| (a) When a member is purchasing TRS compensation credit
for which the law requires that the actuarial cost or actuarial present
value be deposited and for which the method in this section is referenced
by another section of this title, TRS will calculate the cost using
the cost factors obtained from the Actuarial Cost Tables adopted and
the method described in this section. TRS will use the age of the
member and the service credit established by the member on September
1 of the school year in which the cost of the purchase is established.
(b) Each of the tables cross-references the member's
age in rows with years of credited service in columns. The intersection
of the participant's age and service is the cost factor that shall
be applied in determining the cost to purchase compensation credit.
TRS will calculate the cost to purchase compensation credit under
this section by dividing the difference between participant's final
average salary before and after the purchase by 1,000 and multiplying
the quotient by the appropriate cost factor obtained from the table.
The eligibility of additional compensation credit available for purchase
is determined by the laws and rules applicable to the type of compensation
sought to be credited.
(c) For individuals whose membership was established
before September 1, 2007 and who have five years of service credit
on August 31, 2014, and maintain membership in TRS until the time
of purchase, the methodology described in subsection (b) of this section
shall be used to determine cost of additional compensation credit,
but TRS shall use the factors in the tables adopted as part of this
subsection.
Attached Graphic
(d) For individuals whose membership was established
on or after September 1, 2007 and who have five years of service credit
on August 31, 2014, and maintain membership in TRS until the time
of purchase, the methodology described in subsection (b) of this section
shall be used to determine cost of additional compensation credit,
but TRS shall use the factors in the tables adopted as part of this
subsection.
Attached Graphic
(e) For members who do not have five years of service
credit on August 31, 2014 or whose current membership began after
August 31, 2014, the methodology described in subsection (b) of this
section shall be used to determine the cost of additional compensation
credit, but TRS shall use the factors in the tables adopted as a part
of this subsection.
Attached Graphic
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| Source Note: The provisions of this §25.303 adopted to be effective July 17, 2014, 39 TexReg 5432; amended to be effective December 23, 2014, 39 TexReg 10025; amended to be effective December 29, 2016, TexReg 41 10390; amended to be effective September 1, 2019, 44 TexReg 4185; amended to be effective September 1, 2023, 48 TexReg 4519 |
