(TRS) Plan 3 Benefit Estimate - Department of Retirement Systems

Washington State Department of Retirement Systems PO Box 48380 Olympia, WA 98504-8380 Phone: 360.664.7000 or 800.547.6657 l Email: recep@drs.wa.gov l Website: www.drs.wa.gov Teachers’ Retirement System (TRS) Plan 3 Benefit Estimate Worksheet As a member of TRS Plan 3, you can use this worksheet to estimate the defined benefit you will receive at retirement. To assist you in completing the worksheet, the right-hand column shows a sample of information that you would enter. Please keep in mind that this is an estimate only and is based on projected salary and service credit. Your actual benefit at retirement may differ. (See page 4 for general information about your retirement plan.) The defined benefit is only one part of your retirement plan. For

information about your defined contribution account, refer to your Quarterly Statement or review the Plan 3 Request for Payment of Defined Contribution Funds. TRS Plan 3 Benefit Estimate Worksheet You Sample Step 1: Determine the age at which you plan to retire. 1. Your age at retirement: 65 Step 2: Determine your total service credit at retirement. 2a. Your current balance of service credit years: 2b. The number of years until your retirement: 2c. Your projected service credit years at retirement (2a + 2b): 22 + 8 30 Step 3: Estimate your Average Final Compensation (AFC). See page 4 for an explanation of AFC. If your retirement date is many years in the future, your future AFC may differ from its current level. You may wish to estimate your future salary, then figure an AFC based on those figures. 3. Your estimated AFC: $3,340 per month Step 4: Compute your Option 1 (Single Life) benefit. The Option 1 (Single Life) benefit provides you with the highest monthly benefit. However, payments stop upon your death and do not continue to a survivor. The formula for your Option 1 monthly benefit is: 1% x Service Credit Years x AFC 4. Your Option 1 benefit amount: 1% x 30 x $3,340 = $1,002 per mo. Complete the next step only if you will provide for a survivor. There are three survivor options available. Under each of these options, your Option 1 benefit is reduced in order to provide a continuing payment to a survivor after your death. If you choose one of the survivor options and your designated survivor dies before you, your benefit will be adjusted to the higher Option 1 payment level. Be sure to notify DRS to initiate this adjustment. Step 5. Adjust your benefit for a survivor option. Determine the age difference between you (the member) and your survivor (rounded to the nearest year). Then use Table 1 on page 3 to find the reduction factors to apply. 5a. The age difference between you and your survivor: Your age is 65; your survivor’s age is 63. You are 2 years older Washington State Department of Retirement Systems PO Box 48380 Olympia, WA 98504-8380 Phone: 360.664.7000 or 800.547.6657 l Email: recep@drs.wa.gov l Website: www.drs.wa.gov l Page 2 TRS Plan 3 Benefit Estimate Worksheet You Sample Option 2 (Joint and 100% Survivor) – When you die your survivor receives a benefit...

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