The New York State Teacher’s Retirement System announced Wednesday that school district contribution rates will increase by 8 percent next year, rising from 16.25 percent to 17.53 percent.
[The official announcement can be seen embedded at the bottom of this post.]
The new contribution rate doesn’t go into effect until the fall of 2015.
Including the latest increase, school district contribution rates have increase 58 percent since 2012—the contribution rate in 2012 was 11.05 percent, according to the Public Fund Survey.
That’s partially because the System is paying out more pension benefits than ever before; NYSTRS will pay out $6.3 billion in pensions in fiscal year 2014-15, according to the System’s spokesman. In 2009-10, that number was $5.3 billion.
The NYSTRS, once fully funded, has been on a steady decline for years.
The funded ratio has since dropped to 89.8%, according to the most recent data available.
Here’s the official announcement from the NYSTRS:
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