The Teachers’ Retirement Board declared a credit to the Defined Benefit Supplement and Cash Balance Benefit programs on May 9, 2019, for fiscal year 2017-18 due to the programs showing substantial investment earnings.
Amount of the credit
The credit will be applied to eligible active and inactive members who had a balance of credits (account balance) in the Defined Benefit Supplement or Cash Balance Benefit programs, or both, as of June 30, 2018.
All recipients will receive the credit at the following rates:
- 4.36% credit for funds in a Defined Benefit Supplement account
- 3.86% credit for funds in a Cash Balance Benefit account
How the credit is distributed
If you are an active or inactive member and eligible to receive the credit, the credit appears in your 2019 Retirement Progress Report.
If you were eligible to receive the credit but retired after June 30, 2018, but before May 9, 2019, you will receive a payment equal to the credit.
If you were eligible to receive the credit but began receiving an annuity on or after May 9, 2019, your Defined Benefit Supplement or Cash Balance annuity, or both, may be recalculated to include the credit.
You will receive an adjustment letter detailing the recalculation of your benefit.
If you were eligible to receive the credit but have since refunded your account, you will receive a one-time payment in 2019.
For additional information, see the Additional Earnings Credit Frequently Asked Questions.