If you are nearing age 50 or are within a few years of your projected retirement date review your current financial status to plan for your final career years and retirement.

Retirement Counseling

CalSTRS Workshops

CalSTRS offers workshops to educate members about CalSTRS benefits as well as financial and retirement planning. Attend a workshop early in your career to start your retirement financial planning. Then attend a workshop within five years of retiring to ensure a comfortable retirement.

Workshop schedules are available on CalSTRS.com, at school sites, district offices or county offices of education.

Benefit Counseling Appointments

Preretirement benefit counseling appointments should be scheduled at least six to 12 months before your planned retirement date.

Social Security

CalSTRS members do not pay into Social Security. Two Social Security provisions, the Windfall Elimination Provision and the Government Pension Offset, may reduce your Social Security benefit if you expect a CalSTRS benefit or disability benefit in addition to a Social Security benefit.

You can calculate (External Link) the potential impact of these provisions online or find additional information:

• In the publication Social Security, CalSTRS and You
• By contacting the Social Security Administration (External Link) online or at 800-772-1213

Reduced Workload Program

The CalSTRS Reduced Workload Program allows eligible members to reduce their workload from full-time to part-time duties defined as a minimum of 50 percent of full time for up to 10 years, normally the last 10 years before retirement. To participate, your employer must offer the program.

You will receive full-time service credit while working less than full time. At retirement, your benefit will be calculated as though you continued to work full time, including determination of final compensation.

To be eligible for the program, you must:

• Be age 55 or older.
• Have been employed full time for a minimum of 10 years performing creditable service.
• Have been employed full-time performing creditable service five consecutive years immediately before entering the program.
• Have an agreement to reduce workload in effect at start of school year.

If you are required to work at least 50 percent time for full-time service, service credit for the year will be calculated on actual time worked. Failure to work at least 50 percent as required by the program can have significant consequences.

See the Member Handbook for an example and more details on the program.

Retiring from Other Public Retirement Systems

Defined Benefit Program members age 55 or older who are also eligible to retire from certain other California public retirement systems may retire with less than five years of CalSTRS service credit if they retire from both systems concurrently.

Other public retirement systems in California:

• Legislators' Retirement System
• California Public Employees' Retirement System
• San Francisco Employees Retirement System
• University of California Retirement System
• Systems established under the County Employees' Retirement Law of 1937

For more information on concurrent retirement, see the Member Handbook.

Preretirement Election of an Option

If you are eligible to retire, you may make a Preretirement Election of an Option to ensure a monthly lifetime income for another person or persons if you die before retirement. When you elect an option, your monthly benefit will be reduced from the Member-Only Benefit.

Before electing a preretirement election of an option, understand the advantages and consequences, including the reduction to your Member-Only Benefit. CalSTRS has a number of forms related to canceling or changing your option available online.

Effect of Preretirement Option Election

Example of a member who chooses an option before retirement and one who waits until retirement to choose an option:

Advantages of a Preretirement Election of an Option

If you should die before retirement and you chose an option beneficiary or beneficiaries, they will receive a lifetime monthly benefit. The benefit begins immediately on your death, regardless of the ages of your beneficiaries.

In most cases, your reduced retirement benefit will be higher if you make a preretirement election of an option before retirement than if you wait and elect one at the time of retirement (see examples above).

If you become disabled after making a preretirement election of an option and you have a disability benefit under Coverage A, you may retain the option election to provide a monthly benefit to your option beneficiary.

Disadvantages of a Preretirement Election of an Option

If you cancel or change your preretirement election of an option before retiring or at the time of retirement, your retirement benefit may be reduced for life. If your option beneficiary dies before you retire and you had elected an option, the election will be automatically canceled and your retirement benefit may be permanently reduced.

Providing Signatures

Your spouse or registered domestic partner must sign the Preretirement Election of an Option form or you must complete and return the Justification for Non-Signature of Spouse or Registered Domestic Partner form with your preretirement election.

If your spouse or partner does not sign the form or we do not receive the Justification for Non-Signature of Spouse or Registered Domestic Partner form, your preretirement election will not be accepted and it will not be effective until the requirements are met.

Information on registering a domestic partnership is available on the California Secretary of State's website.

Change or Cancellation of an Existing Preretirement Election of an Option

CalSTRS must receive your Preretirement Election of an Option or Preretirement Compound Election form no later than 30 days from your signature date.

If you are an active member, the effective date of your option change is your signature date.

If you are newly retired, CalSTRS must receive the form no later than 30 days after the date your first benefit payment is issued byCalSTRS and the effective date of your option change is the day prior to your retirement date.

A preretirement election of an option is canceled automatically if you:

• Elect a new option
• Elect a new option beneficiary or beneficiaries
• Your option beneficiary predeceases you

If you cancel your preretirement election of an option, an assessment may apply and will be calculated at retirement. The assessment will reduce your monthly retirement benefit for life.

The factors in effect on the cancellation date of your preretirement election of an option will be used to calculate the assessment. The assessment factor is based on:

• Selected option
• Amount of time the preretirement election was in effect
• Age at the time of election and cancellation
• Whether you have Coverage A or Coverage B
• Whether your option beneficiary is your spouse or registered domestic partner

Meet with a CalSTRS benefits counselor to discuss the possible effects a preretirement change or cancellation may have on your retirement benefit. Contact CalSTRS at 800-228-5453 if you have questions.

Date of Birth Verification

Under some circumstances, we will request verification of your birth date or your option beneficiary's birth date. Acceptable documentation includes clear photocopies of:

• Certified birth record
• Passport ID page
• Certain military IDs

If a name has been changed from the name shown on the record of birth, a copy of the marriage certificate or court order documenting the change is required. Send clear, unaltered photocopies. Contact CalSTRS at 800-228-5453 if you do not have any of these records.