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Contribution Rates

TRSL defined benefit plan
TRSL's defined benefit plan is funded through member contributions, employer contributions, and investment earnings of the retirement system. Members contribute a percentage of salary and employers contribute a percentage of payroll toward funding retirement benefits. The employer contribution to TRSL is made up of two parts: (1) the normal cost, which is the cost of funding the benefits all active employees will earn that year, and (2) that year’s payments for the unfunded accrued liability (UAL). Historically, the normal cost has ranged between five and seven percent. Payments for the UAL are determined by statute and designed to pay off the liability within no more than 30 years from the time it occurred.

To view historical rates for TRSL's Defined Benefit Plan, click the link below:
TRSL Defined Benefit Plan Contribution Rates from 1936-Present

Optional Retirement Plan (ORP)
An ORP account is owned by the participant, who contributes eight percent of salary (less a 0.05-percent TRSL administrative fee). Employers contribute the equivalent of the defined benefit normal cost, which changes annually (see above). These contributions—the net employee contribution of 7.95 percent plus the employer normal cost contribution—are transferred to the ORP carrier selected by the employee.

To view historical contribution rates for the ORP, click the link below:
Optional Retirement Plan (ORP) Contribution Rates