Public School Employee Retirement System (PSERS)

The Public School Employees’ Retirement System (PSERS) is an agency of the Commonwealth of Pennsylvania who administers the pension plan for Pennsylvania’s public school employees. PSERS refers to our employees as members. As a PSERS member, you contribute to a safe, secure, and guaranteed benefit payment(s) from one of the largest public pension plans in the nation.

• From the first day of employment, all employees are automatically enrolled in the Public School Employee Retirement System (PSERS) defined benefit (DB) pension program.
• Employees scheduled to work 25 hours or more a week are considered members of PSERS from day one of employment and are required to contribute to the pension.
• The rate associated with each class is the percentage of your pre-tax salary that is deducted each pay.
  • By default, new members contributing for the first time effective 7/1/2019 to the present are enrolled in pension Class TG.
  • New members have 90 calendar days from the first day worked, to enroll in one of two other pension classes: Class TH and Class DC.
  • Switching to a different class is a lifetime enrollment that is irrevocable.
  • If a new member does not switch to a different class, PSERS will assume you want to remain in Class TG which is also a lifetime, irrevocable enrollment.

You must be completely separated from employment to be eligible to withdraw your pension money.

Processing of your pension can take at least 3 months, and does not begin until your final pay has been reported. Final pay is reported the month after your last pay is paid to you. For more information about your pension and what you are entitled to receive, please contact PSERS directly at 1-888-773-7748, and/or Voya at 1-833-432-6627. You can see more information about your pension account by visiting PSERS’ self-service portal or Voya.

Requesting an Estimate

• If you are seriously considering retirement within the next 12 months, it may be in your best interest to receive a staff-prepared retirement estimate from PSERS.
• PSERS will provide up to two staff-prepared estimates within a 12-month period.
• An estimate can be computed by PSERS to show the potential monthly benefit you would receive at retirement through the normal, early, vested or disability benefit.
• The PSERS estimate is the only official retirement estimate pertaining to your PSERS benefit.
• To obtain a PSERS staff-prepared retirement estimate, complete a Request for Retirement Estimate and forward it directly to PSERS by using the fax or mailing address on the form. This can also be done over the phone by contacting PSERS at 1-888-773.7748. Click here to read about PSERS’ Online Retirement Calculator.

Exit Counseling

• Exit counseling is offered as a service to anyone retiring in the current school year.
• Six to nine months prior to your date of retirement, contact your PSERS regional office to schedule an Exit Counseling session.
• The Exit Counseling sessions are scheduled to accommodate a small group.
• Exit Counseling is offered both in person or virtually, both meetings will cover the same information and are small groups limited to 10 retirees plus one guest.
• A PSERS Retirement Counselor will cover topics such as benefit options, withdrawal of contributions, rollovers, taxes, and legislative actions affecting PSERS.
• PSERS recommends that all active members attend an FFYF seminar, particularly if you are planning to retire within the year. Advance registration is not required to attend any of these seminars. Please contact the PSERS Southeast Regional Office at 215.443.3495 if you require accommodation to participate.

Withdrawing your Pension

• To receive a refund of your pension contributions, please contact PSERS directly to obtain the appropriate form.
• If you are vested, and would like to apply for a monthly pension benefit, please complete the Application for Retirement.

Some absences and leaves are not reportable to PSERS otherwise none as Non-Retirement Covered Compensation (NRCC).

• Any salary or days not permitted to be reported is enforced by PSERS. This means those days you will not receive credit towards your pension whether the below absences/leaves are paid, partially paid or unpaid.
• Some leaves are eligible to “purchase” so that you are able to make additional contributions to make up for the time not reported.

Absences/Leaves Not Reportable to PSERS:

• All unpaid absences
• Wage Continuation
• Military Leave
• Suspension (whether paid or unpaid)
• Furlough Absences
• Strikes
• Absences due to subpoenas
• Worker’s Compensation

Leaves That Can Be Purchased Back:

• Workers’ Compensation
• Education Leave
• Military Leave
• Previously refunded pension contributions for Full-Time salaried, employees (scheduled 25+ hours/week)
• Previously refunded pension contributions for Part-Time, salaried employees (scheduled less than 25 hours/week)
• Pension service credits from an out-of-state school district (This entire process will be completed with PSERS)

More information is outlined in the Purchase of Service section.

You may not borrow from your pension with PSERS, your account with Voya, nor any after tax contributions made to a Voya account while still an employee for the SDP.

You must be separated from service and not contributing from any other entity to PSERS to access your pension money.

What will my pension contributions be? Why do I see two retirement deductions?

