Destination Retirement San Patricio County Plan Year 2019 TCDRS - - PowerPoint PPT Presentation
Destination Retirement San Patricio County Plan Year 2019 TCDRS Does Retirement Right One of the best-funded plans in the country Features keep us financially strong Savings-based benefits Responsible plan funding Flexibility
Destination Retirement
San Patricio County Plan Year 2019
TCDRS Does Retirement Right
One of the best-funded plans in the country Features keep us financially strong
– Savings-based benefits – Responsible plan funding – Flexibility and local control
How the Plan Works
How Your Plan Works
You save for your
automatically.
deposited into your TCDRS account each pay period.
Savings grow at an annual, compounded rate
You earn a lifetime benefit.
balance at retirement + employer matching, set at $2.00 per dollar by your employer
Compound Interest Pays Off
$0 $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 Year 5 Year 10 Year 15 Year 20 Year 25
Cumulative Interest Cumulative Employee Deposits
Lifetime Benefit
Fixed Monthly Benefit
Age
+
Employer Matching
Total Retirement Funds
Account Balance Benefit Payment Option
Life Events And Your Benefit
Naming a Beneficiary
You can name:
– One or multiple beneficiaries, as well as alternates – Minor children, along with a custodian – Your estate – Or a charity or other organization
If no beneficiary on file, TCDRS will pay benefit to spouse (if married) or estate Update beneficiaries at www.TCDRS.org
Service Time and Eligibility
Service Time
One TCDRS deposit
=
One month of TCDRS service time
Other Ways to Earn Service Time
Multiple TCDRS Accounts Military Service Time
Proportionate Retirement Program
ERS (State of Texas) JRS (Courts) TRS (Schools) TMRS (Select Cities) COA (City of Austin)
Survivor Benefit
Earned after 4 years of TCDRS service Gives your beneficiaries the option to receive a lifetime monthly benefit from your account, if you were to pass away before retirement Beneficiaries don’t have to wait until you would have become eligible to retire Gives loved ones peace of mind
Vesting
Vested after 10 years of service Set by your employer Means you’ve earned the right to a lifetime benefit when you’re eligible and choose to retire
Retirement Eligibility
Age 60 and 10 years Age plus Years of service = 80 Any age and 30 years
Age Service
* Employee must be vested
Leaving Employment
Keep money with TCDRS. + 7% interest + Lifetime benefit possible Rollover
– Forfeit Lifetime Benefit & Employer Matching + Avoid paying taxes
Withdraw
– Forfeit Lifetime Benefit & Employer Matching – Pay significant taxes
Ready to Retire
Sources of Retirement Income
Part-time Work Personal Savings Social Security TCDRS
Watch Our Retirement Videos
Watch our “Am I Ready to Retire?” video. Visit www.TCDRS.org/MemberVideos for all our member videos.
Online Retirement Resources
Estimate Your Benefit
Online Counseling
www.TCDRS.org/OnlineCounseling
– Learn more about your benefits – Receive personalized estimates – Review benefit payment options
All you need is a computer or mobile device, and an internet connection. No webcam required!
Pick Your Benefit Payment Option
7 options to choose from at retirement All options provide a lifetime monthly benefit Difference in monthly amounts reflect possible payments to beneficiary Consider if someone will need your benefit if you pass away before them
Single Life Option
Single Life Option
Lifetime benefit for you Highest benefit payment amount Does not provide beneficiaries a monthly payment after you pass away
Guaranteed T erm Options
Guaranteed T erm Options
Lifetime benefit for you Provides your beneficiaries with payments until the end of either a 10- or 15-year term, if you pass way before the term ends
– Term starts at your retirement date
Dual Life Options
Dual Life Options
Lifetime benefit for you Lets you transfer your lifetime benefit to ONE beneficiary when you pass away Beneficiary will receive either 50%, 75% or 100% of your monthly benefit payment for the rest of their life
– 100% to Beneficiary With Pop-Up option “pops” your benefit up to the Single Life amount if your beneficiary passes away before you
Monthly benefit estimate example
Single Life Options Member Beneficiary Single Life $2,000 for life $0 10-Year Guaranteed Term $1,950 for life $1,950 (thru 10/2030) 15-Year Guaranteed Term $1,900 for life $1,900 (thru 10/2035) Dual Life Options 50% to Beneficiary $1,850 for life $925 for life 75% to Beneficiary $1,800 for life $1,350 for life 100% to Beneficiary $1,750 for life $1,750 for life 100% to Beneficiary (with Pop-Up Option) $1,700 for life $1,700 for life
Retirement date: 10/31/2020
Pick Your Retirement Date
Retirements are effective the last day of the month you choose to retire. You will receive the interest through the end
Mind the gap!
– Your retirement benefit will direct-deposit into your bank account the last business day of the following month.
Select Your Withholding
Retirement benefits count as income. Consult the IRS or a tax advisor. You can change your withholding at any time at www.TCDRS.org. Call us at 800-823-7782 to see how withholding will impact your benefit. TCDRS will provide you with a 1099-R each year for your tax return.
Submit Your Retirement Application
Consolidated Service Retirement Application (TCDRS-22) NEW! Apply for retirement online
Return to Work
There must be:
– No prior agreement to be rehired – AND a one-calendar-month break in service.
Non-compliance results in suspension of benefits plus repayment of TCDRS money. State and federal law requires signature upon retiring certifying awareness and compliance.
How to Reach Us
Visit us www.TCDRS.org Call us 800-823-7782 Email us memberservices@tcdrs.org Follow us
www.TCDRS.org
Questions?