The Teacher Retirement System

[Shane]

.wrong thread

[sandbill]

I worked hard for many years to secure my TRS retirement, and I'm appreciative of it.

[Huntindad]

My hat is off to all the educators. especially the newer ones that have to deal with the current parent/political environment.

The older ones... retire when you can, take your hard earned money and do something different in life. Enjoy.

Y'all have the patience of angels...I'd rung someone's neck early on.

[ColinR]

My wife may be going to work at our local ISD and I have a few questions for those here in the know.

She will not be a teacher but will be working in the office as a full time employee. Does she still qualify for TRS? And are all ISD employees REQUIRED to participate? I am assuming they are all required based on the the below statement that is on our ISD website. I'm just wondering if she is not required to participate she could take that 7.7% and invest in a IRA.

" ***** ISD participates in the Teacher Retirement System of Texas (TRS). All part- and full-time employees are required to pay a fixed percentage of their paycheck to TRS, with the exception of substitutes and temporary employees. 7.7% is taken out of participating employees’ paychecks to pay TRS, and .65% help fund TRS health insurance programs."

[Casey]

I'm entertained by the notion that those of us that don't teach work a 40 hour shift only, head home, feet up, drink a beer, every night. I can't even begin to calculate the hours over 40 I've worked in my career (without overtime pay). I can tell you I've pulled more that a few all-nighters to make a deadline, etc. If you want the minimum, work the minimum. If you want more, work more.

Now, I would like to know how much money is invested into the TRS by a teacher vs. the benefit at retirement. I honestly have no clue and my Dad was a teacher. I will tell you that I've put a significant chunk of my income into retirement most of my career. My employer added 3% for 15 of my 28ish years. It's going to work itself out for me but I had to pay attention, invest and plan.

[Shane]

My wife may be going to work at our local ISD and I have a few questions for those here in the know.

She will not be a teacher but will be working in the office as a full time employee. Does she still qualify for TRS? And are all ISD employees REQUIRED to participate? I am assuming they are all required based on the the below statement that is on our ISD website. I'm just wondering if she is not required to participate she could take that 7.7% and invest in a IRA.

" ***** ISD participates in the Teacher Retirement System of Texas (TRS). All part- and full-time employees are required to pay a fixed percentage of their paycheck to TRS, with the exception of substitutes and temporary employees. 7.7% is taken out of participating employees’ paychecks to pay TRS, and .65% help fund TRS health insurance programs."

The withdrawal to go into TRS are mandatory. She can invest additional money into an IRA or a 403(b) on her own, if she wants to. It would be smart. TRS benefits are OK, but not huge. And they don't give COLA raises in retirement.

[Graysonhogs]

If you factor in the nights until 11pm and working most weekends will I'm pretty sure the total hours are more than 40 per week. My wife averages 12 to 13 hours a day and at least 4 hours a day on weekends. Usually 6 or more. Not to mention at least 15 days of continuing education each summer.
Yours is a typically ignorant response.

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Exactly.

[Goldeneagle]

My wife worked enough years out of the schools to draw SS. She also put in 20+ years working at schools. She was a lunch lady. When she retired, both TRS and SS were reduced because of each other. She does not get 100% of either. It doesn't hurt us, but it kinda sucks.

[ColinR]

The withdrawal to go into TRS are mandatory. She can invest additional money into an IRA or a 403(b) on her own, if she wants to. It would be smart. TRS benefits are OK, but not huge. And they don't give COLA raises in retirement.

Thank you. That is what I thought.

[Abcdj]

My mother passed away in April. She was an school nurse for 20 yrs. She optioned for my dad to get the reduced continued payment after her death.
Well, after chasing the paper work trail since April. The fine folks at TRS still haven't gotten him his first check. Good thing he doesn't rely on it to live!

[rvd]

I'm entertained by the notion that those of us that don't teach work a 40 hour shift only, head home, feet up, drink a beer, every night. I can't even begin to calculate the hours over 40 I've worked in my career (without overtime pay). I can tell you I've pulled more that a few all-nighters to make a deadline, etc. If you want the minimum, work the minimum. If you want more, work more.

Now, I would like to know how much money is invested into the TRS by a teacher vs. the benefit at retirement. I honestly have no clue and my Dad was a teacher. I will tell you that I've put a significant chunk of my income into retirement most of my career. My employer added 3% for 15 of my 28ish years. It's going to work itself out for me but I had to pay attention, invest and plan.

In the office this morning so I'll give it a try...

Teachers pay 7.7% of their annual salary into TRS whether they want to or not. The retirement formula is not the same for all because of legislative changes that have been made but for people my age (50) most have to reach the magic # of 80 (years service + age), it's not as good of a deal for younger people. Your retirement pay is based off your best 5 years average salary and a multiplier of 2.3% for each year worked.

Example: 52 year old teacher has worked 28 years and they reach rule of 80 with a best 5 year avg at $60k.

28 years x 2.3 = 64%
.64 x $60,000 = $38,400 annually

If the teacher's average salary in those 28 years was $45,000, then they would have paid in $45,000 x .077 x 28 years = $97,020

If they live to be 80 that would be 28 years x $38,400 = $1,075,200 paid out from TRS in retirement.

As I said early in this thread, TRS is not a bad deal while it lasts Shane, please correct my math if I missed something

[Heath]

I thought is was an average of the teachers 5 highest years (or something like that)?

TRS is not terrible, but we have other avenues to invest for my wife instead of just relying on TRS.

[Cullstuff]

I thought is was an average of the teachers 5 highest years (or something like that)?

TRS is not terrible, but we have other avenues to invest for my wife instead of just relying on TRS.

For most, yes. For “grandfathered” people in tier 1, it’s the average of their 3 highest salaries.


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[tx_basser]

TRS needs to be done away with and transitioned to SS and commensurate increase in pay/salary to what a degreed professional makes in various service industries. There is no need for separate systems.

[Heath]

For most, yes. For “grandfathered” people in tier 1, it’s the average of their 3 highest salaries.

I should have read better. That is why I am not a teacher.

My wife is part of the grandfathered class so that is why I am familiar with the highest salaries part. Sucks for the teachers that came after her.