CalSTRS Outlook

Making Sense of the Headlines
Volume 5, No. 3

CalSTRS Outlook is an email summary of the latest news releases and other items of interest related to CalSTRS benefits and services.

News release Ricardo Duran

The Teachers’ Retirement Board Elects Chair and Vice Chair
Harry Keiley is elected chair, Sharon Hendricks will serve as vice chair

WEST SACRAMENTO, Calif. – The trustees of the California State Teachers’ Retirement System (CalSTRS) today elected Harry Keiley board Chair and named Sharon Hendricks as Vice Chair for the 2014-2015 term.

News release Ricardo Duran

CalSTRS Selects ING U.S. as New Recordkeeper for Defined Contribution Program
ING U.S., which is rebranding as Voya Financial, is under contract for the next eight years

WEST SACRAMENTO, Calif. – The Teachers’ Retirement Board today selected ING U.S. as the new third party administrator, commonly called the recordkeeper, for the California State Teachers’ Retirement System supplementary savings plan, known as Pension2®.

Ask Jack Jack Ehnes

What is the purpose of the actuarial valuation?

Valuations operate akin to a measuring stick. They guide appropriate changes and decisions necessary to sustain the long-term viability of the fund. More specifically, the primary purpose is to analyze the sufficiency of future contributions from members, employers and the state to meet current and future obligations of the Defined Benefit Program.

Ask Jack Jack Ehnes

What exactly is the reason for the separation from service for 180 days or six months?

The separation from service requirement seeks to curb the practice of retiring from a position and drawing a pension benefit from that service while returning to the same or similar position and earning a salary in that position. This practice is often referred to as double dipping and was a major concern of the Legislature and the Governor as they discussed pension legislation last year.