CALSTRS RETIREE PAID THROUGH ACCOUNTS PAYABLE Process for STRS Retirement Desk

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1 CALSTRS RETIREE PAID THROUGH ACCOUNTS PAYABLE Process for STRS Retirement Desk CalSTRS retirees are subject to a yearly (July I -June 30) limit on earnings (ED Code ). Districts and COE's are responsible to report tbe creditable earnings of retired members to CalSTRS. Please see ED Code for what constitutes creditable service. When a contract for professional services is submitted to the Business Office for a retired CalSTRS member the COE process is as follows: Contracts will come from the Director of Fiscal Services. Check membership via social security number on REAP. Print out REAP account screen and attach to contract. Return the contract to Director of Fiscal Services. Normally, the contract is not moved forward and the retiree is paid through payroll. If an exception is made, the Director of Fiscal Services will inform accounts payable to forward the invoice to the retirement desk. If member is retired, any invoices, along with the CalSTRS Retiree Earnings paid through Accounts Payable Form (see attached form), will be forwarded to retirement desk for reporting. The invoice an1ount will be included on the next CalSTRS retirement report. The date of service on the retirement report will be when "earned" not when paid. It is the employee's responsibility to keep track of their creditable earnings, not the employer. The employer must inform the retiree of the annual earnings limit and that these earnings are subject to the limit. The Director of Fiscal Services will inform the department and the department will inform the retiree. COUNTY RESPONSIBLITIES When a district has a CalSTRS retiree that they have paid through accounts payable the district must submit the CalSTRS Retiree Earnings paid through Accounts Payable Form along with a copy of the invoice to the Sonoma County Office of Education STRS Retirement desk. The invoice amount will be reported on the next CalSTRS retirement report with the appropriate earning dates.

2 CALSTRS RETIREE EARNINGS PAID THROUGH ACCOUNTS PAYABLE Date: To: SCOE Retirement Desk / Carol Mahan / Fax# From District: Contact Person: Phone number: Address: CalSTRS Retiree Name: Social Security#:. STRS Retirement Date: _ Amount Paid: Period Worked: _ Type of Work Performed: Basis of Pay: Daily Monthly Annually (circle one) Please attach a copy of the paid invoice to this document. Please note: CalSTRS retirees that perform creditable service and are paid through accounts payable must be reported to CalSTRS. If you have paid a CalSTRS retiree through accounts payable please fill out this form immediately after processing the payment and send it into the Sonoma County Office of Education, STRS Retirement Desk. Please make sure the CalSTRS retiree has been informed of the annual earnings limit and is aware that these earnings are being reported to CalSTRS for the time period they have been earned (not necessarily when paid) and will count against the annual earnings limit.

3 Join CalSTRS? Join CalPERS? Decide which retirement system is best for you

4 On Our Cover: Raymond teaches general math and pre-algebra to 6th and 7th graders at a middle school in Southern California. His teaching inspiration is coach John Wooden. Next to his classroom door hangs a poster of Wooden s Pyramid of Success so his students can learn about qualities that build toward success, including loyalty, initiative and self-control. Raymond has been a CalSTRS member for 12 years. Contents Choosing Your Retirement System 4 Your Questions Answered 5 Dual Membership 12 The California Public Employees Pension Reform Act of 2013 made significant changes to the benefits for members first hired to perform CalSTRS creditable activities on or after January 1, 2013, and who never before performed CalSTRS creditable services under a different retirement system, including Social Security. As a result, CalSTRS now has two benefit structures: CalSTRS 2% at 60: Members first hired on or before December 31, CalSTRS 2% at 62: Members first hired on or after January 1, For more information, see the Member Handbook 2013, available at CalSTRS.com/publications. The California Public Employees Pension Reform Act of 2013 also made changes to CalPERS benefits for members first hired on or after January 1, For more information, visit CalPERS.com. Note: Pending legislation would allow individuals who were CalPERS members on or before December 31, 2012, and who become CalSTRS members within six months of leaving CalPERS coverage, to fall under the CalSTRS 2% at 60 benefit structure. This guide is based on the California Teachers Retirement Law and the California Public Employees Retirement Law as of January 1, If there is a conflict between this information and the law, the law prevails.

5 As you begin your new position, use this booklet to help you decide which retirement system is the best choice for you to achieve your retirement goals. Contact CalSTRS Ask your employer for a copy of the CalSTRS Member Handbook or find the current CalSTRS Member Handbook at CalSTRS.com/publications. Go online to CalSTRS.com for more information. Check to see if pending or new legislation may affect your decision at CalSTRS.com/legislation, CalSTRS.com/funding or contact your union or legislative representative. Call CalSTRS at Contact CalPERS Ask your employer for the School Member Benefit publication, What You Need to Know About Your School Benefits. Go online to CalPERS.ca.gov for more information and any legislative changes under consideration. Call CalPERS at 888-CalPERS ( ). Join CalSTRS? Join CalPERS?

6 Choosing Your Retirement System This brochure outlines the differences between CalSTRS and CalPERS if you are changing from a job covered by one retirement system to a job covered by the other retirement system. For example, if you are in a classified position covered by CalPERS and accept a certificated position covered by CalSTRS, you may be eligible to choose to join CalSTRS or remain with CalPERS. Ask your employer or call your current retirement system for eligibility requirements. This important choice is yours. Staying With Your Current Retirement System To remain with your current system, submit the Retirement System Election form to your new employer within 60 days of your effective date in your new position. Ask your new employer for the form or go to CalSTRS.com to download or order a copy. Changing Your Retirement System Do nothing for 60 days and you automatically become a member of the retirement system covering your new position. If you decide to become a member of the retirement system covering your new position, here are some additional choices to consider: If eligible, you may retire from your former system and become an active member of the new system. If you re not eligible to retire, you may keep your account with the old retirement system and have dual membership in both systems. You can later retire from both systems at the same time. For more information, see page 12. You may take a refund of your contributions in the old system. CalSTRS and CalPERS have different rules about taking a refund. If you take a refund, you lose all rights to benefits from that system unless you later redeposit your contributions plus interest. Note: If you retire with CalSTRS, there is a restriction that you cannot work in a classified position after retirement except as a teacher s aide under certain circumstances. Please contact your employer to determine if your position would be considered a classified position. You have 60 days from the effective date of your new position to complete and submit the paperwork to stay with your previous retirement system. If you do nothing, you will become a member of the new system. 4 Join CalSTRS? Join CalPERS?

7 Your Questions Answered 1. How is my retirement benefit calculated? CalSTRS & CalPERS Both systems calculate your retirement benefit based on your years of service (service credit) in the retirement system, your retirement age (age factor) and your final compensation: Service credit X Age factor X Final compensation = Basic retirement benefit The Difference Age factors are different for each system. 2. How is my final compensation determined? CalSTRS CalSTRS 2% at 60: Final compensation is based on your highest three consecutive school years of annual salary if you have fewer than 25 years of service credit, or your highest 12 consecutive months of annual salary if you have 25 or more years of service credit. The cap on compensation that can be counted toward your retirement benefit is $255,000 for CalSTRS 2% at 62: Final compensation is based on your highest annual salary for three consecutive school years, regardless of years of service credit. The cap on compensation that can be counted toward your retirement benefit is $136,440 for CalPERS Final compensation is based on your highest average fulltime monthly pay rate for 12 or 36 consecutive months of employment, depending on your collective bargaining agreement or employer contract, and may include special compensation. CalPERS uses your full-time pay rate, not your earnings. If you were first hired on or after January 1, 2013, there is a cap on compensation used to calculate your benefit equal to $113,700 in The Difference Final compensation is calculated differently for each retirement system, and each system has a different compensation cap. 3. When can I retire? CalSTRS CalSTRS 2% at 60: You can retire at age 55 with five years of service credit or as early as age 50 with 30 years of service credit, or under the special circumstances of concurrent retirement with another pension system. CalSTRS 2% at 62: You can retire at age 55 with five years of service credit. CalPERS You can retire at age 50 with five years of service credit. If you became a new member on or after January 1, 2013, you must be at least age 52 to retire. New members include members who have a break in service greater than six months between the separation date from a previous employer and the appointment date with a new employer. The Difference Minimum retirement ages and years of service are different for each retirement system. 4. What annual adjustments are made to my benefit? CalSTRS Your retirement benefit is increased each year by 2 percent of your initial retirement benefit beginning September 1 after the first anniversary of your retirement. The Legislature can reduce or eliminate this adjustment if economic conditions dictate. CalSTRS also pays quarterly supplemental payments when your benefit falls below 85 percent of purchasing power. In addition, the Legislature has periodically authorized ad-hoc annual benefit adjustments. CalPERS Beginning May 1 of your second calendar year of retirement, your initial benefit is increased up to 2 percent per year, compounded annually, unless the rate of inflation is lower. CalPERS pays monthly supplemental payments when the benefit falls below 75 percent of purchasing power. In addition, the Legislature has periodically authorized ad-hoc adjustments. The Difference The CalSTRS annual benefit adjustment is not compounded; the CalPERS annual benefit adjustment is compounded annually to reflect inflation and does not have a fixed rate. CalSTRS purchasing power protection is 85 percent and paid quarterly; CalPERS purchasing power protection is 75 percent and paid monthly. Join CalSTRS? Join CalPERS?