• You are automatically enrolled in a hybrid retirement plan contributing to PSERS (a Defined Benefit plan, or DB) as well as Voya Financial Inc. (a Defined Contribution plan, or DC), called Class T-G.
• Since you will be enrolled in two different plans, you will have two deductions–one going to your PSERS account and the other to your Voya account shown as RETIREMENT for each deduction on your paystub (example below).
• You will have 90 days from your first day of work to switch to one of two other plans: Class T-H (which is the same as Class T-G but with a lower deduction) and Class DC, which are only contributions to Voya (this class does not have a pension). Below are the rates for each class. Deductions are pre-tax and per-pay.

Example: If your pay is $1000.00 before taxes, in Class T-G, you would see $90.00 deducted to go towards your accounts–that is $62.50 going to PSERS (DB) and $27.50 to Voya (DC). What you contribute is always a percentage of what you were paid.

Please Note: If you began contributing to PSERS for the first time prior to 7/1/2019, you are enrolled in one of the following classes: TC, TD, TE, or TF. To confirm which class you are enrolled in, you may contact PSERS at 1-888-773-7774 or register for their Member Self-Service.

Hourly Paid Employees

• Hourly paid workers contributing for the first time are not members of PSERS until they work 500 hours in one school year, and are not required to contribute to the pension until then.
• Hourly and daily paid workers who choose to remain enrolled, and do not work the 500 hours by the end of the school year, will receive a refund of contributions annually. PSERS will notify you once you should expect the refund. Hourly workers who do meet the 500 hours in one school year will become a member of PSERS automatically and must remain a member each year following.

Unlike an insurance policy, a disability retirement benefit is an actual retirement benefit. You must file an Application for Disability Retirement (PSRS-49) to be considered for the benefit.

• Benefits are subject to approval, denial, or renewal by PSERS based on your medical documentation and your job description.PSERS reserves the right to review and/or revoke your disability benefit at any time.
• Generally, a disability retirement benefit is designed to provide at least one-third of your final average salary.
• If granted disability benefits, you will receive a monthly retirement benefit payment for as long as you are deemed disabled and comply with the necessary requirements.
• Your benefit is subject to an annual earnings limitation and ongoing submission of medical documentation.
• You may receive a disability retirement benefit from PSERS as well as a disability benefit from another plan such as workers’ compensation, social security, and/or an independent insurance company.
• Receiving other disability benefits will not affect your PSERS disability retirement benefit; however, your PSERS disability retirement benefit may affect other disability benefits.
• Your insurance provider or workers’ compensation carrier may require you to reimburse them for any retroactive disability retirement benefits paid to you by PSERS. It is your responsibility to contact those insurance carriers regarding PSERS payments.
• Click Here for more information.

FFYF are PSERS seminars that are designed to give public school employees general information about PSERS’ benefits and services and help you begin to plan for your retirement early in your career.

• Each seminar lasts approximately 90 minutes.
• The Foundations for Your Future programs provide a broader overview of PSERS benefits and retirement and are designed to prepare you to proceed onto the more detailed information and the completion of the paperwork presented during an Exit Counseling session.
• These seminars are provided solely for the education of members of PSERS. Financial planners will not be permitted to solicit business at these seminars. prior to attending the Exit Counseling Session.
• Emphasis at the Exit Counseling will be on completion of the retirement application and related forms.

Normal Retirement

Normal retirement, also known as superannuation or full retirement, is an unreduced DB benefit where all age and/or service requirements are met. If you are vested, you may receive a normal retirement benefit when you terminate public school employment. To qualify for normal retirement under the PSERS guidelines, employees must meet certain qualifications:

Early Retirement

Early retirement is a reduced retirement benefit available to members who do not meet the normal retirement requirements. The chart below identifies the years of service necessary for an early retirement and the retirement factor(s) used to reduce your monthly benefit

Special Early Retirement:

• For Class T-C, Class T-D, Class T-E, Class T-F, and Class T-H members, a special early retirement is available if you are at least age 55 and have 25 or more years of credited service (“55/25”). A “55/25” retirement is reduced by one quarter of one percent per month for each month you are under normal retirement requirements.
• Class T-G members have a special early retirement available if you are at least age 57 with 25 years of service.

Disability Retirement

To apply for a PSERS disability retirement benefit, you must have at least five (5) years of credited service with PSERS. There are more eligibility requirements to apply for a disability retirement. Click here for more disability retirement information.

Our department does not process resignations or retirements.

Employees that were contributing to PSERS and separate from service, are typically entitled to a refund of contributions. Employees who are vested with PSERS are typically entitled to a monthly pension benefit. For more information on the criteria to be vested or you have already met the criteria, please visit here.

