Retirement Income for Florida's Teachers, First Responders & Union Workers

Thank You for Your Service

You taught our kids. You ran toward danger. You kept our streets safe. You built our towns with your own hands. Now it is your turn. This page explains — in plain words — how Florida retirement plans work, and where extra retirement income can fit.

Your Florida Retirement System (FRS) Pension

Many Florida teachers, firefighters, police officers, and city and county workers are in the Florida Retirement System (FRS). FRS has two main plans:

• The Pension Plan. You earn a monthly check for life in retirement. The size depends on your pay, your years of service, and your job class.
• The Investment Plan. Money goes into an account in your name. You choose how it is invested, and the account is yours to take with you.

Not sure which plan you are in? Ask your HR office, or look it up on the official FRS site: myfrs.com. FRS also runs a free guidance line for members at 1-866-446-9377.

DROP, Explained in Plain Words

DROP stands for the Deferred Retirement Option Program. It is for FRS Pension Plan members who have reached normal retirement. Here is the simple idea:

• You keep working at your job and earning your normal pay.
• Your monthly pension benefit is set aside for you instead of paid out.
• When you truly stop working, you receive what was set aside.

DROP is a choice, not a requirement, and the rules have details — how long you can stay in, what forms to file, and what happens at the end. Get the facts from the official source before you decide: myfrs.com.

Your 403(b): What Teachers Should Know

A 403(b) is a retirement account for public school workers (and some charities). It is sometimes called a tax-sheltered annuity. Money goes in before tax, grows over time, and you pay tax when you take it out.

Before you move a 403(b) anywhere, here are things people think about:

• Taxes. Moving money the wrong way can trigger taxes you did not plan for.
• Early-withdrawal costs. Taking money out before age 59½ can mean extra tax.
• Fees on the contract. Some 403(b) accounts hold annuity contracts with surrender charges for early exit.
• What you give up. Your current plan may have features a new one does not.

Other Florida Pension Plans

Not every hero is in FRS. Many Florida cities run their own police and fire pension plans, and some union workers have pensions through their union or employer. Every plan has its own rules — retirement age, benefit size, and payout choices all differ.

Start with your plan's own website or your HR office. They have your numbers. For FRS members, the official site is myfrs.com.

Where an Annuity Can Fit

A pension pays you each month. But many heroes want more monthly income than the pension alone provides. That is where people start learning about annuities.

An annuity is a deal with an insurance company. You give them money now. They pay you back later — often as monthly checks in retirement. Some people use savings outside their pension to buy one, so the pension and the annuity pay side by side.

Keep in mind what every page on this site says: every promise a carrier makes rests on the carrier's ability to pay claims. A promise is only as strong as the company behind it.

Who You Will Talk To

Serge Sendji Augustin — licensed Florida insurance agent (FL License G231352, NPN 21565385), based in Ocoee. I teach, I quote, and I tell the truth. I am not a financial advisor and I do not manage investments.