8 5. Can I work in education after I retire? CalSTRS If you return to work after retirement in a position with the California public school system, there are restrictions under state and federal law: You cannot work in a classified position except, under certain circumstances, as a teacher s aide. If you exceed the annual postretirement earnings limit, CalSTRS will withhold your gross monthly retirement benefit until we collect all earnings in excess of the limit. The postretirement earnings limit for the fiscal year is $39,903. There is a very narrow exemption from this limit. (See After You Retire in the CalSTRS Member Handbook.) If you return to CalSTRS-covered employment within 180 days of your retirement date, CalSTRS will reduce your retirement benefit dollar for dollar by the amount you earn, up to your retirement benefit earned in that period. There is a very narrow exemption from this requirement if you have reached normal retirement age. (See After You Retire in the CalSTRS Member Handbook.) If you received a retirement incentive and return to work for the employer that offered the incentive within five years of your retirement, you will lose the additional service credit you received under the retirement incentive. You can continue to receive your full CalSTRS retirement benefit with no earnings limit if you take a job in private school, private industry, public school outside of California, or the University of California or California State University systems (See After You Retire in the CalSTRS Member Handbook.) CalPERS If you re a certificated employee, stay in CalPERS, then retire and accept a temporary assignment in a classified or certificated position in a school, you can work up to 960 hours in a fiscal year as a retired annuitant. Accepting a permanent part-time position (even if fewer than 960 hours in a fiscal year) or working more than 960 hours requires reinstatement to active employment. A 180-day waiting period is required for all retired annuitants employed on or after January 1, 2013, except under a certain specified exemption approved by a county office of education. The 180-day waiting period starts from the date of retirement. If under normal retirement age (age 55 if the highest retirement formula is 2 percent at 55), you must have a bona fide separation before accepting a temporary assignment. The Difference Retirement benefits from both plans can be affected by postretirement work. For CalSTRS retirees, this means work in a certificated position; CalPERS retiree work limitations affect both classified and certificated positions. 6. Do I have disability benefits? CalSTRS You have disability benefits under one of the CalSTRS disability benefit programs: Coverage A or Coverage B. Coverage A: hired on or before October 15, 1992, unless you elected Coverage B before April 1993; Coverage B: hired after October 15, If you have five years of service credit (or one year if injured by a violent act on the job), your disability benefit generally is 50 percent of your final compensation, plus 10 percent for each eligible child, up to 90 percent of your final compensation. Coverage A: At normal retirement age your disability benefit ends and you may apply for service retirement. You ll receive an ongoing benefit equal to the lesser of your disability benefit or your retirement benefit. If you are over age 45 with fewer than 10 years of service credit, your disability benefit is 5 percent of your final compensation multiplied by your years of service credit. For example, with seven years of service credit, your benefit would be 35 percent of your final compensation. Coverage B: You ll receive a disability benefit for as long as your disability continues. CalPERS If you have between five and 10 years of service credit or 18.5 years or more of service credit your disability formula is 1.8 percent X years of service credit X final compensation. If you have between 10 and 18.5 years of service credit, your disability retirement benefit may be improved up to 33 1 / 3 percent of final compensation. When you qualify for service retirement, you ll receive your service retirement benefit if the amount is greater than the disability retirement. You also may be eligible for disability benefits under Social Security. The Difference Disability benefits paid by CalSTRS are generally higher than those paid by CalPERS, but CalPERS members also may be eligible for disability benefits under Social Security. In addition, CalSTRS benefits increase if there are dependent children; CalPERS provides no coverage for dependent children. See the Employment After Retirement publication in the Forms & Publication Center at CalPERS.ca.gov. 6 Join CalSTRS? Join CalPERS?

9 7. What is my total retirement contribution? CalSTRS CalSTRS 2% at 60: You pay 8 percent of your earnings toward retirement, plus 1.45 percent for Medicare. CalSTRS 2% at 62: Your contribution rate for 2013 is 8 percent, plus 1.45 percent for Medicare. The contribution rate is subject to change based on the normal cost of the plan. CalPERS The percentage of your contribution is fixed by law and is generally intended to be an amount that will cover half of the normal cost of the benefit earned per year. Normal cost will vary by benefit type. You also pay 1.45 percent for Medicare, and most members pay 6.2 percent for Social Security on earnings up to $113,700 for The Difference CalSTRS members contribute up to 9.45 percent of their salary toward their retirement benefit and earn no credits for Social Security benefits. Most CalPERS members pay and earn credits for Social Security benefits; therefore, you may contribute a higher percentage of your salary. 8. What is my employer s contribution? CalSTRS Your employer contributes 8.25 percent of your salary plus 1.45 percent for Medicare. Employer contributions are not credited to your Defined Benefit account, but are deposited in the Teachers Retirement Fund to help fund the benefits to all members and their beneficiaries. They are not refundable to you. 9. Do I participate in Social Security? CalSTRS No, and any Social Security benefits you earned in other employment or received as a spouse may be reduced when you start receiving your CalSTRS retirement benefit. CalPERS Yes, if you were hired after However, there are spousal Social Security exceptions. The Difference CalSTRS members neither contribute to nor earn Social Security benefits. Also, CalSTRS-covered service may reduce previously earned Social Security benefits. Contact the Social Security Administration at or visit socialsecurity.gov to learn more. Most school employee members of CalPERS contribute to Social Security. 10. Will I have health coverage in retirement? CalSTRS and CalPERS If you are covered by the Public Employees Medical and Hospital Care Act, you re eligible for health benefits if you are enrolled upon separation and retire within 120 days of your separation date. If you get health care from other sources, coverage depends on your bargaining agreement. The Difference There is no difference. CalPERS The rate of your employer s contribution varies year to year. These contributions are paid into your employer s account. They are not shown on your account balance and are not refundable to you. The Difference CalSTRS employer contributions are a fixed percentage set by law. CalPERS employer contributions are adjusted periodically. Join CalSTRS? Join CalPERS?

10 11. Do I earn an extra monthly benefit for a long career? CalSTRS CalSTRS 2% at 60: With 25 years of service credit, your benefit is based on your highest year of salary (with fewer than 25 years of service credit, it is based on the average of your highest three consecutive years). With 30 or more years of service credit, your age factor is increased by 0.2 percent. This is called a career factor. The maximum combined age factor and career factor is 2.4 percent. With at least 30 years of service credit earned on or before December 31, 2010, your benefit is increased by a longevity bonus: Service Credit at Retirement Longevity Bonus 30 years $200/month 31 years $300/month 32 years $400/month CalSTRS 2% at 62: These benefit enhancements are not available. CalPERS CalPERS retirement benefit is based on the highest average pay rate during any consecutive 12 or 36 month period. CalPERS uses your full-time pay rate, not your earnings. The Difference CalSTRS offers a career factor and longevity bonus for members under the CalSTRS 2% at 60 benefit structure. 12. What are the age factors? CalSTRS and CalPERS have different age factors. The age factor is the percent of final compensation you re entitled to receive for each year of service credit. Age Factor Comparison for Members First Hired Before January 1, 2013 Age CalSTRS* CalPERS Age CalSTRS* CalPERS *Career factor: Add 0.2 percent to the age factor for 30 years of service credit, up to 2.4 percent. Must have 30 or more years of service credit to retire. Age Factor Comparison for Members First Hired On or After January 1, 2013 Age CalSTRS CalPERS 52 ** ** ** **CalSTRS members under the 2% at 62 benefit structure cannot retire earlier than age Join CalSTRS? Join CalPERS?

