification will be provided to VALIC participants in late January with information regarding where to send your loan repayments. s Outstanding loans through the annuity platform at VALIC will not transfer to Fidelity. You will continue to make loans payments directly to VALIC. 8
HOW THIS TRANSITION AFFECTS FUTURE CONTRIBUTIONS AND ACCOUNT BALANCES If you have an account with Vanguard Future Contributions You must select investments for future contributions from the new investment lineup at Fidelity at fidelity.com/duke. Future contributions will be directed to your chosen investments in the new investment lineup at Fidelity effective with your January 18, 2019, paycheck (biweekly payroll) or your January 25, 2019, paycheck (monthly payroll). If you do not make an investment election in the new investment lineup at Fidelity by January 14, 2019, your contributions will be directed to a Vanguard Institutional Target Retirement Fund based on your age. Account Balances Starting on January 14, 2019, all account balances at Vanguard will transfer to the new investment lineup at Fidelity, according to the Retirement Redesign Mapping Strategy Guide. If you do not want your account balances to transfer according to the Retirement Redesign Mapping Strategy Guide, you can directly transfer your balances to Fidelity by November 30, 2018. Contact Fidelity at 800-823-0172 to initiate a plan-to-plan transfer. If you would like to keep investments that are not included in the new investment lineup, these mutual funds may be eligible to be transferred in-kind to the same fund(s) within a Fidelity BrokerageLink account. To choose this option, you must set up a Fidelity BrokerageLink account by December 31, 2018. See additional details regarding the optional one-time transfer in-kind to BrokerageLink on page 13. Paperwork for a hardship withdrawal must be received by Vanguard, in good order, prior to December 28, 2018. Paperwork for a non-hardship withdrawal (if eligible) must be received prior to the blackout period. Keep in mind, all mutual fund options at Vanguard will transfer to the new investment lineup at Fidelity. IMPORTANT DATES TO REMEMBER: Nov. 30, 2018 Last day to request plan-to-plan transfer paperwork. Contact Fidelity at 800-823-0172 to initiate a plan-to-plan transfer. Dec. 27, 2018 Last day to redirect future contributions to Fidelity through Retirement Manager at hr.duke.edu/retirementmanager. Dec. 28, 2018 Last day to return paperwork to Vanguard for a hardship withdrawal. Dec. 31, 2018 Open a Fidelity BrokerageLink account by this date if you want eligible balances held at Vanguard to be transferred in-kind as part of this transition. Jan. 8, 2019 Last day to return paperwork to Vanguard for a nonhardship withdrawal (if eligible) or make any changes to your account. Blackout period begins at 4 p.m. Eastern time. Week of Jan. 14, 2019 All mutual fund balances at Vanguard will begin to transfer to the new investment lineup at Fidelity. Week of Jan. 27, 2019 Blackout period ends. 9
IMPORTANT THINGS TO KNOW Update Beneficiary Designation Your current beneficiary designation on file with TIAA, VALIC and Vanguard will not transfer to your Fidelity account. Update beneficiary designations at fidelity.com/duke. This means that your beneficiary under the Duke 403(b) Retirement Plan will be the default beneficiary unless you update your beneficiary designation. Annuity Balances at TIAA and VALIC Annuity accounts at TIAA and VALIC will not transfer to Fidelity automatically, but you can transfer the balances at any time, subject to any restrictions described in the annuity contract. New Enrollment System Beginning January 15, 2019, you will be able to enroll/ make changes to your payroll deductions through Duke@Work. Additional information will be available in January at hr.duke.edu/403benroll. What is not changing? s Employees Retirement Plan (ERP) is not changing. s The Duke contribution formula is updated annually. Please visit hr.duke.edu/dukecontribution for more information. s Roth 403(b) feature is not changing. s The maximum amount you can contribute to the plan is set by the Internal Revenue Service annually. Please visit hr.duke.edu/ benefits/retirement/enroll-or-make-changes for additional information about the 2019 IRS limits. s Duke s 457(b) plan is not changing. New Loan Program A new loan program with Fidelity will be available effective January 15, 2019. The new program will allow for one general loan and one home loan outstanding at a time through Fidelity only. The cost to initiate a new loan is $50 and a quarterly maintenance fee of $6.25 will apply. New loans will not be available through TIAA and VALIC. Retirement Plan Fees Fidelity will separate the cost of operating the plan from investment expenses. Plan operating expenses will appear as a separate administrative fee on your account statement. If your plan balance is below $5,000, a $6.25 fee per quarter ($25 annually) will apply. If your plan balance is more than $5,000, a fee of $13.50 fee per quarter ($54 annually) will apply. This charge helps pay expenses for the call center, educational communications, group and individual meetings, the plan s website, and more. The fee will be deducted pro rata from all investments in your Fidelity account. Note: This per-participant fee does not apply to the frozen accounts at TIAA or VALIC. Please review the hr.duke.edu/feedisclosure for current fees on these products. 10
