UNDERSTANDING YOUR RETIREMENT ACCOUNT

1. By Debra Schmitt, Client Services Manager Brandi Smith, Retirement Planning Consultant Tammie Miller, Retirement Planning Consultant Liz Hale, Retirement Planning Consultant UNDERSTANDING YOUR RETIREMENT ACCOUNT

2. OUTLINE • MEMBER SERVICE STATEMENT by Brandi Smith • VERIFICATION PROCESS by Debra Schmitt • RETIREMENT PROJECTION by Tammie Miller • MyTRS MEMBER PORTAL by Liz Hale

3. Brandi Smith Retirement Planning Consultant YOUR MEMBER SERVICE STATEMENT (Service & Salary History)

4. MEMBER SERVICE STATEMENT

5. REGULAR ANNUAL COMPENSATION TRS SALARY (715:10-13-1) = REGULAR ANNUAL COMPENSATION INCLUDES: • Employer-paid fringe benefitsprovided to ALL qualified members of the employer. EXCLUDES: • Flexible Benefit Allowance (Section 26-105) • National Board Certification. • Allowances or expense reimbursements • Payments for termination/retirement or payment for unused leave

6. SERVICE CREDIT • Depends on Year Service Performed • Service Through FY2013 (through 7/1/13) • Six months (120 work days) = 1 year credit. • Fractions must be combined into at least 6 months to receive a year of credit • Exception: 90-Day (0.75) Round-up provision • Since FY2014(since 7/1/13) • All fractions are used in retirement calculations.

7. DOCUMENTED SICK LEAVE = Wild Card • Sick leave may used to reach eligibility under Rule of 80 or Rule of 90. • May be combined with service < FY2014. • 90 Day (.75) Round-Up on service < FY2014. • After combining fractions, you have a .75 • Must have 120 days of sick leave at retirement. • Must complete the final contract year. • May be included on retirement estimates. • Same tier value as earliest membership year. • Last year to be worn away in EESIP

8. Sample Member MEMBER SERVICE STATEMENT(Personal History)Retirement Formula:Service x 2% x Salaries 2.00 6 Years

9. MEMBER SERVICE STATEMENT: ADDITIONAL INFORMATION • Reflects Service for which TRS received money • Contributory/Purchased Service • Does not reflect sick leave credit • Withdrawn Money = Withdrawn Service • Retirement is credited with years of contributions, whereas SDE credits with years of experience. • Provides History from Point of Origin • Does not take EESIP into account • If applicable, EESIP will be reflected on your projection.

10. MEMBER SERVICE STATEMENT

11. FINAL AVERAGE SALARY (FAS) ON PROJECTION FAS – Only uses Tier Totals From your Member Service Statement If FAS Salaries Continue To Grow, Then FAS is a Weighted Average. If FAS does not change, then only the salary amount listed in the UNCAPPED Tier is used.

12. Debra Schmitt Client Services Manager VERIFICATION PROCESS (Verifying Service & Salaries)

13. Has TRS Received Remittances On All Eligible Employment? If you have significant salary increases or decreases, then TRS must know why. • Position change? • Change in the Number of Hours Worked/Week? • Extra Duty/Secondary Employment? • If TRS received less than 12 monthly remittances, was it because of breaks in service? “The member shall not receive credit for a year of service until the balance of contributions … are received by TRS.” 715:10-13-2

14. The Verification Form • Fiscal Year(s) in question will be provided by TRS. • Information requested by TRS should verify the salary and/or explain the issue. • If clarification is needed, feel free to contact TRS.