11 13. Can I buy additional service credit? CalSTRS You must complete your purchase prior to your retirement date. Service credit you can purchase: Redeposit of withdrawn funds. Certain active U.S. military service. Job Corps or Peace Corps service (certain restrictions apply). Teaching in a publicly supported and administered California university not already credited. Maternity or paternity leave. Sabbatical leave. Family medical leave under the federal Family and Medical Leave Act and the California Family Rights Act. Service prior to membership in part-time or substitute work. Fulbright Teacher Exchange Program. Out-of-state or foreign school service. Certificated teaching in a child care center, school for the blind or deaf, or in a Native American school in California. Prior service covered under the CalSTRS Cash Balance Benefit Program. CalPERS You must request to purchase service credit prior to retirement; you can make payments into retirement. Service credit you can purchase: Redeposit of withdrawn funds. Military service. Peace Corps, AmeriCorps or AmeriCorps VISTA service. Educational or sabbatical leave. Temporary job-related disability or illness. Maternity or paternity leave. Service prior to membership while serving a qualification period or while employed on a temporary, seasonal or less than half-time basis. Comprehensive Employment and Training Act service after July 1, Employment as an elected or appointed official. Leave to work in a local, state or foreign governmental agency or nonprofit organization. Lay-off periods from public agency employment. Service for time spent working for an employer before it began contracting with CalPERS. Alternate Retirement Program, if applicable. Serious illness. The Difference Both retirement systems allow you to buy service credit for certain activities. In some cases an activity may be covered by one system and not the other. You must complete your purchase of CalSTRS service credit before retirement. You can continue making payments for CalPERS service credit after retirement. 14. Does my system accumulate funds for me in a supplemental account? CalSTRS If you made retirement contributions to CalSTRS on or after January 1, 2001, as a Defined Benefit member, you may have a Defined Benefit Supplement account. Your Defined Benefit Supplement account provides additional income for retirement. Your Defined Benefit Supplement account receives funds from two sources: Earnings in excess of one year of service credit. Your contributions and most of your employer s contributions from your earnings in excess of one year are credited to your Defined Benefit Supplement account. Special limited-term payments or one-time retirement incentive payments. Your contributions and most of your employer s contributions on these payments are credited to your Defined Benefit Supplement account. CalSTRS 2% at 60: There is a compenstion cap of $255,000 for 2013 on contributions to your Defined Benefit Supplement account. CalSTRS 2% at 62: Your Defined Benefit Supplement account receives funds from the first source if your earnings are under the compensation cap. Your account does not receive funds from the second source. From January 1, 2001, to December 31, 2010, one-fourth of your 8 percent contribution to CalSTRS was redirected to your Defined Benefit Supplement account; this redirection did not affect your CalSTRS retirement benefit. Now, your entire 8 percent contribution is credited to your Defined Benefit account. CalPERS CalPERS does not have a supplemental account. The Difference CalSTRS members have a supplemental account for retirement; CalPERS members do not. Join CalSTRS? Join CalPERS?

12 15. Can I purchase a previous refund? You can only purchase a refund from the system that issued it. You cannot redeposit a CalPERS refund into CalSTRS or vice versa. CalSTRS If you terminate CalSTRS membership, receive a refund of contributions and interest, and later return to CalSTRS or a retirement system that offers concurrent retirement with CalSTRS such as CalPERS you can purchase all or some of the service credit. The cost will include interest your refund would have earned. If you received more than one refund, multiple refund costs are combined for a total cost. CalPERS If you terminate CalPERS membership, receive a refund of contributions and interest, and later return to CalPERS or become a member of a reciprocal retirement system such as CalSTRS you can purchase all or some of the service credit represented by the refund. The cost will include interest your refund would have earned. If you received more than one refund, you may repurchase the service credit represented by the refund in reverse chronological order. The Difference CalSTRS combines multiple refunds; CalPERS allows you to repurchase multiple refunds in reverse chronological order. 16. What benefits do my survivors receive if I die before I m eligible to retire? CalSTRS If you have Coverage A (you were a member on or before October 15, 1992, and you did not elect Coverage B) and have at least one year of service credit, your designated one-time death benefit recipient may receive a lump-sum payment, currently $6,163. In addition, for a surviving spouse or registered domestic partner with dependent children, the monthly survivor benefit equals 40 percent of your final compensation plus 10 percent of final compensation for each eligible dependent child under age 22, for a benefit up to 90 percent of your final compensation. Your surviving spouse or partner with no eligible dependent children receives either a lump-sum payment of your accumulated Defined Benefit contributions and interest or a monthly lifetime benefit. The calculation is based on the projected service credit and final compensation you would have accrued had you retired at normal retirement age. If the monthly benefit is paid before normal retirement age, the amount is actuarially reduced. If you have Coverage B (you became a member on or after October 16, 1992) and at least one year of service credit, your designated recipient may receive a lump-sum death benefit, currently $24,652. If a monthly survivor benefit is not payable, a lump-sum refund of your contributions and interest is paid to your designated one-time death benefit recipient. Your surviving spouse or partner can choose between the lump-sum refund of your contributions and interest, or a monthly survivor benefit based on your age and your partner s or spouse s age as of the date you would have reached normal retirement age. This monthly benefit would be one-half of the modified survivor benefit. If your spouse or partner elects the lump-sum refund, no benefits are payable to dependent children. If you have dependent children and your surviving spouse or partner receives a monthly benefit, an additional benefit, equal to 10 percent of your final compensation, is paid for each child under age 21, up to 50 percent for five or more children. CalPERS Your survivors receive the basic death benefit equal to a return of your contributions and interest, plus a month of average monthly earnings for each year of service up to six months salary. If you re not covered by Social Security, you may be eligible for the 1959 survivor benefit which is an additional benefit of up to $1,800 per month payable to an eligible surviving spouse or registered domestic partner who has care of unmarried children under age 22, to unmarried children under age 22, to an eligible surviving spouse or partner over age 60, or to dependent parents. To be eligible, you must have been paying a fee, generally $2 per month. If you re covered by Social Security, you may be eligible for survivor benefits through the Social Security Administration rather than through the 1959 Survivor Benefit program. The Difference Under CalSTRS, your surviving spouse or registered domestic partner may choose a lump-sum payment or a monthly benefit, with additional provisions for dependent children. CalPERS pays a monthly benefit to your surviving spouse, partner or unmarried children only if certain requirements are met. Social Security may also provide survivor benefits to survivors of CalPERS members covered by Social Security. 10 Join CalSTRS? Join CalPERS?

13 17. What benefits do my survivors receive if I m eligible to retire, but die before I retire? CalSTRS If you didn t elect a preretirement option beneficiary, your survivors receive the same coverage as question 16. If you elected a preretirement option, your option beneficiary receives benefits based on the option you elected plus the one-time death benefit. You can choose from four options for your Defined Benefit account, and your option beneficiary can choose from one of several annuities or a lump-sum payment for your Defined Benefit Supplement account. You must be eligible for retirement to elect a preretirement option beneficiary. CalPERS Your survivors receive the Basic Death Benefit equal to a return of your contributions and interest, plus up to six months pay. Alternatively, your spouse or registered domestic partner (to whom you have been married or in partnership for at least one year before your death or before the occurrence of the injury or the onset of the illness that resulted in your death), or your children under 18, can receive a monthly benefit equal to 50 percent of what your highest service retirement benefit would have been had you retired on the date of death. Your survivors can receive only one, not both, of these benefits. Members not covered by Social Security may be eligible for the 1959 Survivor Benefit, which is an additional benefit of up to $1,800 per month payable to an eligible surviving spouse or registered domestic partner who has care of unmarried children under age 22, to unmarried children under age 22, to an eligible surviving spouse or registered domestic partner over age 60, or to dependent parents. To be eligible, you must have been paying a fee, generally $2 per month. If you re an employee for a state agency or California State University rather than a school employee, check with CalPERS because these benefits may vary. The Difference CalSTRS allows you to make a preretirement election of an option and name someone to receive a lifetime monthly benefit upon your death. Under CalPERS, you cannot make a preretirement election. In the absence of a preretirement election, both systems provide survivor benefits to specific family members. The amounts paid to survivors may vary. 18. What benefits do my survivors receive if I die after I retire? CalSTRS Your designated one-time death benefit recipient s lumpsum death benefit is currently $6,163. If you elect one of the four CalSTRS retirement options, your option beneficiary s benefit will be based on the option you elected. You can also choose from one of several annuities or a lumpsum payment if you have a Defined Benefit Supplement account. If you didn t elect a retirement option, CalSTRS will refund your member contributions and interest that remain in your account to your one-time death benefit recipient, or your estate if you didn t name a recipient. CalPERS Your beneficiary s lump-sum death benefit is generally $2,000. (School employers can contract for a $2,000, $3,000, $4,000 or $5,000 lump-sum benefit.) If you elected the option specifically providing a return of unused contributions, your beneficiary will be refunded any remaining contributions and interest. In addition, an eligible family member receives a survivor s continuance benefit, equal to 25 percent of your unmodified retirement benefit (if service is coordinated with Social Security), or 50 percent of the unmodified benefit (if service is not coordinated with Social Security). If you elected a modified benefit, your beneficiary s benefit is based on the option you elected. The Difference CalSTRS has a higher lump-sum death benefit than CalPERS. CalPERS pays an additional survivor continuance benefit, regardless of whether you elect a reduced or basic benefit. Both systems generally have the same options for beneficiary benefits. Join CalSTRS? Join CalPERS?

