Individuals who are married or plan to be married when they retire on a TRS pension can benefit from Pension Maximization.
Simply put, Pension Maximization is a strategy to get the most money possible from your TRS pension account. By planning ahead you can receive the highest monthly payout available from TRS while also protecting the pension you've worked your whole life to accumulate. The sooner you start a Pension Maximization strategy, the more you will benefit.
When you set up your retirement, the Teacher Retirement System will give two options for your pension. You can elect a Standard Retirement that pays you a monthly benefit for the rest of your life. Alternatively, you can elect a reduced monthly retirement benefit for the rest of your life, AND that reduced benefit will continue to be paid to your surviving spouse for the rest of his or her life. The reduced payout is called a Joint and Survivor Annuity.
With Pension Maximization you essentially create your own Joint and Survivor Annuity that is much more beneficial to you than the one offered by the Teachers Retirement System.
Pension Maximization could be worth hundreds of thousands of dollars to you and your family. Request a Custom Illustration to see what it could be worth to you.
Pick one of these three examples that most closely matches your situation. The illustration will give you an idea how Pension Maximization can work for you. Better yet, Request a Custom Illustration to see exactly what Pension Maximization can do for you.
Kaley's husband Matt is 5 years older than her.
Kaley has participated in the TRS for 5 years.
Janice's husband Bob is 4 years older than her.
Janice has participated in the TRS for 19 years.
West is a Farmers Agent who specilizes in helping teachers get the most from the Teachers Retirement System. He's well versed in the Teachers Retirement System Handbook. He holds a Summa Cum Laude Finance Degree from Texas State University.
A Joint and Survivor Annuity from TRS pays you a monthly benefit for the rest of your life and for the rest of your spouse's life should he or she survive you. The monthly benefit that is paid to you and your surviving spouse is less than the monthly benefit you would receive for the remainder of only your life. The reduction in your monthly benefit can be substantial.
Pension Maximization can benefit you even if you retire from a different profession or retire as a teacher in a state other than Texas.