You do not need to notify PSERS of your separation date. PSERS only accepts that information from the Pension (Retirement) Department.

• The pension department reports work status changes biweekly. This means your separation will be sent to PSERS within 2 weeks of your separation date regardless of how you separated.
• Please keep in mind that this is not 2 weeks from the date that you submit the form, but 2 weeks from the first day of your separation.
• Neither the employer or employee can report a date to PSERS that is in the future. 
• It is important that you provide your separation date prior to your separation.
• If your separation is reported after your separation, this may push back your pension processing time and when you will receive your refund or benefit. In that case, your separation is reported to PSERS within 2 weeks from when it was reported to the SDP even if the separation date is prior to submitting it to the SDP.

To view your personal pension information or to change your pension class enrollment, please register for the PSERS’ Member Self-Service portal.

• You will need your PSERS ID number to do so. This can only be obtained from documents received from PSERS either in the US postal mail or email or by contacting them directly at 1-888-773-7748.
• The self-service portal also allows members to see other pertinent data including but not limited to their current and past work statuses with PSERS, what salary, service and contributions have been reported per school year, beneficiaries (and the ability to update beneficiaries) and demographic information.
• If you are enrolled in a Voya plan, all changes with PSERS will be automatically sent to Voya from PSERS.

To register or view general and personal information regarding Voya and your DC plan, please visit here or call 1-833-432-6627.

The pension department has limited accessibility to member data, and can only see and update your demographic information (excluding the ability to update the SSN or date of birth) and work statuses.

School District of Philadelphia (SDP) employees may be eligible to purchase time with the Public School Employees Retirement System (PSERS) if they were out on a leave*, took a refund of contributions, or contributed to a public school pension system out-of-state. It may be beneficial to purchase service to help maintain or get closer to normal retirement or being vested.

How do I apply to purchase these service credits?
In order to qualify, you must be actively working at the SDP. 

• To be considered, please contact PSERS to certify that you did not already receive credit for the time you are requesting to buy back.
• PSERS will determine your eligibility to purchase service.
• PSERS will notify you of your approval or denial to purchase time via your mailing preference.
• If you are approved to purchase service credits, you will receive a Statement Account Due, via your PSERS mailing preference. The letter will outline your repayment options. If you choose employer payroll deductions, please complete this form and return it to the Pension Department. You may also email our office at retirement@philasd.org to have the form sent to you.

The types of purchasable leave include the following:

• Workers’ Compensation
• Education Leave
• Military Leave
• Previously refunded pension contributions for Full-Time salaried, employees (scheduled 25+ hours/week)
• Previously refunded pension contributions for Part-Time, salaried employees (scheduled less than 25 hours/week)
• Pension service credits from an out-of-state school district (This entire process will be completed with PSERS

To apply, please contact PSERS directly.

The chart below outlines the contribution rate for each pension class enrollment. Your pension class enrollment is dependent upon the first time you contributed to PSERS.

• Employees who contribute to PSERS for the first time after July 1, 2019, are automatically enrolled in a hybrid retirement plan called Class T-G and have 90 days from the first day of work to switch to the other hybrid plan, Class T-H
• Also offered is a stand-alone plan that does not have a pension contributing only to Voya, known as Class DC.
• Switching to a different class is a lifetime enrollment that is irrevocable. If a new member does not switch to a different class, PSERS will assume you want to remain in Class TG which is also a lifetime, irrevocable enrollment.

Please Note: If you began contributing to PSERS for the first time prior to 7/1/2019, you are enrolled in one of the following classes: TC, TD, TE, or TF. To confirm which class you are enrolled in, you may contact PSERS at 1-888-773-7774 or register for their Member Self-Service.

Shared risk means that the rate of your pension class can increase or decrease every three years.

• If your class enrollment does not indicate “shared risk” this means the rate of your pension class is locked at that rate permanently.
• The rate will not increase or decrease more than .75 at a time or may not change at all.
• You will be notified by both PSERS and the SDP if there is a change in the rate of your pension class.
• The table below outlines the base rate and the highest and lowest the rate can go every 3 years.
• For more information on the “Shared Risk Clause” please visit Shared Risk.

Members contributing to PSERS for the first time are auto-enrolled in a shared-risk plan.

Vesting with PSERS

• Being vested in your PSERS DB Plan means you are eligible for a lifetime monthly pension check after termination of employment. Please see below on the years of service and age required to be vested

Vesting with Voya

• Being vested in your Voya DC Plan means you are eligible to be paid out all that you contributed (plus gains and losses) and what the SDP has contributed on your behalf. In order to be vested with Voya, you must be enrolled in classes TG, TH or DC and contribute to your Voya plan for at least 3 school years.

