TRS Texas Pay Outlook: Anticipating Retired Teacher Pay Increase in 2024

TRS Texas Pay Outlook: When certain Teacher Retirement System (TRS) beneficiaries reach retirement age in January 2024, they will start getting a fixed cost-of-living increase (COLA) to their monthly annuity payouts.

On November 7, a constitutional change was passed that lets TRS issue the COLA.

According to a statement, TRS will let qualified people know about the rise in their annuity percentage.

“As always, the TRS team is dedicated to enhancing retirement security and making sure that our members receive benefit increases that have been approved by the legislature in the most effective way possible,” stated Brian Guthrie, CEO of TRS.

The 88th Regular Legislative Session saw the passing of Senate Bill (SB) 10 and House Joint Resolution (HJR) 2. These bills give two types of benefit increases to eligible TRS beneficiaries, including some retirees, beneficiaries, and alternate payees who get a monthly annuity from TRS.

In September of last year, TRS distributed the first enhancements and one-time stipends.

The second change, the COLA, will be added to payments made to qualified recipients starting with the April 2024 payment that is due on the last business day of the month.

SSA Payment Schedule 2024 and Key Changes Unveiled (www.eduvast.com)

TRS Texas Pay Outlook: How much will the payment go up?

The COLA is a one-time, permanent raise for pensions. It looks like this:

People who are retired

• from September 1, 2013, to August 31, 2020; 2% COLA
• People who retired between September 1, 2001, and August 31, 2013: 4% COLA
• 6% COLA for retirees who retired on or before August 31, 2001

Beneficiaries of Retirees

• 2% COLA from September 1, 2013, to August 31, 2020
• From September 1, 2001, to August 31, 2013, a 4% COLA
• 6% COLA on or before August 31, 2001

Claimants who are active members

• Deaths from September 1, 2013, to August 31, 2020, with a 2% COLA
• From 9/1/2001 to 8/31/2013, deaths rose by 4%.
• 6% add-on for deaths before August 31, 2001
• ‘Altered recipients’ in Section 804.005
• Section 804.005 voting dates: September 1, 2013, to August 31, 2020; 2% COLA
• Dates for Section 804.005 elections from September 1, 2001, to August 31, 2013 4% COLA
• Choose Section 804.005 by August 31, 2001, or before that date. 6% COLA