14 Dual Membership You may decide to have your new employment covered by your new retirement system. You then have the additional decision of whether to keep your account in your previous retirement system or take a refund. You cannot combine service into one system. If you retain service credit in both systems, you could retire concurrently. If you take a refund, you ll lose all benefits under that retirement system. Before taking a refund, carefully consider the consequences. Here is an overview of the rights and benefits of CalSTRS and CalPERS members to help you with your decision. Concurrent Employment Concurrent Retirement Changing Retirement Systems Redeposit Rights Refund Restriction CalSTRS When you re concurrently employed in a CalSTRScovered position and a position covered by another retirement system during your final compensation period, earnable compensation under either system is used to determine final compensation. You may retire from a position covered by another retirement system in which you have concurrent membership on the same day you retire from your CalSTRS-covered position or on different dates as long as there is no credited service performed with either system between the two retirement dates. You may leave service credit and contributions with CalSTRS and become a member of CalPERS, UCRS, LRS, SFCCRS or 1937 Act County retirement systems. If you were a CalSTRS member and took a refund, you re eligible to redeposit all or a portion of withdrawn contributions and interest if you are a member of CalSTRS, CalPERS, UCRS, LRS, SFCCRS or 1937 Act County retirement systems. If you re a former CalSTRS member, you don t have to be employed by a CalSTRS employer while paying for the redeposit. You re eligible to withdraw your CalSTRS contributions and interest upon termination of CalSTRS-covered employment. You must contact the other retirement system to determine the effect of a refund on your status with that system. CalPERS When concurrent employment occurs during the final compensation period, the highest compensation earned under either system is used in determining final compensation if you retire from both systems on the same date. Your final compensation will be calculated using the highest final compensation under either system as long as you retire from both systems on the same date. You may leave service and contributions with CalPERS and become a member of CalSTRS, UCRS, LRS, JRSI, JRSII or 1937 Act County or local reciprocal public retirement systems. If you left CalPERS, took a refund of your contributions, and subsequently return to CalPERS-covered employment or employment with a reciprocal California public retirement system, you may redeposit the refund and accumulated interest to CalPERS to reestablish service credit and membership. If you re a former CalPERS member, you don t have to be employed by a CalPERS employer while paying for the redeposit. Your contributions and interest may be withdrawn prior to entering employment with CalSTRS. If your CalPERS contributions are not withdrawn prior to joining CalSTRS, you cannot receive a refund until such time as you are permanently separated and have received a refund from CalSTRS. You may not withdraw CalPERS contributions and interest while a CalSTRS member. Minimum Age for Retirement CalSTRS 2% at 60: Age 55 with five years of service credit or as early as age 50 with 30 years of service credit. CalSTRS 2% at 62: Age 55 with five years of service credit. Age 50 with five years of service credit. If you became a new member on or after January 1, 2013, you must be at least age 52 to retire. 12 Join CalSTRS? Join CalPERS?

15 Minimum Service Credit Requirement for Retirement CalSTRS If you re eligible to receive a benefit from another retirement system, you may retire for service after reaching age 55 regardless of your years of service credit, provided retirement is concurrent with retirement from at least one of the other systems. Only CalSTRS service credit is used in calculating your CalSTRS benefit. You must meet the retirement eligibility requirements for at least one system to retire concurrently. CalPERS You may retire without meeting the minimum service requirements when membership is established with CalSTRS regardless of whether retirement is on the same date. Only CalPERS service credit is used to calculate your CalPERS benefit. Final Compensation Disability Benefit CalSTRS 2% at 60: Final compensation is based on your highest three consecutive school years of annual salary if you have fewer than 25 years of service credit, or your highest 12 consecutive months of annual salary if you have 25 or more years of service credit. CalSTRS 2% at 62: Final compensation is based on your highest annual salary for three consecutive years, regardless of years of service credit. You may be eligible for a disability benefit if you meet: The eligibility requirements, including age, service credit and timelines for application and medical documentation. The definition of disabled as established for CalSTRS under the California Education Code and have a medically determined physical or mental impairment that is permanent or expected to last at least 12 continuous months. The impairment must prevent you from performing:»» Your usual duties with or without reasonable modification from your employer.»» Duties of a comparable level to your usual duties, which you are qualified for or can become qualified for in a reasonable period of time with education, training or experience.»» Employment at a comparable level at which you can earn at least 66 2 / 3 percent of your final compensation. If you were disabled while on active military duty and are unable to return to CalSTRS-covered employment, you may apply for a CalSTRS disability benefit if you meet the other eligibility requirements. You can apply for service retirement and disability at the same time if you re otherwise eligible to service retire. This will enable you to receive a monthly retirement income while your disability application is being evaluated. See the Your Disability Guide at CalSTRS.com/ publications. CalPERS uses the highest consecutive 12 or 36 months earnable compensation under either system to calculate final compensation if you retire concurrently. If you do not retire concurrently, only your CalPERS final compensation will be used to calculate your CalPERS retirement benefit. If you re not actively employed with CalPERS, there is no provision for a CalPERS disability retirement. If you re entitled to a CalSTRS disability benefit, you must retire from service with CalPERS on the same date for the provisions of final compensation to apply. If you re receiving a CalSTRS Coverage A disability benefit, you can retire from service with CalPERS either at the time you start receiving the disability benefit (if at normal retirement age) or at normal retirement age when your CalSTRS Coverage A disability benefit ends. Join CalSTRS? Join CalPERS?

16 Employment While Receiving a Disability Benefit CalSTRS Your disability benefit will end if: You return to your usual and customary job duties. You return to any work earning comparable salary. Your medical status no longer qualifies you for a CalSTRS disability benefit. You do not provide evidence of your continued qualification upon request. Additionally, your benefit will be reduced and you may become ineligible if you exceed your earnings limit. Under Coverage A You are eligible to receive your monthly disability benefit until you reach normal retirement age as long as you remain disabled. At normal retirement age, your disability benefit will end, and you can apply for service retirement. Under Coverage B You will receive a disability benefit for your lifetime as long as you continue to qualify. If you return to active service as a CalSTRS Defined Benefit member and later service retire, your eventual service retirement benefit will be calculated differently than if you had not received a disability benefit. This may provide for a lower service retirement benefit than if you had not received a disability benefit. CalPERS Disability or industrial disability retirees can be approved to work in a permanent full-time CalPERS-covered position if the duties are significantly different than the duties from the position in which they were found disabled. Retirees must report earnings and an earnings limit applies. See the Employment After Retirement publication in the Forms & Publication Center at CalPERS.ca.gov. 14 Join CalSTRS? Join CalPERS?