IMPORTANT INFORMATION ABOUT REQUIRED MINIMUM DISTRIBUTIONS AND SYSTEMATIC WITHDRAWALS If you are currently receiving required minimum distributions (RMDs) or systematic withdrawals from your Duke 403(b) Retirement Plan, your action may be required. Fidelity Payments No action required s Your January 2019 payment will be processed earlier than normally scheduled due to the inability to make transactions during the blackout period (January 14 through the week of January 27). s If you have an RMD automatic payment scheduled at Fidelity, the additional balance converted to Fidelity will be taken into account for future payments after the transition. VALIC Payments No action required s Your payment information from your mutual fund balance including your personal bank account information will transfer to Fidelity in January 2019. Your January 2019 payment from your mutual fund balance will be processed earlier than normally scheduled due to the inability to make transactions during the blackout period (January 8 through the week of January 27). s VALIC will continue to process your distribution from your annuity balance. Vanguard Payments Action required s Your January 2019 payment will be processed earlier than normally scheduled due to the inability to make transactions during the blackout period (January 8 through the week of January 27). s Your payment information for your personal bank account information will not transfer to Fidelity in January 2019. Contact Fidelity after the blackout period has ended to provide your personal bank account information. Otherwise your payments will be sent from Fidelity via check. TIAA Payments Action required s Your payment information will not transfer to Fidelity in January 2019. Contact TIAA at 800-842-2776 by December 28, 2018, to discuss how your future payments will be impacted. s Contact Fidelity after the blackout period has ended to re-establish your payment amount, duration and bank information once mutual fund balances have transferred. Payments from multiple retirement service providers Action required s If you are receiving payments from more than one retirement service provider, contact Fidelity after the blackout period has ended to ensure payments are processed as requested. Required Minimum Distributions After your balance is transferred to Fidelity, make sure to review your RMD payments at all vendors (if applicable) to ensure payments are satisfying your overall RMD withdrawal amount. 11
BLACKOUT PERIOD To ensure that all information is transferred accurately to Fidelity from your current Duke 403(b) Retirement Plan account at TIAA, VALIC or Vanguard, there will be a period of time when you will be unable to direct or diversify investments in your individual accounts, obtain a loan or a distribution from the Duke 403(b) Retirement Plan. The time during which you will be unable to exercise your rights otherwise available under the Duke 403(b) Retirement Plan is called a blackout period. During this time, you can determine whether the blackout period has started or ended by contacting Fidelity Investments at 800-823-0172 or visiting fidelity.com/duke. If you have any questions concerning this notice, you can contact Human Resources at 919-684-5600, 705 Broad Street, Box 90502, Durham, NC 27708-0502. The blackout period is scheduled as follows: Begin date (at 4 p.m. Eastern time) End date Fidelity accounts January 14, 2019 The week of January 27 TIAA annuity accounts January 4, 2019 On or after the week of January 16 TIAA mutual fund accounts January 4, 2019 The week of January 27 VALIC mutual fund accounts January 7, 2019 The week of January 27 Vanguard accounts January 8, 2019 The week of January 27 Note, the blackout period applies to all participants with mutual fund accounts transferring to Fidelity and annuity accounts at TIAA. VALIC annuity accounts are not affected by the blackout period. Because you will be unable to direct or diversify your Duke 403(b) Retirement Plan balance during the blackout period, it is very important that you review and consider the appropriateness of your current investments. For