Enrollment in the retirement program is available to all permanent, full-time and part-time employees. Eligibility for part-time employees varies based on position and pay schedule. Once the retirement plan selection has been made, it cannot be changed. Employees may choose from the following retirement program options:
The two state retirement programs offered to PASSHE employees (SERS and PSERS) are similar in that they determine the retirement benefit based on a fixed formula that considers years of service, age, and final average salary. The benefit amount is guaranteed and not affected by the investment earnings of the plan. Employees are 100% vested in a state retirement plan after 5 years of service (10 years if employment began after 1/1/2011). Visit the SERS or PSERS website for more information.
The Alternative Retirement Plan works very differently in the way it calculates retirement income. Employee and employer contributions are paid to the employee's retirement account and employees make investment decisions about their own account. The benefit is determined by the account balance, which is made up of all contributions plus any investment earnings. The retirement benefit is 100% vested immediately. Employees may invest their ARP contributions with Fidelity Investments, TIAA-CREF, or VALIC.
The TSA program is a supplemental retirement savings plan under Section 403(b) of the Internal Revenue Code. This voluntary program allows employees to contribute, on a pre-tax basis, a portion of their salary for retirement savings.
PASSHE participates in the Commonwealth of Pennsylvania's Deferred Compensation Plan currently administered through Empower Retirement. This program allows employees to contribute to a long-term savings plan on a pre-tax basis up to amounts allowed by the IRS. Contact Empower Retirement for more information.Counseling: Tim HannaPhone: (866) 737-7457 ext. 62223