TCRS is a defined benefit plan. The features of a defined benefit plan are:
TCRS is designed to provide three types of benefits: retirement benefits, disability benefits, or survivor benefits. For more information, please visit the Tennesee Consolidated Retirement System.
The ORP is a "defined contribution" retirement plan, which means that the amount of any future benefit will be determined by the member's account balance. Employer contributions are credited to each ORP member's account during service to a Tennessee higher education institution. The employer contributes 10% of gross salary covered by Social Security and 11% of salary in excess of the Social Security wage base.
The purpose of the optional retirement program is to establish a lifetime retirement benefit. The lifetime retirement benefit is accomplished through the use of annuity contracts. Tennessee Code Annotated § 8-35-411 sets the maximum ORP cash withdrawal. The election is available at retirement or separation from service. A cash withdrawal must be accompanied by annuitization of a like amount of the balance.
Annuity providers in the ORP are:
For more information, please visit the Optional Retirement Program.
The TBR also offers several deferred compensation plans to allow employees to save for retirement on a tax-deferred basis. Contributions to these plans are made through regular payroll deductions. Salary set aside through these plans cannot be withdrawn before separation from service except under a few limited circumstances. Participants in these plans are permitted to direct their contributions among a variety of investment options.
Two optional tax-deferred retirement savings plans operated by the State of Tennessee Treasury Department: a 457 plan and a 401(k) plan. To view plan highlights and comparison, please see 401(k) Plan Highlights and 457 Plan Highlights and 401(k) and 457 Plan Comparison. These plans are administered by Empower Retirement. Please visit the Deferred Compensation Program for additional information. You may also access your account through Empower Retirement.
You can make changes to your contribution levels in two ways:
TBR also offers a 403(b) plan for employees. Information on this plan is available in the Office of Human Resources.