Cal STRS and You What brings you to
Cal. STRS and You
What brings you to Cal. STRS today?
Today’s Discussion • The Cal. STRS Hybrid • Maintaining your standard of living • What Cal. STRS provides • Cal. STRS and other retirement resources
Today’s Tools Session My Next Summary: Steps: ØYour personal Ø Interactive information workbook ØRefer throughout Ø Guidetofor today’s the session Ø Action items
My Next Steps
Did you know Cal. STRS is a hybrid retirement system?
Your Cal. STRS Retirement at a Glance Ø Traditional Defined Benefit Ø Defined Benefit Supplement Ø Defined Contribution
Section 1 My Member Information
Section 1: My Member Information
Section 2 My Defined Benefit Retirement
How much is my Defined Benefit retirement?
Defined Benefit Retirement Formula * *Taxable income
Section 2: My Defined Benefit Retirement
What do I need to maintain my standard of living?
Minding Your Gap Worksheet
How Can I Bridge My Gap? • Extend your career • Purchase service credit • Build your supplemental account • Consider additional investments
Extending My Career
Section 2: My Defined Benefit Retirement
Purchasing Service Credit
Purchasing Service Credit Ø Must be paid in full before retiring
Section 2: My Defined Benefit Retirement
Cal. STRS. com | Calculator • Request date • Date of birth • Years to purchase • Highest salary
What other retirement resources do I have?
Section 3 Concurrent Retirement
Section 3: Concurrent Retirement
Section 4 My Defined Benefit Supplement Account
What is the Defined Benefit Supplement account?
Building Your Defined Benefit Supplement Account • 2001– 2010: One quarter of 8 percent member contributions went to the Defined Benefit Supplement (DBS) account • 2002–Current: Contributions from earnings in excess of 1. 000 year of service credit go to your DBS account: Ø 8 percent member contributions (9 percent for 2% at 62) Ø 8 percent employer contributions • Compounded interest (3. 12% in 2019– 2020) • Benefit based on cash balance
Section 4: My Defined Benefit Supplement Account
Section 5 My Cal. STRS Pension 2 Account and Other Investments
Do I have additional savings or investments?
Cal. STRS Pension 2 ØTax-deferred retirement savings ØLow and transparent costs Ø No commissions, load fees or For a complimentary statement surrender charges comparison, call 888 -394 -2060, option 2. Ø Flexible investment options
Section 5: My Cal. STRS Pension 2 Account and Other Investments Ø Refer to your “Minding Your Gap” worksheet for your percentage.
My “Gap” 3% 70% 2% 8% 2% Cal. STRS retirement benefit Deferred compensation (Cal. STRS Pension 2) Defined Benefit Supplement Purchased service credit
Workshops Financial Awareness Series Save for Your Future • Budgeting, savings and investing, credit and debt Plan for Your Future • Retirement lifestyle, expenses, income, obstacles Protect Your Future • Retirement distributions, maximizing income, adjustments, protection
What else does Cal. STRS provide?
Section 6 My Disability and Survivor Benefits
Disability and Survivor Benefits
Section 6: My Disability and Survivor Benefits
Section 7 Health Benefits, Medicare and Social Security
Section 7: Health Benefits, Medicare and Social Security
What are my Cal. STRS resources?
My Next Steps
Cal. STRS Publications
My Next Steps
my. Cal. STRS Ø Secure messaging Ø Address changes Ø Beneficiary elections Ø Tax withholding changes Ø Retirement Progress Report
Retirement Progress Report Ø Service credit Ø Account balances Ø Retirement estimates Ø Beneficiary information
Cal. STRS. com Ø Calculators Ø Forms and publications Ø Educational videos Ø Financial resources
Contact Cal. STRS
Thank you for attending
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