Getting Ready to Retire

  • SCPS Policy # GCPC

    Individuals retiring from School Board employment must complete the resignation/retirement form for School Board approval. To be eligible for sick leave and health insurance retiree benefits, the employee must meet the following criteria:

    1. The employee shall have been employed by the School Board for a minimum of five consecutive years at the time of retirement. Beginning July 1, 2007, the individual shall have been employed by the School Board for a minimum of fifteen consecutive years at the time of retirement.

    2. The employee must be of retirement age and eligible for retirement benefits under the Virginia Retirement System (VRS), Social Security, or similar retirement system.

     

    Virginia Retirement System (VRS) Website: http://www.varetire.org/

    VRS Unreduced Service Retirement:

     PLAN 1 - Membership Date hired before July 1, 2010 

    Age 65 + 5 years of service OR  Age 50 + 30 years of service

    AFC (Average Final Compensation) = the average of the 36 consecutive months of highest creditable compensation

     

    PLAN 2 – Membership Date hired July 1, 2010 to December 31, 2013 or membership is before July 1, 2010, and not vested as of January 1, 2013.

    Age + service = 90 OR Full Social Security Age + 5 years of service

    AFC (Average Final Compensation) = the average of the 60 consecutive months of highest creditable compensation

     

    VRS Reduced Service Retirement:

     PLAN 1- Membership Date hired before July 1, 2010

    Age 55 + 5 years of service OR Age 50 + 10 years of service

    AFC (Average Final Compensation) = the average of the 36 consecutive months of highest creditable compensation

     

    PLAN 2- Membership Date hired July 1, 2010 to December 31, 2013 or membership is before July 1, 2010, and not vested as of January 1, 2013.

    Age 60 + 5 years of service

    AFC (Average Final Compensation) = the average of the 60 consecutive months of highest creditable compensation creditable compensation

     

    Health Insurance eligibility (SCPS Policy # GCBCA)

    1. Individuals hired prior to July 1, 2007 must be at least 55 years of age, have at least five (5) consecutive years of service with Spotsylvania County Public Schools, and be eligible for and receive an immediate retirement annuity; or, be at least 50 years of age, have at least ten (10) consecutive years of service with Spotsylvania County Public Schools, and be eligible for and receive an immediate retirement annuity. Beginning July 1, 2007, the individual shall have been employed by the School Board for a minimum of fifteen (15) consecutive years at the time of retirement. 

    2. The individual must be of retirement age and eligible for retirement benefits under the Virginia Retirement System (VRS), Social Security, or similar retirement system.

    3. Employees who defer retirement are not eligible for continued health insurance coverage.  A deferred retirement is one where the employee terminates service and does not elect or is ineligible for an immediate retirement annuity.

    4. If ineligible for any other comparable health insurance plan, the spouse identified as the "survivor annuitant" of a deceased retiree could continue subscription to the group health insurance policy if the provider allows such participation.  The spouse would be responsible for the total cost of the premium.

    5. The individual and his/her dependents must have been eligible to enroll in the School Board's health insurance program for a period of one (1) year prior to seeking the benefits outlined

    Individuals hired on or after July 1, 2009, who meet all of the SCPS policy GCBCA requirements

    Including fifteen (15) consecutive years of service, can participate in the School Board’s health insurance program after retirement; however, the employer will contribute a set dollar amount ($214) towards the total premium with the retiree responsible for paying the balance of the total premium if the retiree is not Medicare eligible.  In addition, eligible individuals hired on or after July 1, 2009, can continue to participate in the School Board’s retirement insurance program after they become eligible for Medicare coverage; however, the retiree will be required to enroll in Medicare Part A and B.  The employer will contribute a set dollar amount ($60.50) towards the Medicare Supplement Plan (Medicare Part A and B) and $38.75 towards the Medicare Part D Prescription Drug Plan. 

    If you or a spouse are 65 or older and you meet above requirements you must enroll in Medicare as primary insurance. You may want a supplementary plan, which SCPS offers for eligible retirees/spouse. The current cost is $36.30 for the retiree and $117 for the spouse

    For eligible retirees/spouse under 65 the same Anthem plans are available at the same cost as an active employee

    Premiums are directly debited from the retirees bank account on the 25th of each month

     

    Health Insurance in retirement at age 65 

    Once you or the dependents on your health insurance plan reach age 65, you/they will have to come off of the SCPS sponsored insurance.  Medicare becomes your primary insurance.  You may want to get a supplement. SCPS offers a supplement to their Medicare eligible retirees/spouses. The current cost is $36.30 for employees and $117.00 for spouse.

    Health Insurance Credit

    If you retire with at least 15 years of service credit in a professional position, you may be eligible for a health insurance credit.

    VRS pays $4/ per year of service credit to help  offset the cost of your health insurance

    Unused Leave

    Sick leave– $30/day for eligible full-time employees and $15/day for eligible part-time contracted employees. To be eligible, an employee hired before July 1, 2007 must have completed a minimum of five years of uninterrupted service, including the year of retirement.  Employees hired after July 1, 2007, must have completed a minimum of fifteen years of uninterrupted service, including the year of retirement.  Maximum payout for sick leave is 240 days.

     

    Annual leave – paid at your daily rate of pay maximum of 60 days

     

     All payment of unused leave is paid via rollover of funds into a (403b) School Board approved tax shelter annuity company. It is the retiree’s responsibility to establish the account prior to retirement, or if you have an existing SCPS approved 403(b) to check with the provider to ensure that they will accept special pay employer monies.

     

    Mark III & Tax Shelter Annuities

    Mark III products that you are enrolled in prior to retirement may possibly continue at retirement.  You will be responsible for contacting that specific company to check on the process to continue the plan and to make arrangements for payment of premiums.

    After-Tax shelter annuities that you were having payroll deductions made to can also be continued.  You must communicate directly with the company to continue making deposits.

     

    Working after Retirement

    After you retire, you can work for any employer that does not participate in VRS and continue to receive your retirement benefits. If you return to covered employment with a VRS-participating employer, you will become an active member and your retirement benefits will end. You will be rehired under Plan 1 or Plan 2 according to the plan under which you retired.

     

    Non-Covered Employment In some cases, you can work in a non-covered position with a VRS participating employer and continue to receive your retirement benefits. If you return to non-covered employment with the employer from which you retired, you must have a bona fide break in service of at least one full calendar month from your retirement date over a period you normally would work. Periods of leave with or without pay, summer breaks, intersession periods, sabbaticals and educational leave do not count toward satisfying this break in service.