17 Employment After Service Retirement CalSTRS If you return to work after retirement in a position with the California public school system, there are restrictions under state and federal law: You cannot work in a classified position except, under certain circumstances, as a teacher s aide. If you exceed the annual postretirement earnings limit, CalSTRS will withhold your gross monthly retirement benefit until we collect all earnings in excess of the limit. The postretirement earnings limit for the fiscal year is $39,903. If you retire and return to CalSTRS-covered employment within 180 days of your retirement date, CalSTRS will reduce your retirement benefit dollar for dollar by the amount you earn, up to your retirement benefit earned during that period. If you received a retirement incentive and return to work for the employer that offered the incentive within five years of your retirement, you will lose the additional service credit you received under the retirement incentive. You can continue to receive your full CalSTRS retirement benefit with no earnings limitation, if you take a job outside of CalSTRS-covered employment, including work in private school, private industry, public school outside of California, or the University of California or California State University systems. CalPERS You may retire from CalPERS and accept employment with another public retirement system without affecting your retirement benefit. You may retire from CalPERS and accept temporary employment to work 960 hours or less in a fiscal year with a CalPERS-covered employer as a retired annuitant. A 180-day waiting period is required for all retired annuitants employed on or after January 1, 2013, except under a certain specified exemption approved by a county office of education. The 180-day waiting period starts from the date of retirement. If under normal retirement age (age 55 if the highest retirement formula is 2 percent at 55), you must have a bona fide separation before accepting a temporary assignment, even if an exemption to the 180-day waiting period is approved by a county office of education. You cannot accept a permanent part-time appointment in a CalPERS-covered position, even if the hours worked will be less than 960 hours in a fiscal year, unless you reinstate. See the Employment After Retirement publication in the Forms & Publication Center at CalPERS.ca.gov. Reinstatement From Retirement You may terminate your service retirement and reinstate to active member status. If you reinstate, you may not be eligible for concurrent retirement for a subsequent retirement unless you retire again from another retirement system. Service retirees accepting a permanent position under CalPERS must submit an application to reinstate from retirement. Disability or industrial retirement retirees must be approved to work in a permanent position under CalPERS and must submit medical documentation with the application to reinstate from retirement. Join CalSTRS? Join CalPERS?

18 CalSTRS Resources WEB CalSTRS.com Click Contact Us to 403bCompare.com Pension2.com STAY CONNECTED CALL a.m. to 6 p.m. Monday through Friday CalSTRS Pension2 Personal Wealth Plan (toll free) Pension Abuse Reporting Hotline WRITE CalSTRS P.O. Box Sacramento, CA VISIT Member Services 100 Waterfront Place West Sacramento, CA Find your nearest CalSTRS office at CalSTRS.com/localoffices FAX California State Teachers Retirement System com 151 (rev 5/13) Printed on recycled paper

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33 Permissive Membership ES 0350 (Rev. 6/11) PERMISSIVE ELECTION AND ACKNOWLEDGEMENT OF RECEIPT OF CALSTRS DEFINED BENEFIT PLAN MEMBERSHIP INFORMATION California State Teachers Retirement System P.O. Box 15275, MS 17 Sacramento, CA CalSTRS.com An employee who performs creditable service (Education Code Section ), and who is excluded from mandatory membership pursuant to Section , 22602, or 22604, may elect membership in the California State Teachers Retirement System (CalSTRS) Defined Benefit Program at any time while employed to perform creditable service. If you elect membership below, then your election becomes irrevocable until you terminate employment. This form containing your election must be on file with CalSTRS before your employer submits contributions into the program. EMPLOYEE CERTIFICATION NAME (LAST, FIRST, INITIAL) CLIENT ID OR SOCIAL SECURITY NUMBER MAILING ADDRESS POSITION TITLE ( ) CITY STATE ZIP CODE HOME TELEPHONE ADDRESS With my signature below, I certify that I have received information from my employer on my eligibility to elect membership in CalSTRS Defined Benefit Program and that I am making the following election. I fully understand this election is irrevocable and applies to all future creditable service until I terminate employment. I understand it is a crime to fail to disclose a material fact or to make any knowingly false material statements for the purpose of altering a benefit administered by CalSTRS and it may result in penalties, including restitution, up to one year in jail and a fine of up to $5,000 (Education Code Section 22010). I elect membership I decline membership at this time SIGNATURE DATE TO BE COMPLETED BY EMPLOYER With my signature below, I certify that the above-named employee has been provided with the membership criteria for the CalSTRS Defined Benefit Program, and if applicable, was informed within 30 days of hire that they may elect membership in the Program at any time while employed. (Education Code section ). OFFICIAL S SIGNATURE TITLE COUNTY (or Other Employing Agency) DISTRICT EMPLOYEE # MALE SEX FEMALE BIRTHDAY (MO/DAY/YEAR) MEMBERSHIP DATE (MO/DAY/YEAR) ASSIGNMENT FT PT SUB PERMISSIVE MEMBERSHIP REV 06/11

34 Acknowledgment of Receipt of Election Information Retirement System Coverage California State Teachers Retirement System P.O. Box MS 17 Sacramento, CA A member of the California Teachers Retirement System (CalSTRS) Defined Benefit Plan who changes employment in a school district, community college district or county superintendent of schools, to a position covered by another California public retirement system may elect to continue coverage by CalSTRS for public school service subject to membership in the other public retirement system. The member must make the election within 60 days following the date of hire into the new position. Education Code Section requires employers to provide all employees who have such a change in employment with information regarding their right to elect to continue CalSTRS membership pursuant to Education Code Section Within 10 working days of the date of hire, the employer must inform the employee of the right to make an election and must make available to the employee written information provided by the retirement systems to assist the employee in making an election. Any election made pursuant to Section must be filed with CalSTRS and the other public retirement system. Once received and accepted by CalSTRS, the election becomes effective as of the first day of employment in the position that qualified the member to make an election. Please Type or Print Legibly in Black Ink EMPLOYEE IDENTIFICATION Name: (Last) (First) (Initial) Social Security Number: - - Position Title: Effective Date of Hire: / / EMPLOYEE CERTIFICATION I have received information concerning the Retirement System Election, the CalSTRS Defined Benefit Plan and the other public retirement system that usually covers the service performed in my new position. I understand it is a crime to fail to disclose a material fact or to make any knowingly false material statements for the purpose of altering a benefit administered by CalSTRS and it may result in up to one year in jail and fine up to $5,000. Education Code Signature EMPLOYER CERTIFICATION Date I certify that the above named employee has been informed of his or her right to elect to continue membership in the CalSTRS Defined Benefit Plan, and has been given information provided by both retirement systems pursuant to Education Code Section Official s Name & Title: County (or Other Employing Agency) Signature District: Date ES-373 (Rev 8/09)

35 Retirement System Election ES0372 (rev 11/13) California State Teachers Retirement System P.O. Box 15275, MS 17 Sacramento, CA CalSTRS.com PLEASE READ THE ATTACHED INSTRUCTIONS BEFORE COMPLETING THIS FORM. PLEASE TYPE OR PRINT LEGIBLY IN DARK INK. SECTION 1: MEMBER INFORMATION AND ELECTION (to be completed by employee) NAME (LAST, FIRST, INITIAL) FULL SOCIAL SECURITY NUMBER HIRE DATE EFFECTIVE DATE OF POSITION POSITION TITLE Credentialed Classified State Service Employment in the California public school system is generally subject to coverage by either the California State Teachers Retirement System (CalSTRS), or a different public retirement system including but not limited to the California Public Employees Retirement System (CalPERS). A member of CalSTRS who becomes employed by the same or a different school district, a community college district, a county superintendent of schools or limited state employment, as defined in Education Code Section 22508, to perform service that requires membership in a different public retirement system will have that service credited with that other public retirement system unless he/she files a written election (within 60 days from the date of hire in the new position) to have the service credited with CalSTRS. A member of CalPERS who is employed by a school employer, Board of Governors of Community College Districts or State Department of Education or has at least five years of CalPERS credited service, as defined in Government Code Section 20309, and who subsequently becomes employed to perform creditable service that requires membership in CalSTRS, will have that service credited with CalSTRS unless he/she files a written election (within 60 days of the date of hire in the new position) to have the service credited with CalPERS. I am a member of CalSTRS who has accepted employment to perform service that requires membership in a different public retirement system but am eligible to elect to continue retirement system coverage under CalSTRS. I elect coverage in: (please choose one) OR I am a member of CalPERS who has accepted employment to perform service that requires membership in CalSTRS but am eligible to elect to continue coverage under CalPERS. I elect coverage in: (please choose one) CA State Teachers Retirement System (CalSTRS) CA Public Employee s Retirement System (CalPERS) * CA State Teachers Retirement System (CalSTRS) CA Public Employee s Retirement System (CalPERS) * Other: I fully understand that this election is irrevocable for this employer. I understand it is a crime to fail to disclose a material fact or to make any knowingly false material statements for the purpose of altering a benefit administered by CalSTRS and it may result in up to one year in jail and a fine of up to $5,000. (Education Code section 22010) EMPLOYEE SIGNATURE DATE SECTION 2: EMPLOYER CERTIFICATION (to be completed by employer and County Office of Education) I certify that the employee meets the qualifications to make a retirement system election. CO/DIST/STATE DEPT NAME CALSTRS REPORT UNIT CODE SCHOOL/STATE OFFICIAL'S NAME TITLE PHONE NUMBER SIGNATURE OF SCHOOL/STATE OFFICIAL DATE COUNTY OFFICIAL'S NAME TITLE PHONE NUMBER SIGNATURE OF COUNTY OFFICIAL *CalPERS Employer Code: RETIREMENT SYSTEM ELECTION REV 11/13 PAGE 1 OF 1

