Application now available for 2012 Scholarships

The Indiana Retired Teachers Association is offering eight scholarships of $3,000 each to education majors who are juniors or seniors at an Indiana college or university for the 2012-2013 school year.

Applicants must be an Indiana resident as well as a son/daughter, grandson/granddaughter, legal dependent, or spouse of an active, retired or deceased member of the Indiana State Teachers’ Retirement Fund (TRF).

The scholarship deadline is January 31, 2012.
See the Foundation & Scholarship page to download the guidelines and application.

Budget Bill Passes with Amendment 21 of a One Time Payment (13th Check)

The Indiana General Assembly adjourned on Friday, April 29, after approving the budget for 2011-2013. Amendment 21 was included, which secures a one-time payment (13th check) for retired teachers. The amendment to the budget bill was originally presented by Sen. Vaneta Becker (R-Evansville).

After an eloquent presentation, the full Senate voted 49-0 to approve the amendment. Sen. Lindel Hume (D-Princeton) also spoke in favor of Amendment 21. Sen. Tom Wyss was not able to vote on the amendment because of his excused absence.

After the vote, Sen. Vaneta Becker said to retired teachers and retired public workers, “You deserve this payment, and I was glad to help. I appreciate your many years of service and teaching the children of the State of Indiana.”
You can see the amount you will receive from Sen. Becker’s amendment here: http://in.gov/legislative/bills/2011/SAMF/MO1001552.021.html

Provision to Reduce the Unfunded Liability of the Teacher Retirement Fund
The provision added by Sen. Luke Kenley (R-Noblesville) was also included. This addition would pay down the $11 billion in unfunded teacher pension liabilities the state faces. The provision provides that one half of any surplus over 10% would apply to the unfunded liability of the Teacher Retirement Fund through the Pension Stabilization Fund.

How are federal taxes calculated?
TRF is required under federal law to report any distributions made to you in any given calendar year. Any or all amounts may be taxable. Your withholding amount is based on the federal tax election you filed with TRF. If you did not make any election; per IRS guidelines, you would have defaulted to married with three exemptions.

For more information, See New Federal Income Tax Withholding on TRF’s Web site, here: http://www.in.gov/trf/2608.htm

If you have questions, you can contact TRF’s customer service center toll-free at (888) 286-3544, Monday through Friday from 8 a.m. to 5 p.m. EST. When calling, you will be asked to provide your pension ID and passcode. If you do not have this information, please hold the line and you will be transferred to a customer service representative.

Do you know the difference between a Defined Benefit Plan and a Defined Contribution Plan?
Click HERE to learn the benefits of a Defined Benefit Plan.