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Thank you for the video. Come January 2025, I will reach 11 years of service in the FRS. I have always been in the pension plan since being hired. I am 53 years old. I am thinking about possibly leaving the FRS system all together after the school year ends in 2025 and will potentially be self-employed. Would I have to switch to the investment plan so that I could take that benefit and roll it into a Roth IRA, since I will need to save for my own retirement? Thank you.

I believe the retirement crisis will get even worse. Many struggle to save due to low wages, rising prices, and exorbitant rents. With homeownership becoming unattainable for middle-class Americans, they may not have a home to rely on for retirement either.

I’m a member of the PBA and I spoke to one of their higher ups recently. He said one of the PBA’s primary objectives this year and next year are to get the COLA back to 3%. I asked AI what the arguments are for reinstating the 3% COLA, and not reinstating it. ---- This is a complex issue with valid arguments on both sides. Let me outline some of the key points for and against reinstating the 3% annual COLA for retired state workers in Florida: Arguments for reinstating the COLA: 1. Cost of living protection: COLAs help retirees maintain their purchasing power as prices increase over time due to inflation. 2. Recruitment and retention: A more attractive retirement package could help Florida attract and retain qualified state employees, including law enforcement officers. 3. Fairness to long-term employees: Many argue that workers who dedicated their careers to public service deserve protection against inflation in retirement. 4. Economic stimulus: Increasing retirees' income could boost local economies as they spend more. 5. Honoring past commitments: Some view the COLA as a promise made to employees when they were hired, which should be honored. Arguments against reinstating the COLA: 1. Fiscal responsibility: The cost of reinstating the COLA could significantly increase the state's pension obligations, potentially straining the budget. 2. Unfunded liabilities: Adding a COLA could increase unfunded pension liabilities, which some see as a risk to the state's long-term financial health. 3. Taxpayer burden: Increased pension costs might lead to higher taxes or reduced funding for other state services. 4. Equity concerns: Some argue that many private sector workers don't receive guaranteed COLAs, so public employees shouldn't either. 5. Alternative priorities: Funds that would go to COLAs could be used for other state needs like education, infrastructure, or healthcare. 6. Sustainability of the pension system: There are concerns about the long-term sustainability of defined benefit pension plans, and adding a COLA could exacerbate these issues. Both sides of this debate involve balancing fiscal responsibility with obligations to public employees and retirees. The ultimate decision would likely depend on Florida's current fiscal situation, political climate, and assessment of long-term economic projections.

Yes. But the actually pension monthly payment stays at the amount it was when enter DROP

From what I’ve heard is the state of Florida is betting on you passing away. They make money off your pension. I’m thinking of switching to the investment.

The sound of this video is not as good as the other videos you've produced

Also, if you plan on switching jobs frequently, if your plan is, I'm gonna be a teacher for 2 to 5 years and then I'm gonna move to a different job or different company then the defined contribution plan the 401(k) is the right plan. Great video over all.

Can i move my FRS investment into my 457B so I can withdraw without a penalty before 59-1/2?

What are the fees of that account?

Fyi if you work more than 30 years or past age 30 your multiplier goes up. Age 65 gets 1.68 times years of service. 33 years gets 1.68 times 33.

YOU SHOULD WORK FOR A PENSION. YOU ARE WRONG,

Great video. Question. Once you enter DROP, will my regular paychecks have FICA withheld since I'm technically retired?

Thanks so much for all your information I have begged someone to help me understand my retirement more no one I asked understands it I am 37 Three years until im Vested I have serval years in and out if the state starting at 2005 and my year of service credit seem off.maybe not tho and I have OPS alt I want to move to the CS retirement so I will be watch to undersand more again thank you . I randomly posted this on the Drop vid but anyway thank you I dont undersand the different plans ect plan on learning about df comp stuff 2.big help

I'm looking into this for my daughter. One advantage I see to DROP is that (in her case) she can accumulate 8 years of pension income tax free - roll it over into some form of IRA I assume - then take the $ as she likes while keeping it invested in something like T-Bonds. This seems to give the security of a pension for life plus a lump sum to use as and when she wants and which can stay invested.

