Employees are automatically enrolled in the Teacher Retirement System of Texas (TRS) on their first day of work. Some employees (full-time faculty, librarians, and certain professionals and administrators) will be eligible to choose the Optional Retirement Program (ORP) as an alternative to the TRS plan.
Teacher Retirement System of Texas (TRS)
The TRS plan is a traditional defined benefit state retirement program in which investment risks are generally absorbed by the state. Contributions go into a large trust fund that is managed by knowledgeable professionals. This type of plan provides stability and does not require any investment decisions by individual members.
Optional Retirement Plan (ORP)
ORP is an individualized defined contribution plan in which each participant selects from a variety of investments offered by several companies through annuity contracts or mutual fund investments. Because participants manage their own personal investment accounts, ORP entails more individual risk and responsibility than that associated with TRS membership. If you are eligible for ORP, you will receive additional information.
Employee & Employer Contributions
In both TRS and ORP, you and the state will make contributions towards your retirement. The contribution amounts are based on a percentage of your salary, and are automatically deducted from your paycheck on a pretax basis. The percentages are established by the Texas Legislature and may fluctuate over time. The current rates can be found under the Contributions section of An Overview of TRS and ORP.
Additional Retirement Programs
You may also enroll in the Tax-Deferred Account (TDA) Program and/or the Texa$aver Deferred Compensation Plan (DCP) at anytime during your employment. These plans are in addition to your TRS or ORP participation.
You may contact HR Benefits at email@example.com or (979) 845-1718 if you have any questions.