The end purpose of TRS Illinois is to offer the above stated benefits to members who qualify within the plan. Formed by the 1939 General Assembly, the organization is funded and sustained by the member contributions. Active and regular members are expected to contribute 9.4% of earnings and this is how they are allocated
• 7.5 % for retirement benefits
• 1% allocated for survivor benefits
• 5% is allocated for projected increases (post-retirement )
• 4% is for funding any early retirement options.
This is as of the month of February 2010.
The TRS Illinois is open to substitute, full time, and part time teachers employed all public schools excluding Chicago city. Teaching positions requiring certification by the education board are the only ones eligible. By June 2009, the Teachers’ Retirement System’s public information summery indicated more than 169,000 active and regular members. At the same time it reported more than 101,000 dormant members. While dormant members are covered by a legal right to benefits, they currently don’t receive the same.
Teachers’ Retirement System can get monthly retirement annuities as soon as active service is terminated consistent with the retirement age. If for instance a member is aged sixty two, he needs at least 5 yrs of service recorded. Those retiring at sixty need ten years of service. Discount annuities apply with the lowering of age. Calculations of retirement benefits are done based on the years a member has served and their average salary.
TRS Illinois gives disability benefits for non–occupational and occupational disabilities. Members enjoy express eligibility to these benefits regardless of the years they served so long as they suffered disability during employment. The benefits here equal 60% of a member’s yearly salary minus the payments out of workers’ compensation claim. Benefits for non-occupational disability are accessible by members boasting at least 3 yrs of full time service. Substitute work or part timers need three hundred and forty hours.
The Illinois TRS had an annuity payroll (monthly average) of 308 Million US Dollars as of 2009 June. At least eighty four thousand members got retirement annuities. Close to nine thousand survivor benefits payments were done and just over a thousand disability payments happened.
TRS Illinois Patrons
The funding for TRS Illinois as a state pension plan for educators is done by
• Members- They constitutes 13% of TRS funding.
• Employers – Employers covered by TRS are also expected to give to the program to cover 2.5% of the funding. These contributions go to the early retirement options and those members paid by from federal funds.
• The State- Under the statutory obligation, the state is also supposed to contribute to TRS. It made close to 30.0% of the total funding as of 2010. The state has sold pension bonds in order to meet its TRS obligations on a number of occasions.