MEMBERSHIP CLASS	EMPLOYMENT PERIOD	VESTING
T-C	Prior to July 22, 1983	You are age 62 or older with at least one year of service at termination of employment.
T-C	On or after July 22, 1983	You have at least five (5) years of service with at least one (1) year of qualifying service rendered after July 1, 2001
T-D	Prior to July 22, 1983	You have at least five (5) years of service with at least one (1) year of qualifying service rendered after July 1, 2001
T-D	On or After July 22, 1983	You have at least five (5) years of service with at least one (1) year of qualifying service rendered after July 1, 2001
T-E	On or After July 1, 2011	You have at least 10 years of qualifying service or you are age 65 or older with at least three (3) years of service at termination of employment.
T-F	On or After July 1, 2011	You have at least 10 years of qualifying service or you are age 65 or older with at least three (3) years of service at termination of employment.
T-G	On or After July 1, 2019	For the DB acct with PSERS: You have at least 10 years of qualifying service. For the DC acct with Voya: You have at least 3 years of qualifying service.
T-H	On or After July 1, 2019	For the DB acct with PSERS: You have at least 10 years of qualifying service. For the DC acct with Voya: You have at least 3 years of qualifying service.
DC	On or After July 1, 2019	You have at least 3 years of qualifying service.

Employees enrolled in classes TG, TH or DC have the option to contribute post tax with Voya.

• These savings are not eligible to be withdrawn for any reason while working.
• If you are interested in wanting to contribute to a post-tax retirement plan, you may do so in the Member Self-Service portal.

The SDP offers two other voluntary retirement options that you may be eligible to withdraw while working–they are the 403b and 457b plans. More about these plans can be found below.

Only employees scheduled to work less than 25 hours a week, and employees paid on an hourly basis, are permitted to waive enrollment.

• To waive enrollment, register for PSERS Member Self-Service Portal and initiate your waiver.
• PSERS will review your request to waive, and if approved, will notify the Pension Department.
• The Pension Department will stop all future deductions and reimburse you for deductions already taken once the Pension department is notified.

Employees who work for entities that contribute to PSERS are not permitted to work and collect a pension at that entity. This is referred to as “double dipping.” However, PSERS allows exceptions in the cases of:

• Hard-to-fill vacancies
• Unexpected increase in workload
• Extra-curricular support outside of school hours
• Short and long-term absences

If you are interested in working while collecting a pension, you will need approval from PSERS to do so. Once you determine you will work, the Talent Department will send a notice to PSERS to request approval to work and collect a pension. It is recommended that approval is obtained from PSERS before starting work.

Please keep in mind that we are not permitted to “plan” to utilize a retiree before they separate from the School District.

New Hires

What is PSERS? What is Voya?
The Public School Employee Retirement System (PSERS) is a governmental, cost-sharing, multi-employer retirement plan to which the public school employers, the Commonwealth, and school employees (members) contribute. Depending on your membership class, you may have a Defined Benefit (DB) Plan, a Defined Contribution (DC) Plan, or a hybrid plan with both DB and DC components. PSERS is a DB plan. Voya is a retirement and insurance company that houses contributions to a DC plan.

Why am I auto-enrolled into the PSERS pension plan?
PSERS membership is mandatory for qualifying employees of Pennsylvania public school entities. Qualification is determined by employment type and the amount of service rendered during a school year (July 1 – June 30) as defined by PSERS, not the employer.

Does the School District of Philadelphia (SDP) contribute (match) to my plan?
If you are in classes TG, TH or DC, the SDP contributes to your Voya plans. The SDP does not contribute to any pension plans with PSERS. However, the SDP pays PSERS over 30% of all employees’ salary four times a year for employees to be able to have a pension plan.

How do I change my pension class enrollment?
You have 90 days from entering the plan to contact PSERS and change your membership from the default hybrid plan, Class TG, to either Class TH or Class DC. Please keep in mind that switching to Class DC means you will not have a defined benefit pension plan and that switching classes is irrevocable. If you do not switch from the default class, you will remain in Class TG as a lifetime election. If you were previously a plan member, you may not change your membership class, as it is a lifetime election.

Can I waive my pension contributions?
Yes- if you are scheduled to work less than 25 hours a week or if you are an hourly or per diem paid employee, and have an IRA established.

What if I see two retirement deductions?
You should only see two deductions if you are enrolled in the hybrid plans, Class TG or Class TH. Your class enrollment is outlined in the letter you get from PSERS as a new or returning member of PSERS. You can also see this information online in the link in the answer to question 7.

