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Remember: You must enroll now to receive a pension later.

Your UFT pension has:

• A “defined benefit,” which guarantees you a set monthly income for life upon retirement (versus the “defined contribution” plans common in industry, whose benefit is not guaranteed.)

• An automatic cost-of-living-adjustment (COLA), preserving your pension’s value.

Your Financial Future

Your Pension (TRS)

With pension benefits eroding nationwide, your teacher’s pension becomes more valuable every day. By enrolling in the pension system now – with a simple application – you will:

  • Build a pension package that could become your largest financial asset down the line.
  • Gain two key protections against the unexpected while you’re working:

– A death benefit to protect your beneficiaries.
– A special pension in case you need to retire due to a disability.

As a certified, appointed teacher, you are automatically a member of the Teachers’ Retirement System (TRS) and as of 2008 all new teachers can retire at age 55, and 27 years of service.

  • You will contribute 4.85 percent of your salary toward your pension through payroll deductions for your first 10 years of credited service, and 1.85 percent for the next 17 years.
  • Deductions usually begin within two months of your first paycheck. .
  • These contributions lower your taxable income.
  • Check your pay stub for a “TRS 414H” deduction.

Steps to Take Now

1. Shortly after your pension deductions start, you will receive a welcome kit of materials from TRS, which includes an enrollment form.

  • You must complete this enrollment form and return it to TRS. Delaying enrollment may affect benefits for you or your beneficiaries.
  • Call TRS at 1-888-8NYCTRS or your UFT borough office if you do not receive this kit within three months.

2. If you previously were a member of another New York State public pension system, you may be eligible to purchase or transfer credit for your prior service when you become a member of TRS. Call a pension consultant in your UFT borough office for help.

Your Tax-Deferred Annuity (TDA)

Another smart move toward a secure retirement is participating in the voluntary tax-deferred annuity (TDA) program. This is a supplemental retirement plan that enables you to invest money for your future on a tax-deferred basis through automatic payroll deductions.

  • Income taxes are deferred on contributions and earnings until they are withdrawn.
  • You have three investment choices: a guaranteed fixed investment and two variable funds.
  • When you retire you can withdraw all or part of these funds or turn them into an annuity.
  • The application is included in your TRS welcome kit.

Learn More About Your Pension

To keep you up-to-date on pension matters, the UFT offers an array of services throughout your teaching career:

  • Frequent articles in the New York Teacher.
  • PensioNews, our pension newsletter, including a special start-of-school issue for new teachers that usually is distributed at the new teacher orientation meeting.
  • Speakers for chapter meetings or faculty conferences.
  • Pension consultants in each borough office available for telephone questions or for personal interviews by appointment.
  • Special start-of-school boroughwide meetings.
  • Pension clinics.
  • Three elected teacher-members on the Teachers’ Retirement Board to represent your interests.

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