Receiving Credit for Optional Service brochure - TRS - State of Illinois by yaofenjin


									                                                                                                      The following types of service do not qualify    instruction and tutoring service that was
             You can obtain additional credit toward your retirement through purchases                because they were not performed in a public      paid by a TRS employer.
             of optional service or repayment of refunds.                                             common school:
                                                                                                      •	 colleges or universities, and                 The member and the school district must
                                                                                                      •	 military instructional centers.               complete the Substitute or Homebound
Most optional service purchases have a             THIS Fund Contribution
direct relationship to certified teaching          For service performed on or after July 1, 1995,    Service requirements                             Service	 Certification	 form	 using	 actual	
in the public schools, but there are cer-          all active TRS members, except employees           Your out-of-system service must be followed      school records.
tain exceptions such as military service.          of state agencies, are required to make con-       by at least five years of creditable service
                                                                                                      earned with TRS, the Public School Teachers’     Leave of absence or involuntary layoff
In all cases, you must submit the appropriate      tributions to the Teachers’ Health Insurance                                                        You may purchase service credit for approved
                                                   Security Fund (THIS Fund) when making              Pension	 and	 Retirement	 Fund	 of	 Chicago	
documentation to TRS to purchase the credit.                                                          (CTRF),	or	the	State	Universities	Retirement	    leaves of absence or involuntary layoffs.
We urge you to do so at the earliest possible      an optional service credit purchase to help
                                                   finance the Teachers’ Retirement Insurance         System (SURS). The out-of-system service         A leave of absence is “approved” if:
opportunity to avoid disappointment. With                                                             cannot exceed two-fifths of your total cred-
the passage of time, records may become            Program. Active military service purchases                                                          •	 you	did	not	resign;
                                                   are an exception to this contribution rule.        itable service with TRS at retirement. The       •	 your	 employer	 promised	 renewed	
lost, destroyed, or much more difficult to                                                            overall maximum is 10 years.
obtain. Once reported to TRS and verified,         The THIS Fund amount will vary accord-                                                                  employment at the end of the leave; and
the qualifying event is a permanent part of        ing to the purchase year; it is calculated by      You may establish and pay for out-of-system      •	 your	employer,	through	its	board,	offi-
your record at TRS.                                using the same rate that was required that         service at any time. However, you must meet          cially approved your leave; or
                                                   year. For example, the 1995 THIS contribu-         the service requirements at retirement for       •	 your	 leave	 qualifies	 under	 the	 federal	
You are under no obligation to purchase                                                               the out-of-system service to be creditable.
optional service that you have reported            tion rate would apply for a 1995 maternity                                                              Family and Medical Leave Act, as certi-
to TRS.                                            leave optional service credit purchase. The        Reporting                                            fied by your employer.
                                                   payment must be made to the THIS Fund              The member, school district, and retirement      A layoff is involuntary if it is due to a reduc-
When to purchase                                   with a separate check.                             system must complete the Out-of-System           tion in force (RIF) authorized under the
Purchases of most service credit must be                                                              Service	 Certification	 form	 using	 actual	     School	 Code.	 An	 involuntary	 leave	 does	
completed before you retire. The only excep-       Out-of-system service                              school records.                                  not include a dismissal for cause or other
tion is credit for pregnancies and adoptions.      Illinois law does not permit credit for                                                             performance-related reasons.
In addition, federal tax laws do not permit        teaching service that is also used in any          Part-time teaching
                                                                                                                                                       To qualify, you must return to service under
your survivors to initiate or complete an          other statutory, public employee retirement        You may be eligible to purchase credit for       TRS or the State Universities Retirement
optional service purchase or refund repay-         system except Social Security or a military        part-time teaching if you worked part-time       System (SURS) after the leave or layoff for
ment after your death.                             allotment. You may not receive retirement          between July 1, 1969 and July 1, 1990. If        one year or the period of the leave/layoff,
                                                   benefits from two public pension systems           you worked in a permanent and continuous         whichever is less.
Cost                                               for the same years of service.                     position during the entire school term, you
Your cost for out-of-system service, part-time     The following types of full-time, part-time        have already received credit. If your service    Credit Maximum
teaching, unreported substitute teaching,          or substitute public school teaching qualify       was not permanent and continuous, you may        You may purchase a maximum of three years
homebound teaching, leave of absence,              as “out-of-system” service:                        purchase the credit.                             for all leaves of absence, involuntary layoffs,
involuntary layoff, pregnancy leave, or adop-                                                                                                          and absences due to pregnancy or adoption.