your long-term retirement security, you should give careful consideration to the importance of a well-balanced and diversified investment portfolio, taking into account all your assets, income and investments. Whether you are planning retirement in the near or distant future, we encourage you to carefully consider how this blackout period may affect your retirement planning and your overall financial plan. If you have any questions concerning this notice or your rights, you should contact Fidelity Investments at 800-823-0172 or visit fidelity.com/duke. If you have any questions about your current account with TIAA, VALIC or Vanguard, or if you would like to make any changes to your account before the start of the blackout period, please contact your provider. 12
OPTIONAL ONE-TIME TRANSFER IN-KIND TO BROKERAGELINK This option is only available to Fidelity and Vanguard participants. You may want to consider this option only if you are interested in keeping your same Fidelity and/or Vanguard funds that will not be available in the new investment lineup. As part of the Duke 403(b) Retirement Plan investment option changes, eligible Fidelity and Vanguard investment options may be transferred in-kind to the same fund(s) in a self-directed brokerage account. An in-kind transfer means your holdings will generally not be bought or sold; your holdings will transfer to a BrokerageLink account. Exceptions apply. Contact Fidelity at 800-823-0172 or visit fidelity.com/duke for details. Note: Annuity and mutual fund options held at TIAA and VALIC are not eligible to transfer in-kind to the self-directed brokerage account. Optional Steps to Consider: 1 2 Review the Retirement Redesign Mapping Strategy Guide to learn how your current account balances will be affected. 3 4 Contact Fidelity at 800-823-0172 to discuss this option or if you have any questions. Then determine if your funds are eligible to transfer in-kind by reviewing the Optional One-Time Transfer In-Kind to BrokerageLink instructions. Open a BrokerageLink account online or by paper form* by December 31, 2018, if you choose to participate in the optional one-time in-kind transfer to Fidelity BrokerageLink. *Paper forms must be received prior to December 31, 2018, for processing the form. In addition to the dates in the Transition Calendar section of this guide, the following dates are important to know if you are considering this optional one-time transfer in-kind to a self-directed brokerage account. KEY DATE December 31, 2018 January 14, 2019 PLAN ACTIVITY Open a BrokerageLink account to take advantage of the optional one-time transfer in-kind for eligible balances at Fidelity or Vanguard. Eligible Fidelity and Vanguard balances will transfer in-kind to BrokerageLink for participants who established a BrokerageLink account. Balances in mutual funds with institutional share classes will be reallocated to the retail share class, if eligible. 13
TRANSITION CALENDAR Please review this transition calendar to understand how your account may be affected during the blackout period and conversion to Fidelity. This calendar will help you plan ahead for any actions you may want to take. KEY DATES* PLAN ACTIVITY ACTION STEPS Available now November 30, 2018 Register with Fidelity and select investments from the new investment lineup for future contributions. Last day to request plan-to-plan transfer paperwork. Set up your Fidelity NetBenefits account username and password. Go to fidelity.com/duke and click Register at the top of the page and follow the step-by-step instructions. Provide your email preferences. Select Profile to set up or change your email preferences. Make your investment elections. To make your investment elections in the new investment lineup, call 800-823-0172 or log on to Fidelity NetBenefits at fidelity.com/duke. Your future investment elections will be in effect with the first payroll after January 15, 2019. Or if you are already directing contributions to Fidelity, your elections will be in effect with the next payroll after you ve made your election. Choose your beneficiaries. Beneficiary information currently on file will not transfer to Fidelity. You must designate a beneficiary at Fidelity for your account. Contact Fidelity at 800-823-0172 to initiate a plan-toplan transfer. If you want to transfer assets to the new investment lineup at Fidelity before the blackout period begins, you should request all necessary paperwork by this date. December 27, 2018 This is the last date to: Redirect future contributions to Fidelity. Re-enroll in the new TIAA Traditional. Enroll in the Duke 403(b) Retirement Plan through Retirement Manager. Visit Retirement Manager at hr.duke.edu/retirementmanager to enroll in the Duke 403(b) Retirement Plan or make changes to your future employee contributions. To re-enroll in the new TIAA Traditional, visit hr.duke.edu/tiaaenrollment. For biweekly payroll employees, changes will be reflected in your January 18, 2019, paycheck. For monthly payroll employees, changes will be reflected in your January 25, 2019, paycheck. 14