Need a copy of my 1099R

1099-R

Do you have any discussions about the option of staying on State insurance for $430 a month? Is it like a super Plan G supplement with drugs included?

I foolishly rejected staying on the $830 State insurance after finishing DROP last year, in favor of a Marketplace plan. Fortunately I am returning to work after my one-year waiting period and will be able to get back on the State insurance as a new hire.

So many of my fellow teachers in my age group got wiped out in the investment plan.

Happy to have found your channel. After 20 years of working I found out I was getting social security AND a pension. Teachers don't get enough information about our finances. Visuals would have helped a lot in this particular video. Thanks for making these.

Thanks for this information.

Since the title of the video refers to DROP money, these accounts would probably be held within an IRA. Do RMD withdrawals come out of bucket 1 and into a brokerage account if not needed for expenses? Do you ladder the bucket 2 investments or just use interest earnings and no-penalty withdrawals to refill bucket 1?

As a Public Service Officer, you get up to $3,000 tax exemption off of your taxable Pension for the cost of Health Insurance. How does that work with the subsidy?

Can you make a video about cashing out my FRS plan early?

Great video. Does the HIS apply to both those in the pension and those in the Investment plan? Thanks!

white text on light gray input make the registration form DIFFICULT to read.

What if I am being added to my spouse's health insurance plan? Does the subsidy still apply and will be paid? Or do i have to totally obtain my sole health insurance plan?

Dude, the fake back drop is cheezy, are you in your mom's basement?

Does my ex-wife start collecting her entitled benefits/pay as soon as I enter DROP or after I complete it and stop working? (There is no QDRO filed at this point and our divorce decree only states that she is entitled to 50% of what I have earned during the time we were married and working for the sheriffs office. The divorce decree does not state anything about my DROP)

Do you have any videos like this but for High-Risk FRS members ?

Is my take home pay the same while I’m in the DROP program?

Ok

I'm 35 and started in the FRS in 2006. I have roughly 210k in my FRS. I also do nationwide deferred compensation with about 50k in that.

The reason about losing out on potential future raises is real. I have witnessed this first-hand where people entered DROP several years ago for a 5-year term then they received raises which, while increasing their salary, had no effect on the already calculated pension benefit nor their DROP account balance.

Another reason not to enter DROP is this; after this year's legislative changes you will now get 4% on your DROP account; the state invests your $$$ for you and determines the investment vehicles; let's say the vehicles they choose earn an average of 8% over your DROP period; you will get your 4% and the State will pocket the other 4%; you will not get it, only the 4%; you are actually loosing potential retirement income by being in DROP; a far better solution is leave after 30 years, start collecting your pension and invest it wherever you want, then go get a comparable job at a similar or higher salary elsewhere; your pension invested will most likely earn more than 4% and you will be in control of it, not the State.

I choose FRS investment plan august of 2017, does this change apply to me as well.

Thank you for all of of your videos! They have been a great help! I'm about one year out of DROP so I might be making an appointment to see you guys soon! Quick question though. Has the Heath Insurance Subsidy increased? My co-woker whose planning on retiring said that the benefit is now $7.50 instead of the $5.

Hello. Thanks for the video. Would you suggest some one to go the pension route if they plan on staying with Myfrs for 32 years? Thanks for your time

Do you help with trust or ULL?

Can you please tell me what LTC annuity option you discussed. I am 55 and worried about it…I’m in Florida. This is very important as I am single. Please respond!

Remember, your COLA on your retirement is decreasing every month you do over 30 years. Although there has been legislation to return it to 3%. I actually retired earlier to maintain my COLA.

Hello, can you do a video for high risk members for DROP options when under age 55?

Thank you!

It's for people who don't have medicare

Atm use too

COLA =Cost of Living Adjustment What do you mean about “it goes down every month you stay”?

What if you aren’t married, and want to leave it to a relative or friend? Can you do that?

how do you get 7.5% more when you only get 1.6 extra for every extra year one works? so 31 years service comparing to 30 years service is only 3.3% more in pension.

Any word on potential of cola going to 4%? Heard there was talk about them bringing it up next legislative session.

So you guys are on the certified vendors list from state of Florida?