Please share this information with your current and new TRS 3 members.
When TRS Plan 3 was initially qualified, the IRS allowed for an annual contribution rate change in the plan. Since 2004, TRS Plan 3 members have been able to change their contribution rate each January. When DRS submitted the PERS, SERS and TRS plans to the IRS for requalification in 2009, the IRS ruled that it would not qualify TRS Plan 3 unless the rate flexibility currently offered to TRS Plan 3 members is removed.
In response to this provisional IRS plan qualification, the Legislature approved a bill (SB 6321) requested by the Select Committee on Pension Policy to preserve the qualified status of TRS Plan 3. Under this legislation, TRS Plan 3 members have one last opportunity in January 2015 to select a new contribution rate option. After January 2015, TRS Plan 3 members will only be able to change their rate when they change employers.
The following are links to sample letters that you can provide to new TRS Plan members and current Plan 3 members that are new to your employment:
Should you have questions, please reply to this message or call Employer Support Services at 360-664-7200, option 2, or 800-547-6657, option 6, option 2.