KEY DATES* PLAN ACTIVITY ACTION STEPS December 28, 2018, by 4 p.m. Eastern time Last day to return paperwork to TIAA for a new loan. Last day to return paperwork to Fidelity, TIAA, or Vanguard for a hardship withdrawal. Last day to return all paperwork to VALIC for a new loan or withdrawal. Your service provider will accept all paperwork, in good order, to process these transactions. Complete and return paperwork. Be sure to return all necessary paperwork to your service provider before this date. Please allow enough time to request, receive, complete, and return the paperwork before this deadline. December 31, 2018 Open a BrokerageLink account by this date if you want eligible balances held at Fidelity or Vanguard to be transferred in-kind as part of this transition. Open a BrokerageLink account. For additional details, see the section on page 13 titled Optional One-Time Transfer In-Kind to BrokerageLink, schedule a one-on-one consultation with a Fidelity representative or call 800-823-0172. January 4, 2019, at 4 p.m. Eastern time BLACKOUT PERIOD BEGINS AT TIAA Exchanges and non-hardship withdrawals are restricted. This is the last day to make an exchange among existing balances at TIAA. During most of the blackout period your funds may remain invested in the market, but you cannot make changes. Complete and return paperwork. Be sure to return all necessary paperwork to TIAA to process a non-hardship withdrawal (if eligible) before the blackout period begins. Please allow enough time to request, receive, complete, and return the paperwork to TIAA before this deadline. January 7, 2019, at 4 p.m. Eastern time BLACKOUT PERIOD BEGINS AT VALIC Exchanges are restricted. This is the last day to make an exchange among existing balances at VALIC. During most of the blackout period your funds may remain invested in the market, but you cannot make changes. 15
TRANSITION CALENDAR (CONTINUED) KEY DATES* PLAN ACTIVITY ACTION STEPS January 8, 2019, at 4 p.m. Eastern time January 14, 2019, at 4 p.m. Eastern time BLACKOUT PERIOD BEGINS AT VANGUARD Exchanges and non-hardship withdrawals are restricted. BLACKOUT PERIOD BEGINS AT FIDELITY Exchanges and non-hardship withdrawals are restricted. Transfer to the new investment lineup at Fidelity begins. This is the last day to make an exchange among existing balances at Vanguard. During most of the blackout period your funds may remain invested in the market, but you cannot make changes. Complete and return paperwork. Be sure to return all necessary paperwork to Vanguard to process a non-hardship withdrawal (if eligible) before the blackout period begins. Please allow enough time to request, receive, complete, and return the paperwork to Vanguard before this deadline. This is the last day to make an exchange among existing balances at Fidelity. During most of the blackout period your funds may remain invested in the market, but you cannot make changes. Complete and return paperwork. Be sure to return all necessary paperwork to Fidelity to process a non-hardship withdrawal (if eligible) before the blackout period begins. Please allow enough time to request, receive, complete, and return the paperwork to Fidelity before this deadline. Your account balances at Vanguard and mutual fund balances at TIAA and/or VALIC are valued at the close of the market. Fidelity account balances will transfer to the new investment lineup based on the Retirement Redesign Mapping Strategy Guide. Note: Any investments transferring in-kind will transfer on this date. 16
KEY DATES* PLAN ACTIVITY ACTION STEPS January 15, 2019, at 4 p.m. Eastern time January 16, 2019, at 4 p.m. Eastern time The week of January 27, 2019 April 2019 Transfer of mutual fund balances to Fidelity. Enroll or make changes to your Duke 403(b) Retirement Plan. Transfer of mutual fund balances to Fidelity. Blackout period ends for annuity accounts at TIAA. BLACKOUT PERIOD ENDS The blackout period for balances transferred to Fidelity is expected to end during this week. First quarterly statement from Fidelity, Vanguard, TIAA and VALIC showing conversion of accounts. Balances at Vanguard and mutual fund balances at TIAA are scheduled to transfer to Fidelity. Annuity accounts at TIAA will not transfer to Fidelity automatically, but you can transfer the balances after the blackout period ends, subject to any restrictions described in the annuity contract. You can now enroll in the Plan or make changes to your employee before-tax and/or Roth after-tax contribution