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New Retirement Legislation
Other New Benefits
Medicare Part A
- Any teacher who is not otherwise eligible for coverage either from his or her own employment or the employment of a spouse will receive Medicare Part A coverage paid for him or her. The member is required to purchase Medicare Part B in order to receive Medicare Part A coverage.
Ad Hoc Benefits for Current Retirees
- Any STRS member receiving pension payments before 1975 will get a 6% increase in his or her retirement benefit. Post 1997 retirees will not receive this benefit, however.
- The monthly allowance paid to current STRS retirees (or beneficiaries) will be based on the year in which the allowance first became payable, according to the following schedule:
|
Period during which retirement
or death occurred. |
Increase |
|
After December 31, 1997 |
0% |
|
During 12 months just prior
to December 31, 1997 |
1% |
|
During 24 months just prior
to December 31, 1996 |
2% |
|
During 60 months just prior
to December 31, 1994 |
3% |
|
During 60 months just prior
to December 31, 1989 |
4% |
|
During 120 months just prior
to December 31, 1984 |
5% |
|
December 31, 1974 or earlier |
6% |
The benefit will become effective on January 1, 2001 and will be initially paid by July 1, 2001, with a lump sum payment for the period of time between January 1, 2001 and when the payment is issued.
Minimum Guarantee
-
Pension benefits will be boosted for those retirees who retired
before age 55, were disabled, or had sufficient service at age
60 to reach 20 years; those who were inactive at retirement,
or those who had sufficient sick leave to reach 20 years.
Most decisions on education policy and funding are made in Sacramento by legislators, the Governor and bureaucrats. Without a strong, forceful advocate working on teachers behalf in Sacramento, policymakers would ignore our voice, our expertise and our practical experience. CTA employs seven full-time education advocates to track legislation, to testify at committee hearings, and work behind the scenes to ensure that our professional interests and rights are protected.
The recent improvements in retirement legislation for all California teachers are a direct result of CTAs advocacy. The retirement package will enable teachers to retire with significantly increased benefits.
Included in this section are the major components of this legislation. For more detailed information, log on to the CTA website, www.cta.org
or the California State Teachers Retirement website, www.calstrs.com.
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