36 Retirement System Election Information and Instructions The following instructions are to assist you and your employer in completing the Retirement System Election form (ES372). Please read the instructions and information for retirement system coverage before completing the form. Please type or print legibly in dark ink. Do not use light colors of ink, pencil, felt pen, or erasable ink. If you should make a mistake on the form, line through the error and initial. INFORMATION A member of the CalSTRS Defined Benefit Program who becomes employed by a school district, a community college district, a county superintendent of schools or limited state departments to perform service that requires membership in a different public retirement system, may elect to receive credit under the CalSTRS Defined Benefit Program for such service by submitting a Retirement System Election form (ES372) to CalSTRS, within 60 days of the effective date of employment in the position requiring membership in the other system. If the CalSTRS member does not elect to continue as a member of CalSTRS, all service subject to coverage by the other public retirement system will be reported to that retirement system. (Education Code section 22508) A member of CalPERS who was employed by a school employer, Board of Governors of California Community Colleges, or State Department of Education or has at least five years of CalPERS credited service and who accepts employment to perform creditable service that requires membership by the CalSTRS Defined Benefit Program, may elect to receive credit under CalPERS for such service by submitting a Retirement System Election form (ES372) to CalPERS, within 60 days of the effective date of employment in the position requiring membership in the other system. If the CalPERS member does not elect to continue as a member of CalPERS, all CalSTRS creditable service will be reported to CalSTRS. (Government Code section 20309). SECTION 1: MEMBER INFORMATION AND ELECTION Section 1 of the form must be completed by the employee with assistance from the employer. Please complete all entries in Section 1. Keep a copy of the form for your records. EMPLOYEE NAME and SOCIAL SECURITY NUMBER Enter employee s full name, and full Social Security Number. HIRE DATE Enter the date the employee was hired in the position. EFFECTIVE DATE OF POSITION - Enter the effective date of the new position. This is the first date that service was/will be performed by the employee in the new position. POSITION TITLE Enter employee s new position title and check the box next to the applicable position type. RETIREMENT SYSTEM COVERAGE: If you are a member of CalSTRS and have accepted employment to perform service that requires membership in a different public retirement system, enter an X in the box next to the coverage you elect. If you are a member of CalPERS and have accepted employment to perform service that requires membership in CalSTRS, enter an X in the box next to the coverage you elect. EMPLOYEE SIGNATURE Sign and date the Retirement System Election form (ES372). By signing this document, you understand this election is irrevocable for this employer, and that it is a crime to fail to disclose a material fact or to make any knowingly false material statements for the purpose of altering a benefit administered by CalSTRS and it may result in up to one year in jail and a fine of up to $5,000. (Education Code section 22010) Submit the signed and dated Retirement System Election form (ES372) to your employer. Retain a copy for your records. For further information, contact CalSTRS by calling , or write to CalSTRS at P.O. Box 15275, MS 17, Sacramento, CA SECTION 2: EMPLOYER CERTIFICATION Section 2 of the form must be completed by the employer and the County Office of Education. Please complete the employer certification only after the employee has completed Section 1. Employees must qualify for membership before they can elect. EMPLOYER: CO/DIST CODE/STATE DEPARTMENT Enter the appropriate county and district codes. Example: Kern County, Edison Elementary would be , CA Department of Education EMPLOYER CERTIFICATION Print school or state official s name, title and phone number, sign and date the Retirement System Election form (ES372). Submit the completed Retirement System Election form (ES 372) to the County Office of Education or if you represent a state department, send it directly to CalSTRS and send a copy to the other public retirement system. COUNTY OFFICE OF EDUCATION: Review, sign and date the Retirement System Election form (ES372). Mail the original Retirement System Election form (ES372) form to the retirement system elected by the employee and a copy to the retirement system that would normally cover the service. Provide copies for the employer, employee and employee s file. RETIREMENT SYSTEM ELECTION INFORMATION AND INSTRUCTIONS REV 11/13 PAGE 1 OF 1

37 Express Benefit Report Information and Instructions The Express Benefit Report form is used to request accumulated unused sick leave balance and employment termination information from your employer(s) during your last school year for whom you performed CalSTRS creditable activities. Your employer must report and certify required employment information on this form to comply with California law: For retirements effective on or after January 1, 2013, each of your employers during the last school year in which you earned service credit can submit an Express Benefit Report form if your unused sick leave was not transferred between districts. Your last employer is required to submit an Express Benefit Report form to certify your employment termination date, last day of paid employment and unused sick leave. For retirements effective before January 1, 2013, only your last employer can report unused sick leave. Your last employer is required to submit this form to certify your employment termination date, last day of paid employment and unused sick leave. Credit for unused sick leave is included in the calculation of your retirement benefit. You must submit your Service Retirement Application to CalSTRS before you ll receive your CalSTRS retirement benefit. If your employer submits this form after you submit your retirement application, it will not delay your initial benefit. Your full benefit will be calculated when the Express Benefit Report form is processed. You will receive a payment for any accumulated difference. An award letter with the updated information will be mailed to you. Contact your employer if there are discrepancies between your records and what your last employer reported to CalSTRS. Please do not submit this form to CalSTRS. After completing sections 2 4, your employer will return the Express Benefit Report form directly to CalSTRS. SECTION 1: MEMBER INFORMATION (TO BE COMPLETED BY MEMBER) Enter your full name, Social Security number, date of birth, mailing address, telephone number and position title. If your salary was reduced due to a reduction in school funds, you may be eligible for three-year nonconsecutive final compensation. Your employer will need to certify that you were subject to a salary reduction. If your retirement date is on or after January 1, 2013, and you had multiple employers during the last school year in which you performed CalSTRS-covered employment, each employer can report unused sick leave provided this leave was not transferred. Mark the box indicating that you had more than one employer in the last school year of CalSTRScovered employment. Complete only section 1 of the Express Benefit Report form and give the form and these instructions to your last employer(s). Your employer(s) will complete sections 2 4 and return the form directly to CalSTRS. Your last employer(s) must complete and certify the information in the remaining sections. SECTION 2: EMPLOYER INFORMATION (TO BE COMPLETED ONLY BY EMPLOYER) County and District Codes: Enter the appropriate fivedigit county and district codes. Example: Kern County, Edison, would be Contact your CalSTRS liaison if you are unsure of your code. Employer Contact Name, Address and Telephone: Enter the name, mailing and addresses, and phone and fax numbers of the person CalSTRS should contact if there are questions about information submitted on this form. Employment Termination Date: Enter the last day of work or approved leave for which the member was paid. This date can be the same as the last day of paid employment. This date must be before the member s retirement date. Last Day of Paid Employment: Enter the date of the member s last day of work or approved leave. If the member was on an approved leave or a leave of absence, enter the date of the last actual day of that leave. This date can be the same as the employment termination date. This date also must be before the member s retirement date. Sick Leave Days: Accumulated Unused Regular Sick Leave Days Enter the number of accumulated unused sick leave days the member will have as of the last day of paid employment. Unused Excess Sick Leave Days Enter the number of accumulated unused excess sick leave days the member will have as of the last day of paid employment. Excess sick leave is sick leave granted by the employer after June 30, 1986, that exceeds one day of sick leave per pay period of at least four weeks. EXPRESS BENEFIT REPORT INFORMATION AND INSTRUCTIONS REV 09/13 PAGE 1 OF 2

