TCERA is a retirement system, organized under the 1937 Act, County Employees Retirement Law, which provides retirement, disability, and death benefits to the employees, retirees, and form
Most of your monthly retirement benefit is taxable. This is because, all retirement contributions you have made since mid-way through 1987 (except for employees of the Strathmore Public Utility District) are taken on a pre-tax basis. All interest earnings on your retirement account is also taxed deferred. All of your Employer's contributions, which you receive in the form of a monthly pension at retirement, are taxable. The only portion of your monthly benefit which is not taxable are those retirement contributions which you paid prior to approximately September of 1987. During your retirement interview, retirement staff will review this information with you and provide you with information regarding income tax reporting for tax exempt retirement income after retirement.
Yes. As required by the County Employees Retirement Law of 1937 (the '37 Act), all members of the retirement system pay contributions to the retirement plan. Contributions are made through bi-weekly payroll deductions from your paycheck. Since 1987, retirement contributions have been taken on a tax-deferred basis.This means that your retirement contribution is deducted from your bi-weekly salary before income taxes are withheld from your paycheck. This has the effect of lowering the amount withheld for federal and state income taxes.
The Retirement Office sets up a separate retirement account for each member of the retirement system. All of your contributions accumulate in this account, identified by your name and social security number.
It is important to note that the Employer contributions made toward your future retirement are not placed with Employee contributions in your account. This is because you are not entitled to any of the Employer contributions made on your behalf until you actually retire from service.
There are three sources of funding for TCERA retirement benefits: Employer contributions, Employee contributions, and earnings on investment of the assets of the retirement system.
You can obtain the amount of your retirement account balance by sending a written request to the Retirement Office. The request must include your social security number and your signature.Due to confidentiality requirements imposed by the law, Retirement Office staff may not provide account balances over the telephone.
If you have an immediate need for your current account balance, you may visit us at the Retirement Office.You will be asked for picture identification and then a staff member will obtain the information for you.
Each year, the Retirement Office sends a Statement of Member's Account to all members of TCERA, except retired members.This statement shows the balance in your account as of December 31st of the preceding year.The statement shows how much you have contributed, the total interest earnings on your account and the annual interest rate for the year ending December 31st.It also lists the beneficiary that you designated for your account.
No, not at the present time.Employee contribution rates are set by law.If you wish to increase your retirement savings, your may want to ask you department payroll clerk about enrolling in one of the deferred compensation plans offered by your Employer.These deferred compensation plans are not connected with TCERA in any way, but they do provide you with another method of saving for your eventual retirement.Contributions to a deferred compensation plan are also on a tax-derred basis.
Yes. Twice a year, the Retirement Office posts interest to your retirement account. In accordance with the County Employees Retirement Law, interest is posted on the prior six month's balance in your account as of June 30 and December 31. The rate of interest posted to your account depends on the investment performance of the overall pooled assets of the retirement system. The plan's assumed interest rate is set by the Board of Retirement.
Yes. The retirement plan maintains a Supplemental Retirement Benefit Reserve (SRBR) which is used to fund additional benefits for retirees. The reserve is funded almost entirely out of "excess" earnings that occur when TCERA's investment performance is higher than expected. No employer or employee contributions are required to go into the SRBR.
Unlike your basic retirement allowance, benefits paid from the SRBR are not guaranteed. Even so, the Retirement Board has taken steps to make sure that funds from the SRBR will be available for many years.
For more details on the SRBR benefits, return to the area listing TCERA's various publicationa and click on the one entitled "Supplemental Retirement Benefits".
Retirement Eligibility Tiers 1-3:
If you are a General member, you must be at least age 50 to retire and have at least ten years of retirement service credit. However, a general member in Tiers 1-3 with 30 years of service may retire, regardless of age. A Safety member in Tiers 1-3 with at least 20 years of service may retire, regardless of age. Also, any Tier 1-3 member who reaches the age of 70 may retire, even if the member has less than ten years of service credit.
Retirement Eligibility Tier 4:
If you are a General member, you must be at least age 52 to retire and have at least five years of retirement service credit.Safety members must be at least age 50 and have earned at least 5 years of retirement service credit. There are no age or service exceptions for Tier 4 members.
