Public School & Education Employee Retirement Systems of Missouri
The Public School and Education Employee Retirement Systems of Missouri (PSRS/PEERS) provide a significant and stable source of retirement, disability and survivor benefits to Missouri’s public school teachers, school employees and their families. PSRS and PEERS are Defined Benefit (DB) pension plans providing lifetime retirement benefits to qualified members based on a formula set by Missouri law.
PSRS/PEERS work in partnership with the member school districts of Missouri to provide eligible employees and their beneficiaries with a significant source of income based on the employee’s length of service and salary in order to enhance retirement, disability and death benefits received from other sources.
Memberships & Contributions
PSRS: CONTRIBUTION RATE 14.50%
PSRS membership is required, regardless of position, for certificated employees employed to work by an employer within the Retirement System in a position that normally requires the employee to work the full school day, at least 600 hours during the school term. Certificated employees/teachers employed less than full-time for at least 17 hours per week on a regular basis in a position that requires the employee to work at least 600 hours during the school term may elect membership in PEERS within the first 90 days of their initial part-time employment.
PEERS: CONTRIBUTION RATE 6.86%
PEERS membership is required, regardless of position, for non-certificated employees employed to work at least 20 hours per week on a regular basis by an employer within the Retirement System in a position that normally requires the employee to work at least 600 hours during the school term.
The Importance of a Defined Benefit Plan
As a PSRS/PEERS member, you are a member of a defined benefit retirement plan. Defined Benefit (DB) plans provide members like you predictable income for life, no matter how long you live.
Also, because PSRS/PEERS is a defined benefit plan, your retirement benefits are payable for your lifetime. You do not have to make investment decisions, and the amount of money in your PSRS/PEERS account when you retire does not have a bearing on the amount of benefits you can receive.
Once you have earned five years of credit with PSRS/PEERS, you are vested and can receive lifetime retirement benefits when you reach age and service requirements. Being vested may also help you qualify for disability benefits and survivor benefits for your beneficiaries.
PSRS/PEERS’ funding comes from three sources: member contributions, employer contributions and investment earnings. Investment earnings are the primary source of funding for PSRS/PEERS benefits. On average, 63 cents of every dollar paid to PSRS/PEERS retirees comes from investment earnings.
20 Year Average– Member portion includes contributions and funds to purchase service.