Fast facts about TRS
- The state Teachers' Retirement System's 20-year annualized net rate of return is currently 8.4 percent; the 25-year rate of return is 8.9 percent.
- NYSTRS administers its defined benefit plan cost effectively. Its investment fees average 24 cents per $100 managed, compared to 60 cents or more in fees associated with 401(k) plans.
- More than 80 percent of the $6.5 billion in benefits NYSTRS pays out annually is distributed to New York state residents.
For more highlights from the state TRS annual report, visit www.nystrs.org/Library/Publications/Annual-Report/2015CAFR.
Social Security, Medicare Part B updates
For the third time since 2010, Social Security beneficiaries will not receive a Cost-of-Living Adjustment. This means your benefit for 2016 will remain at the same level as your 2015 benefit. COLA increases are tied to the Consumer Price Index, which did not increase for the year.
The Centers for Medicare and Medicaid (CMS) announced 70 percent of Medicare beneficiaries will be "held harmless" from a premium increase for Part B. The remaining 30 percent of Medicare beneficiaries will see an increase.
Americans not held harmless include those not collecting Social Security, those enrolling in Medicare Part B in 2016, dual eligible beneficiaries whose premium is paid by Medicaid, and higher income beneficiaries who are subject to the Income Related Monthly Adjustment Amount (IRMAA).
NYSUT members with questions about Medicare (for you or your family) may contact the Medicare Counselor Hotline at 800-333-4114; experts are available from 9 a.m. to 5 p.m. weekdays.
New York pension funds boost small business
The New York Common Retirement Fund (CRF) comprises the assets of the two pension systems that make up the New York State and Local Employees' Retirement System: the state Employees' Retirement System (ERS) and the state Police and Fire Retirement System (PFRS). The CRF creates jobs across the state by investing in New York businesses through three programs:
- The In-State Private Equity Investment Program. The CRF has invested $820 million in more than 300 New York businesses. Companies in the program are responsible for more than 4,500 jobs around the state.
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The New York Business Development Corporation (NYBDC). The CRF works with NYBDC to provide loans to small businesses in the state to help them buy property and equipment, expand or start up. The NYBDC helps business create or retain almost 9,000 jobs each year.
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The New York Credit Small Business Investment Company (SBIC) Fund. This new initiative, launched by state Comptroller Thomas DiNapoli in November, will make $200 million available for in-state investing. The program will offer credit financing to eligible New York companies, which provides another way to help smaller businesses expand their operations.
For more information, visit www.nyretirementnews.com.
ERS news you can use
You can access the information and updates from the state Employees' Retirement System in several ways.
Get the news you can use at:
For more traditional news delivery, The Update is a semiannual newsletter published for active members of the retirement system.