amount through Duke@Work. For additional information, visit hr.duke.edu/403benroll. Mutual fund balances at VALIC are scheduled to transfer to Fidelity. Annuity accounts at VALIC will not transfer to Fidelity automatically, but you can transfer the balances after the blackout period ends, subject to any restrictions described in the annuity contract. The blackout period for annuity accounts remaining at TIAA will end on or after January 16, 2019. You may continue to make changes to your TIAA annuity account by contacting TIAA directly. The Fidelity Retirement Service Call Center at 800-343-0860 and Fidelity NetBenefits website at fidelity.com/duke will open for all Plan services. You will be notified when the blackout period has ended. You are now able to: Review your account balances transferred to the new investment lineup. Request an exchange between investment options. Request a loan or withdrawal, if eligible. Contact Fidelity to review your systematic withdrawals or RMDs. Compare Fidelity s statement with your final account statement from your provider. o You may obtain an account statement from Fidelity online at fidelity.com/duke or by calling 800-343-0860. o Vanguard will provide a final account statement. o First quarterly statement from TIAA and VALIC will show the conversion of the mutual fund balances. * The timing of the plan changes and transition period, including any asset reallocations, described within this brochure depends on a variety of factors, which may include: the timing and accuracy of the transfer of data, receipt of instructions, and receipt of assets. Changes in any of these factors may result in changes to the timing of the delivery of services, the transition period, and/or the dates on which, and thus the prices at which, assets in your account are sold and/or reinvested. 17
RESOURCES AVAILABLE Retirement Redesign Website Fidelity NetBenefits Website Fidelity Retirement Redesign Call Center Fidelity Retirement Service Call Center On-site Fidelity Workplace Planning and Support Fidelity On-site Service Centers TIAA VALIC Vanguard hr.duke.edu/retirementredesign fidelity.com/duke 800-823-0172 800-343-0860, Monday through Friday from 8 a.m. to midnight Eastern time To schedule an appointment: Text MeetAtDuke to 343898 Visit fidelity.com/duke Call Fidelity at 800-823-0172 Flowers Building 404 Chapel Drive, Durham, NC 27708 Suite 0215B and Suite 0215C JB Duke Hotel 230 Science Drive, Durham, NC 27710 Huddle Room 2 and Huddle Room 3 Contact TIAA online at tiaa.org/duke Schedule an appointment at tiaa.org/schedulenow-duke You may call their local office at 919-687-5200 or toll-free at 877-375-2424 Contact VALIC online at valic.com/duke Schedule an appointment by calling 919-401-3252 Contact the VALIC local office at 919-493-5756 or toll-free at 800-842-2776 Contact Vanguard online at duke.vanguard-education.com Schedule an appointment by calling 800-662-0106 ext. 14500 Contact the Vanguard toll-free at 800-523-1188 18
Take Action for Your Future Contributions Select investments for future contributions from the new investment lineup at Fidelity (fidelity.com/duke) by January 14, 2019. Investment elections for future contributions will not be mapped. If you do not select investment options from the new investment lineup at Fidelity, future contributions will be directed to Fidelity and invested in a Vanguard Institutional Target Retirement Fund based on your age. If you are interested in investing in the new TIAA Traditional, you must enroll or re-enroll by December 27, 2018. For additional information, visit hr.duke.edu/tiaaenrollment. Before investing in any mutual fund, consider the investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully. Investing involves risk, including risk of loss. Please consider all investment information before choosing your investments. This document provides only a summary of the main features of the Duke University Faculty and Staff Retirement Plan, and the Plan document will govern in the event of any discrepancies. BrokerageLink includes investments beyond those in your plan s lineup. You should compare investments and share classes that are available in your plan s lineup with those available through BrokerageLink, and determine the available share class that is appropriate for your situation. The plan fiduciary neither evaluates nor monitors the investments available through BrokerageLink. It is your responsibility to ensure that the investments you select are suitable for your situation, including your goals, time horizon, and risk tolerance. TIAA, VALIC, Vanguard and Fidelity Investments are independent entities and are not legally affiliated. Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917 2018 FMR LLC. All rights reserved. 859287.1.0 19