What if I miss a deduction or overpay a contribution?
While this is not common, missed deductions require recoupment by the Retirement department. This is to ensure all salary reportable to PSERS has been reported. This benefits the employee to ensure more is saved and more salary is considered if vested. This is in addition to your regular contribution. If too much was contributed, you will be reimbursed. You will receive an email in either instance.

How can I see the salary, days worked and how much I have saved in my pension balance?
Visit PSERS’ Member Self Service portal to review salary, days worked and pension contributions reported on your behalf. If there are any discrepancies for a specific school year on what has been reported, our office can be contacted to review. You will need your PSERS ID to register in the self-service portal which can only be obtained directly from PSERS (they are also typically on documents mailed from PSERS).

Why am I being redirected to PSERS for my specific questions about my pension?
We are not able to see balances, beneficiaries, etc. We are also not permitted to provide financial advice in deciding how and when to withdraw your pension, however, PSERS can assist with this

Can I borrow or withdraw my contributions from PSERS or Voya?
No-you must be separated from service. “Borrowing” in the form of loans is also not permitted.

Are there other ways to save?
Yes! You may open a 403b and/or 457b plan. These plans do allow for eligibility to withdraw contributions While working. The eligibility to withdraw is based upon IRS criteria and is at the discretion of the investment provider. You may also start an After-Tax Contribution (ATC) plan with Voya. Employees may not withdraw or borrow from the ATC plan while working.

Separating Employees

Who do I contact about separating from the School District of Philadelphia (SDP)?
Email Talent Support Services (TSS) separations@philasd.org your Retirement/Resignation Form or for questions about separating. We also encourage you to review the resignation checklist or attend TSS office hours.

How can I see the salary, days worked and how much I have saved in my pension balance?
Visit PSERS’ Member Self Service portal to review salary, days worked and pension contributions reported on your behalf. If there are any discrepancies for a specific school year on what has been reported, our office can be contacted to review. You will need your PSERS ID to register in the self-service portal which can only be obtained directly from PSERS (they are also typically on documents
mailed from PSERS).

Why am I being redirected to PSERS for specific questions about my pension?
While the Pension Department can give general guidelines about accessing your pension, we are not able to see balances, beneficiaries, etc. We are also not permitted to provide financial advice in deciding how and when to withdraw your pension, however, PSERS can assist with this

What if I also have a plan with Voya?
Only employees who contributed to PSERS for the first time July 1, 2019 to the present, will have a DC plan with Voya. If you are enrolled in a hybrid plan, please be sure to contact Voya to withdraw any eligible funds. Only employees who have contributed to PSERS for the first time 7/1/2019-present would be enrolled in a hybrid plan. Otherwise, you would only have a pension with PSERS.

When can I withdraw my pension?
You must be separated from employment. Once you are separated from service, it is not necessary for you to contact PSERS to inform them of your separation. This information will only be accepted coming from the SDP. We will provide your date of termination and final pay the month following all final pay has been issued from the Payroll Department. This includes but is not limited to any reserve pay (Example: Final wages given February 2019, reported to PSERS March 2019). If you are in a DC plan, PSERS will inform Voya of your termination.

How do I know if I am vested?
Contact PSERS. Eligibility to be vested means you are able to take in all that you contributed plus a monthly pension check and any contributions made to your Voya plan by the SDP if you have a DC plan. Also, contact Voya if you have a DC plan.

What should I consider when separating relative to PSERS?

• Scheduling “Exit Counseling” with a PSERS rep-this is not required but is strongly encouraged
• That PSERS will process your pension withdrawal application within 30-90 days after they receive the date of termination and final pay. However, the SDP cannot guarantee when the balance will be disbursed.
• Eligibility for Premium Assistance
• Health Options Program-this is an optional Medicare supplemental plan offered by PSERS
• Contacting Benefits for a CMS form if you were eligible to, but did not enroll in Medicare because you were still working

How do I contact PSERS? How do I contact Voya?

PSERS
Phone: 1-888-773-7748
Self Service Portal

Voya
Phone: 1-833-432-6627
Self Service Portal

• Retirement and Resignation Form – Use this form to separate from the SDP. Forms can be returned to separations@philasd.org.
  • Provisions 1101 and 1121 of the Public School Code require professional employees to provide written notice of sixty (60) days before resignation/retirement becomes effective.
• Request for Change or Rescission of Separation
• Checklist for Retiring Resigning Employees

Other Forms

• Request for Retirement Estimate
• Information for Disability Retirement
• Worksheet for Full Time Purchase of Service
• Health Options