                                                   •	 other	states,	territories,	or	dependencies	     Reporting
tion leave credit is equal to the amount that          of the United States,                          The member and the school district must          Reporting
would have been required had the service           •	 Chicago	public	schools,	and	                    complete	the	Part-time	Service	Certification	    The member and the school district must
been earned under TRS, plus interest, usu-         •	 public	 common	 schools	 operated	 by	          form using actual school records.                complete	the	Leave	of	Absence	Certification	
ally at the rate of 6 percent, from the date the       the United States, such as a school on a                                                        form using actual school records. For an
contributions would have been due to the               military base.                                 Substitute and homebound teaching                involuntary layoff, a letter from the employer
date payment is made. The costs for military                                                          Before July 1990, substitute teaching service    indicating the RIF must be received.
service is specified within its section.           In addition, employment by a public agency
                                                   in professional speech correction or special       was not covered by TRS. You may, however,        Since July 1, 2001, approved leaves of absence
                                                   education in Illinois, another state, territory,   purchase credit for this service. In addition,   have been reported by your school district.
                                                   dependency of the United States qualifies.         you may purchase credit for homebound
Pregnancy or adoption credit                         before you retire. To qualify, your military       Obtaining a Form DD-214
You may purchase credit for periods of               service must have begun within 12 months           Written requests for duplicate form DD-214,
absence from a TRS-covered position due              of	teaching	service	under	TRS	or	the	CTRF,	
                                                     the	 plan	 for	 Chicago	 teachers.	 Credit	 is	
                                                                                                        must be signed and mailed to:                                      Receiving Credit
to pregnancy or adoption prior to July 1983.                                                               National	Personnel	Records	Center
To qualify, you must have returned to cov-
                                                     granted for actual military service as well as
                                                     for federally sponsored teacher training that
                                                                                                           (Military Personnel Records)                                    for Optional
ered employment with either TRS or State                                                                   9700 Page Ave.
Universities Retirement System (SURS) for
                                                     followed your discharge from the military.
                                                                                                           St. Louis, MO 63132-5100                                        Service
one year or the period you were away from                                                               Service canceled by a refund
teaching due to pregnancy, whichever is less.        Send us a copy of your U.S. Government
                                                     Form DD-214 or its equivalent.                     When you take a refund of your TRS contri-
If you were retired when the law took effect                                                            butions, your TRS membership ends and all
in 1995, you are permitted one opportunity           Cost                                               creditable service is canceled. This service
to purchase the credit. Although it is advan-        Your cost is equal to the contributions to         cannot be reinstated or used for calculating
tageous to purchase the credit as soon as            TRS that would have been required had              benefits until you:
possible, there is no deadline. Annuitants           you continued teaching. Interest is charged,
or members may purchase all or a portion             usually at the rate of 6 percent, from the date    •	 repay	the	entire	refund	with	interest	from	
of the credit to which they are entitled, but        the contributions would have been due to              the date the refund was made until the
annuitants may make only one purchase.               the date payment is made.                             date you repay the refund; and
                                                                                                        •	 complete	 one	 year	 of	 TRS	 creditable	
Credit Maximum                                       Military service NOT immediately following            service following the refund, or
You may purchase a maximum of three years            teaching                                           •	 complete	two	years	of	creditable	service	
for all leaves of absence, involuntary layoffs,      If you were not teaching in a position cov-           under a reciprocal retirement system.
and absences due to pregnancy or adoption.           ered	by	TRS	or	the	CTRF	at	the	time	you	
                                                     joined the military, you may be eligible to        Remember, Illinois law does not permit credit
Reporting                                            purchase up to two years of credit for your        for teaching service that is also used in any
Send us a completed Pregnancy Service                military service.                                  other statutory, public employee retirement
C er t i f ic at ion	 or 	 Adopt ion 	 Ser v ic e	                                                      system except Social Security or a military
Certification	 form	 and	 all	 required	 sup-        Reporting
                                                     Send us a copy of your U.S. Government             allotment.
porting documentation.
                                                     Form DD-214 or its equivalent.
Military service                                     Cost
You may purchase two types of military               The cost is based on the normal cost in
service:                                             effect on the date of application. This rate,
•	 military	 service	 that	 immediately	 fol-        which is determined by our actuaries each
    lowed Illinois public school teaching,           year, includes both employer and employee
    and                                              contribution costs. The rate is multiplied by
•	 military	service	that	did	not	immediately	        the salary for your first year of teaching after
    follow Illinois public school teaching.          military service.
You may purchase up to five years of                 The salary must be for a position that
credit, but only two may be for service that         required mandatory contributions to TRS.
did not immediately follow TRS-covered               Interest, usually at the rate of 6 percent, is
                                                                                                         Teachers’ Retirement System of the State of Illinois
employment.                                          added from the date of first membership in
                                                                                                        2815 W. Washington | P.O. Box 19253 | Springfield, IL 62794-9253
                                                     the system or when the contributions would
Military service immediately following               have been due, whichever is later, until the
                                                                                                           (800) 877-7896 | for the hearing impaired: (866) 326-0087
teaching                                             balance is paid.
If you were drafted or enlisted while teach-                                                                                                                                 Teachers’ Retirement System
ing, you may be able to purchase up to five                                                                       Printed by the authority of the State of Illinois.
                                                                                                                                  1M–bro18–8/12                                  of the State of Illinois
years of credit. This credit must be purchased

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