38 Express Benefit Report Information and Instructions continued If you are reporting excess sick leave, CalSTRS will send you a bill for the amount due for the unused excess sick leave days reported. A present-value calculation is used to determine the amount due. This applies only if you are reporting unused excess sick leave days. Total Sick Leave Days Accumulated Unused Regular Sick Leave Days + Unused Excess Sick Leave Days = Total Sick Leave Days Contract Base Service Days (final year): To determine Contract Base Service Days, subtract the number of school and legal holidays from the full-time equivalent (FTE), if they are included in the FTE. The base service days cannot be fewer than 175 days. FTE is the number of days that a person is required to work in that position for the school year if employed full time. SECTION 3: EMPLOYER FINAL COMPENSATION INFORMATION (TO BE COMPLETED ONLY BY EMPLOYER) One-Year Final Compensation: Check this box only if the district has a collective bargaining agreement that authorizes one-year final compensation and the member meets the eligibility requirements. Please attach only the relevant pages of the collective bargaining agreement that demonstrate eligibility. Final Compensation Salary Reduction: Check this box if the member received a reduced salary due to a reduction in school funds and is eligible to use any three nonconsecutive years for his or her final compensation. Indicate the school year in which the reduction occurred. SECTION 4: REQUIRED SIGNATURES (TO BE COMPLETED ONLY BY EMPLOYER) Print the name of the superintendent or authorized designee, official title, and telephone and fax numbers. Sign and date the form. Return the form to CalSTRS within 30 days of the member s retirement date or the date CalSTRS receives her or his retirement application, whichever is later. CalSTRS may assess penalties for delinquent reports. SUBMITTING THE REPORT (TO BE COMPLETED BY EMPLOYER) Mail to: CalSTRS P.O. Box 15275, MS 65 Sacramento, CA Fax to: or Overnight or hand deliver to: If you are hand delivering or using a special mailing service such as UPS or FedEx, send the form to: CalSTRS Member Services 100 Waterfront Place West Sacramento, CA QUESTIONS MEMBERS ONLY your questions using your mycalstrs account or at CalSTRS.com/contactus, or call Excess Sick Leave Worksheet (Optional) If excess sick leave days were accumulated and unused, complete the calculation given below to determine present value amount. Unused Excess Contract Base Prior Year Present-Value Present Sick Leave Days Service Days Earnable Factor Value x x = PAGE 2 OF 2 EXPRESS BENEFIT REPORT INFORMATION AND INSTRUCTIONS REV 09/13

39 Express Benefit Report SR 0554E (rev 09/13) California State Teachers Retirement System P.O. Box 15275, MS 65 Sacramento, CA CalSTRS.com Members: Complete only section 1, then submit this form to each of your employers during your last school year. This form allows you to request your accumulated unused sick leave balance and employment information from your last employer. Credit for unused sick leave is included in your final retirement benefit calculation. This form is not an application for a benefit. You must submit your Service Retirement Application to CalSTRS before you ll receive your CalSTRS retirement benefit. Employers: Complete sections 2-4 and return directly to CalSTRS. This form is used to report employment and sick leave benefit information, including the termination of employment and unused and excess sick leave. This form must be certified by the county superintendent or authorized designee. Employers are required to certify employment termination and sick leave information within 30 days of the member s retirement date or the date CalSTRS receives her or his retirement application, whichever is later. CalSTRS may assess penalties for delinquent reports. Section 1: Member Information (To be completed by member) NAME (LAST, FIRST, INITIAL) SOCIAL SECURITY NUMBER MAILING ADDRESS DATE OF BIRTH (MM/DD/YYYY) ( ) CITY STATE ZIP CODE HOME TELEPHONE POSITION TITLE I had more than one employer during my last school year of CalSTRS-covered employment. Members: Stop here and forward this form to your last employer(s) to complete and return to CalSTRS. Section 2: Employer Information (To be completed by last employer(s) and returned directly to CalSTRS) COUNTY AND DISTRICT CODE (FIVE DIGITS) EMPLOYER CONTACT NAME EMPLOYER TELEPHONE ( ) EMPLOYER ADDRESS CITY STATE ZIP CODE ( ) EMPLOYER ADDRESS EMPLOYER FAX EMPLOYMENT TERMINATION DATE (MM/DD/YYYY) (ENTER THE DATE THE MEMBER SEPARATED FROM THE EMPLOYER OR THE LAST DAY THE MEMBER WAS ON PAID LEAVE. THIS DATE MUST BE EARLIER THAN THE RETIREMENT DATE.) LAST DAY OF PAID EMPLOYMENT (MM/DD/YYYY) (ENTER THE DATE OF THE MEMBER S LAST DAY OF WORK OR APPROVED LEAVE. THIS DATE MUST BE EARLIER THAN THE RETIREMENT DATE.) Continued on reverse side. EXPRESS BENEFIT REPORT REV 09/13 PAGE 1 OF 2

40 Express Benefit Report continued MEMBER S NAME (LAST, FIRST, INITIAL) CLIENT ID OR SOCIAL SECURITY NUMBER Section 2: Employer Information continued Sick Leave Days Report unused and excess sick leave as of the member s anticipated last day of paid employment. If the Express Benefit Report form is submitted before the last day of work, vacation or approved leave and the member uses sick leave after submitting this form, the district must submit a correction on the Employment Termination or Sick Leave Data Correction form to CalSTRS to ensure the member receives an accurate final benefit. Unused Sick Leave Report/Unused Excess Sick Leave Billing Enter days only. Do not enter hours. If the employee has no accumulated unused sick leave days, enter zero. Accumulated Unused Unused Excess Total Contract Base Service Days Regular Sick Leave Days Sick Leave Days* Sick Leave (cannot be less than 175 days) + = * CalSTRS will send a bill for unused excess sick leave days reported. Send the present-value amount to CalSTRS within 30 days following the retirement date or interest will accrue. For additional information about excess sick leave, see the Express Benefit Report instructions. Section 3: Employer Final Compensation Information (To be completed by employer) One-year final compensation I certify pursuant to the district bargaining agreement that the present-value payment for one-year final compensation will be made to CalSTRS within 30 days of receiving billing for the member, who has fewer than 25 years of service credit. I have attached a written agreement demonstrating the member is eligible for the one-year final compensation. (Attach only relevant pages.) Final compensation salary reduction I certify that because of a reduction in school funds, the member s salary was reduced during the following school year(s) /. The member is eligible to use any three nonconsecutive years for final compensation. Section 4: Required Signatures I certify under penalty of perjury under the laws of the State of California that the foregoing is true and correct. I understand that perjury is punishable by imprisonment for up to four years (Penal Code section 126). I understand it is a crime to fail to disclose a material fact or to make any knowingly false material statements for the purpose of altering a benefit administered by CalSTRS and it may result in penalties, including restitution, up to one year in jail and a fine of up to $5,000 (Education Code section 22010). PRINT NAME OF SUPERINTENDENT OR AUTHORIZED DESIGNEE Signature ( ) TELEPHONE SIGNATURE (SUPERINTENDENT OR AUTHORIZED DESIGNEE) OFFICIAL TITLE DATE (MM/DD/YYYY) ( ) FAX PAGE 2 OF 2 EXPRESS BENEFIT REPORT REV 09/13

41 Express Benefit Report Information and Instructions The Express Benefit Report form is used to request accumulated unused sick leave balance and employment termination information from your employer(s) during your last school year for whom you performed CalSTRS creditable activities. Your employer must report and certify required employment information on this form to comply with California law: For retirements effective on or after January 1, 2013, each of your employers during the last school year in which you earned service credit can submit an Express Benefit Report form if your unused sick leave was not transferred between districts. Your last employer is required to submit an Express Benefit Report form to certify your employment termination date, last day of paid employment and unused sick leave. For retirements effective before January 1, 2013, only your last employer can report unused sick leave. Your last employer is required to submit this form to certify your employment termination date, last day of paid employment and unused sick leave. Credit for unused sick leave is included in the calculation of your retirement benefit. You must submit your Service Retirement Application to CalSTRS before you ll receive your CalSTRS retirement benefit. If your employer submits this form after you submit your retirement application, it will not delay your initial benefit. Your full benefit will be calculated when the Express Benefit Report form is processed. You will receive a payment for any accumulated difference. An award letter with the updated information will be mailed to you. Contact your employer if there are discrepancies between your records and what your last employer reported to CalSTRS. Please do not submit this form to CalSTRS. After completing sections 2 4, your employer will return the Express Benefit Report form directly to CalSTRS. SECTION 1: MEMBER INFORMATION (TO BE COMPLETED BY MEMBER) Enter your full name, Social Security number, date of birth, mailing address, telephone number and position title. If your salary was reduced due to a reduction in school funds, you may be eligible for three-year nonconsecutive final compensation. Your employer will need to certify that you were subject to a salary reduction. If your retirement date is on or after January 1, 2013, and you had multiple employers during the last school year in which you performed CalSTRS-covered employment, each employer can report unused sick leave provided this leave was not transferred. Mark the box indicating that you had more than one employer in the last school year of CalSTRScovered employment. Complete only section 1 of the Express Benefit Report form and give the form and these instructions to your last employer(s). Your employer(s) will complete sections 2 4 and return the form directly to CalSTRS. Your last employer(s) must complete and certify the information in the remaining sections. SECTION 2: EMPLOYER INFORMATION (TO BE COMPLETED ONLY BY EMPLOYER) County and District Codes: Enter the appropriate fivedigit county and district codes. Example: Kern County, Edison, would be Contact your CalSTRS liaison if you are unsure of your code. Employer Contact Name, Address and Telephone: Enter the name, mailing and addresses, and phone and fax numbers of the person CalSTRS should contact if there are questions about information submitted on this form. Employment Termination Date: Enter the last day of work or approved leave for which the member was paid. This date can be the same as the last day of paid employment. This date must be before the member s retirement date. Last Day of Paid Employment: Enter the date of the member s last day of work or approved leave. If the member was on an approved leave or a leave of absence, enter the date of the last actual day of that leave. This date can be the same as the employment termination date. This date also must be before the member s retirement date. Sick Leave Days: Accumulated Unused Regular Sick Leave Days Enter the number of accumulated unused sick leave days the member will have as of the last day of paid employment. Unused Excess Sick Leave Days Enter the number of accumulated unused excess sick leave days the member will have as of the last day of paid employment. Excess sick leave is sick leave granted by the employer after June 30, 1986, that exceeds one day of sick leave per pay period of at least four weeks. EXPRESS BENEFIT REPORT INFORMATION AND INSTRUCTIONS REV 09/13 PAGE 1 OF 2

