Important mailings coming soon:
NIRS study indicates defined benefit pensions plans are the most the economically efficient retirement plan – costing up to 48% less than 401(k) plans;
Read more the new analysis from the National Institute on Retirement Security (NIRS) online. NIRS is a non-profit, non-partisan organization established to contribute to informed policymaking by fostering a deep understanding of the value of retirement security to employees, employers, and the economy as a whole.
Important Reminder: Break in Service Required for Retirement Benefits
In response to a number of questions we’ve received recently, we thought we’d highlight the “Break in Service” rule.
In order to have a right to receive your retirement benefit from SPTRFA, Minnesota law requires a “complete and continuous separation for 90 days from employment in any form with Independent School District No. 625.” Importantly, “employment” for this purpose includes “service provided to the school district as an independent contractor or as an employee of an independent contractor.”
Under this rule, for example, employment with Teachers on Call for service as a substitute teacher in District 625 within 90 days of your final date of employment with District 625 would result in a failure of the Break in Service rule.
Please be advised that Minnesota law requires the SPTRFA to recover, with interest, amounts received by a member who fails to satisfy the Break in Service rule.
Substitute Teacher Status Changing to Independent Contractor And the Impact on SPTRFA Members
St. Paul Public Schools recently announced that it has contracted with Teachers on Call to provide all substitute staffing. As a result, substitute teachers will no longer be employees of the District, but rather employees of Teachers on Call, an independent contractor.
Given that this is a recent change, we wanted to provide a brief summary of how this relates to your benefits and status with the St. Paul Teachers’ Retirement Fund Association (SPTRFA). Please click to review the PDF document to learn more about this change.
The SPTRFA staff welcomes any pension-related questions and is here to help you.
View PDF documents with Adobe Acrobat Reader©