Indiana State Teachers' Retirement: Your Guide to a Secure Future

Understanding Indiana's Teachers' Retirement System (TRS)

Indiana's Teachers' Retirement System (TRS) is a comprehensive retirement plan designed to provide financial security to educators throughout their careers and retirement years. With over 100,000 active members and 70,000 retirees, TRS is one of the largest public employee pension funds in the state.

Types of Retirement Plans

TRS offers three primary retirement plans:

• Defined Benefit Plan (DBP): A traditional pension plan with guaranteed monthly payments for life.
• Defined Contribution Plan (DCP): A hybrid plan that combines employer contributions and investment options.
• Cash Balance Plan (CBP): A hybrid plan that combines elements of both DBP and DCP plans.

Benefits and Eligibility

Benefits:

• Monthly retirement payments
• Health insurance subsidies
• Life insurance
• Disability benefits
• Survivor benefits

Eligibility:

• Must be a public school educator in Indiana
• Must have at least 5 years of continuous service
• Must be at least 60 years old (or 58 with 30 years of service)

Calculating Your Retirement Benefits

Your TRS retirement benefits are based on the following factors:

• Years of service
• Salary
• Plan type

The formula for calculating DBP benefits is:

Monthly Pension = (Years of Service) x (Average of Highest 5 Years' Salary) x (2.5%)

Investment Options

TRS offers a wide range of investment options through its TRS Choice program. These options include:

• Target-date funds
• Mutual funds
• Exchange-traded funds
• Variable annuities

Members can choose from several pre-designed portfolios or create their own customized investment strategy.

Tips and Tricks

• Contribute as much as you can to your retirement account. The more you contribute now, the more you will have in retirement.
• Take advantage of tax-deferred growth. TRS contributions are tax-deferred, meaning you pay taxes on your withdrawals in retirement rather than when you contribute.
• Consider investing in a Roth IRA or 403(b) plan. These retirement accounts offer tax-free growth on withdrawals in retirement.
• Plan for your retirement as early as possible. The sooner you start saving, the more time your investments have to grow.

Why TRS Matters

TRS is a vital part of the financial well-being of Indiana's teachers. It provides:

• Financial security: TRS benefits help teachers maintain their standard of living in retirement.
• Peace of mind: Knowing you have a secure retirement income can reduce stress and anxiety.
• Recruitment and retention: A strong TRS program helps attract and retain qualified educators.

How to Apply

To apply for TRS benefits, you must:

1. Complete an application form (TRS-1)
2. Submit proof of identity and age
3. Provide documentation of your years of service

Contact Information

Indiana State Teachers' Retirement System
P.O. Box 26260
Indianapolis, IN 46226
Phone: (317) 232-9200
Website: www.trs.in.gov

Additional Resources

• TRS Member Handbook
• TRS Investment Guide
• TRS Retirement Estimator

Tables

Table 1: TRS Membership Statistics

Table 2: Retirement Plan Comparison

Table 3: Investment Options

Table 4: TRS Benefits