15. Billing Statement for Back Payment • If information indicates that contributions are due, then TRS will send you a Billing Statement. • To determine if a billing statement is worth paying, request hypothetical estimates with and without payment of a bill. • Regardless of due date listed on billing statement, bill must be paid at least 90 days prior to retirement. DUE DATE

16. Billing Statements Due 90 Days Before Retirement

17. Employer Retirement Verification (ERV):ERV-1. Due 60 Days Before RetirementERV-2. Due 10 Days After Retirement

18. THINGS I WISH I HAD KNOWN Delaying your Audit could cost you money. Document career changes with TRS as they happen.

19. Tammie Miller Retirement Planning Consultant YOUR RETIREMENT PROJECTION

20. PERSONAL AND CONTACT INFORMATION • IS YOUR ADDRESS CURRENT? • Submit Personal Data Form, OR • Submit the top part of a PIV. • Client/Member ID or Q number. • Use in lieu of Social Security Number

21. RETIREMENT DATES Can I have a projection calculated for a different retirement date? Not for a 10-year Projection. • July 1 Retirement Date – Begins a new Fiscal Year. • If contract completed by end of May, use same calculations for June 1 Retirement Dates.

22. 10-Day Grace Period • Employment: If your last day of your employment contract is done by the 10th of the month, you may retire the 1st day of that same month. • Age: If you reached that age by the 10th day of the month, TRS considers you that age as of the first day of that same month.

23. PURCHASED SERVICE CREDIT Does purchased service change my Combination from Rule of 90 to Rule of 80? • Not often, but there are exceptions. • See Flyer: Purchased Service Credit

24. EARLY RETIREMENT MULTIPLIER Should I wait for my birthday to retire? • Yes, if multiplier is less than 100%. • Each month of age increases this factor, until you reach 100%, regardless if you are working or not. • No, if multiplier is 100% • Age will not be a factor in your retirement.

25. EESIP & MID-YEAR RETIREMENT • WHEN DOES “WEAR AWAY” BEGIN? • JULY 1. If you are eligible to retire mid-year you must wait until July 1 to begin working to “wear away” the capped years.

26. IS THIS MY TAKE-HOME PAY? • GROSS MONTHLY BENEFIT : 5 options • Possible Deductions: • Professional Dues • Insurance premiums • Pay some federal and state taxes • CONTACT YOUR TAX PROFESSIONAL

27. TRS INSURANCE SUPPLEMENT • 10 years service = TRS Supplement $100- $105 • Please contact your insurance provider (state or other) for insurance-related questions. • Courtesy Handout: 2020 State Insurance Rates

28. PROJECTIONS - FOR PLANNING PURPOSES PROJECT I ONS

29. Liz Hale Retirement Planning Consultant MyTRS Member Portal

30. MyTRS MEMBER PORTAL Over 40,000 Registered Access member portal through TRS link: https://www.ok.gov/TRS

31. MEMBER PORTAL REGISTRATION

32. REGISTRATIONIS EASY! • Last Name • Last 4 digits of your Social Security Number • Date of Birth • Email Address (Personal) • Password & Confirm • Scroll Down to REGISTER

33. Personal Identification Number (PIN) • 4-Digit PIN • PIN Letter is Mailed to Your Current Address. • This time click on Log In Tab

34. LOG IN IS A SNAP! • EMail Address (User Name) • Password • 4-Digit PIN (1st Time Only)

35. My TRS MEMBER PORTAL ACCESSIBLE ANY TIME • SECURE FORMAT TO EDIT PERSONAL/CONTACT INFORMATION: • Address • Phone Numbers • Email Address

36. PRINT ACCOUNT BALANCES

37. MEMBER SERVICE STATEMENT

38. PROJECTION OF RETIREMENT BENEFITS

39. BONUS: INSURANCE SUBSIDY

40. RETIREE ACCESS:1099 TAX FORMS (Any Year)

41. ****BRAND NEW**** INCOME VERIFICATION

42. ACTION ITEMS – 3 P’S: • PACKET – • Review the information provided in your packet. • PIV - • Send in your PIV now, or at least 11-12 months before you plan to retire. • PORTAL– • Update Address BEFORE you register. • Confirm your PIN by logging in ASAP.