(8001) What is a de minimis distribution?

If your vested account balance after termination is a de minimis amount as determined by the SBA, it will be subject to an automatic distribution. A de minimis amount has been set for accounts with vested balances of $1,000 or less. No distribution will be made, however, until you have been terminated from all employment with FRS-covered employers for at least six calendar months. A de minimis distribution will be either a complete lump-sum liquidation of your account, subject to the provisions of the Internal Revenue Code, or if you provide affirmative instructions, a lump-sum direct rollover distribution paid directly to the custodian of an eligible retirement plan on your behalf. If you receive a de minimis distribution, you will not be considered a reemployed retiree and will not be subject to the limitations applicable to such employees. If you receive a de minimis distribution and return to FRS-covered employment in the future, you will be placed back in the FRS Investment Plan and earn additional service credit. You are not eligible for the Health Insurance Subsidy if you receive a de minimis distribution.

(71) Who is eligible for DROP?

Investment Plan members are not eligible to participate in DROP. Eligibility is limited to vested members of the FRS Pension Plan or Teachers' Retirement System (TRS) who have reached normal retirement age or date, provided the election to participate is made within the appropriate time periods.

(7) How did the FRS select the education firms that are communicating the retirement plan options, and how do we know that they are not biased?

The FRS conducted a comprehensive competitive bidding process with the assistance of outside consultants. Numerous education firms submitted written proposals in response to a formal request for proposal. After the list of prospective vendors was narrowed down, selected finalists made in-person presentations and presented samples of their proposed strategies and educational materials. After the FRS carefully reviewed the proposals, the most qualified firms were selected. The contracts with these firms prohibits them from selling any involved products or from having a relationship with firms in the plan who offer investment products. These contractors are subject to rebid every 5-7 years.

(12001) My work contract does not require me to work during the summer months. Can I still submit my 2nd Election Enrollment Form while on summer break?

No. Under s. 121.021(17)(b), F.S., even though you may still have an employee/employer relationship, you are not earning service credit You must be earning service credit and the Plan Choice Administrator must receive the enrollment form prior to beginning your summer break . If you submit your 2nd Election Enrollment Form or through the MyFRS.com website and you do not earn service credit in the month the form was received and/or the election is received after your termination date, your plan change will be reversed.

Please note the portion of your contract salary withheld each month for payment during the summer months is considered salary earned during the school term and not service credit.

(2236) What is “Your Personal Rate of Return”?

“Your Personal Rate of Return” is the performance of your investments based on your individual activity for the displayed range of dates or statement period.