42 Express Benefit Report Information and Instructions continued If you are reporting excess sick leave, CalSTRS will send you a bill for the amount due for the unused excess sick leave days reported. A present-value calculation is used to determine the amount due. This applies only if you are reporting unused excess sick leave days. Total Sick Leave Days Accumulated Unused Regular Sick Leave Days + Unused Excess Sick Leave Days = Total Sick Leave Days Contract Base Service Days (final year): To determine Contract Base Service Days, subtract the number of school and legal holidays from the full-time equivalent (FTE), if they are included in the FTE. The base service days cannot be fewer than 175 days. FTE is the number of days that a person is required to work in that position for the school year if employed full time. SECTION 3: EMPLOYER FINAL COMPENSATION INFORMATION (TO BE COMPLETED ONLY BY EMPLOYER) One-Year Final Compensation: Check this box only if the district has a collective bargaining agreement that authorizes one-year final compensation and the member meets the eligibility requirements. Please attach only the relevant pages of the collective bargaining agreement that demonstrate eligibility. Final Compensation Salary Reduction: Check this box if the member received a reduced salary due to a reduction in school funds and is eligible to use any three nonconsecutive years for his or her final compensation. Indicate the school year in which the reduction occurred. SECTION 4: REQUIRED SIGNATURES (TO BE COMPLETED ONLY BY EMPLOYER) Print the name of the superintendent or authorized designee, official title, and telephone and fax numbers. Sign and date the form. Return the form to CalSTRS within 30 days of the member s retirement date or the date CalSTRS receives her or his retirement application, whichever is later. CalSTRS may assess penalties for delinquent reports. SUBMITTING THE REPORT (TO BE COMPLETED BY EMPLOYER) Mail to: CalSTRS P.O. Box 15275, MS 65 Sacramento, CA Fax to: or Overnight or hand deliver to: If you are hand delivering or using a special mailing service such as UPS or FedEx, send the form to: CalSTRS Member Services 100 Waterfront Place West Sacramento, CA QUESTIONS MEMBERS ONLY your questions using your mycalstrs account or at CalSTRS.com/contactus, or call Excess Sick Leave Worksheet (Optional) If excess sick leave days were accumulated and unused, complete the calculation given below to determine present value amount. Unused Excess Contract Base Prior Year Present-Value Present Sick Leave Days Service Days Earnable Factor Value x x = PAGE 2 OF 2 EXPRESS BENEFIT REPORT INFORMATION AND INSTRUCTIONS REV 09/13

43 Express Benefit Report SR 0554E (rev 09/13) California State Teachers Retirement System P.O. Box 15275, MS 65 Sacramento, CA CalSTRS.com Members: Complete only section 1, then submit this form to each of your employers during your last school year. This form allows you to request your accumulated unused sick leave balance and employment information from your last employer. Credit for unused sick leave is included in your final retirement benefit calculation. This form is not an application for a benefit. You must submit your Service Retirement Application to CalSTRS before you ll receive your CalSTRS retirement benefit. Employers: Complete sections 2-4 and return directly to CalSTRS. This form is used to report employment and sick leave benefit information, including the termination of employment and unused and excess sick leave. This form must be certified by the county superintendent or authorized designee. Employers are required to certify employment termination and sick leave information within 30 days of the member s retirement date or the date CalSTRS receives her or his retirement application, whichever is later. CalSTRS may assess penalties for delinquent reports. Section 1: Member Information (To be completed by member) NAME (LAST, FIRST, INITIAL) SOCIAL SECURITY NUMBER MAILING ADDRESS DATE OF BIRTH (MM/DD/YYYY) ( ) CITY STATE ZIP CODE HOME TELEPHONE POSITION TITLE I had more than one employer during my last school year of CalSTRS-covered employment. Members: Stop here and forward this form to your last employer(s) to complete and return to CalSTRS. Section 2: Employer Information (To be completed by last employer(s) and returned directly to CalSTRS) COUNTY AND DISTRICT CODE (FIVE DIGITS) EMPLOYER CONTACT NAME EMPLOYER TELEPHONE ( ) EMPLOYER ADDRESS CITY STATE ZIP CODE ( ) EMPLOYER ADDRESS EMPLOYER FAX EMPLOYMENT TERMINATION DATE (MM/DD/YYYY) (ENTER THE DATE THE MEMBER SEPARATED FROM THE EMPLOYER OR THE LAST DAY THE MEMBER WAS ON PAID LEAVE. THIS DATE MUST BE EARLIER THAN THE RETIREMENT DATE.) LAST DAY OF PAID EMPLOYMENT (MM/DD/YYYY) (ENTER THE DATE OF THE MEMBER S LAST DAY OF WORK OR APPROVED LEAVE. THIS DATE MUST BE EARLIER THAN THE RETIREMENT DATE.) Continued on reverse side. EXPRESS BENEFIT REPORT REV 09/13 PAGE 1 OF 2

44 Express Benefit Report continued MEMBER S NAME (LAST, FIRST, INITIAL) CLIENT ID OR SOCIAL SECURITY NUMBER Section 2: Employer Information continued Sick Leave Days Report unused and excess sick leave as of the member s anticipated last day of paid employment. If the Express Benefit Report form is submitted before the last day of work, vacation or approved leave and the member uses sick leave after submitting this form, the district must submit a correction on the Employment Termination or Sick Leave Data Correction form to CalSTRS to ensure the member receives an accurate final benefit. Unused Sick Leave Report/Unused Excess Sick Leave Billing Enter days only. Do not enter hours. If the employee has no accumulated unused sick leave days, enter zero. Accumulated Unused Unused Excess Total Contract Base Service Days Regular Sick Leave Days Sick Leave Days* Sick Leave (cannot be less than 175 days) + = * CalSTRS will send a bill for unused excess sick leave days reported. Send the present-value amount to CalSTRS within 30 days following the retirement date or interest will accrue. For additional information about excess sick leave, see the Express Benefit Report instructions. Section 3: Employer Final Compensation Information (To be completed by employer) One-year final compensation I certify pursuant to the district bargaining agreement that the present-value payment for one-year final compensation will be made to CalSTRS within 30 days of receiving billing for the member, who has fewer than 25 years of service credit. I have attached a written agreement demonstrating the member is eligible for the one-year final compensation. (Attach only relevant pages.) Final compensation salary reduction I certify that because of a reduction in school funds, the member s salary was reduced during the following school year(s) /. The member is eligible to use any three nonconsecutive years for final compensation. Section 4: Required Signatures I certify under penalty of perjury under the laws of the State of California that the foregoing is true and correct. I understand that perjury is punishable by imprisonment for up to four years (Penal Code section 126). I understand it is a crime to fail to disclose a material fact or to make any knowingly false material statements for the purpose of altering a benefit administered by CalSTRS and it may result in penalties, including restitution, up to one year in jail and a fine of up to $5,000 (Education Code section 22010). PRINT NAME OF SUPERINTENDENT OR AUTHORIZED DESIGNEE Signature ( ) TELEPHONE SIGNATURE (SUPERINTENDENT OR AUTHORIZED DESIGNEE) OFFICIAL TITLE DATE (MM/DD/YYYY) ( ) FAX PAGE 2 OF 2 EXPRESS BENEFIT REPORT REV 09/13

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