FRS Investment Plan
The FRS Investment Plan is a defined contribution plan in which employer and employee pretax contributions are defined by law and based on your salary and your FRS membership class (Regular Class, Special Risk Class, etc.). The Investment Plan directs contributions to individual member accounts, and you allocate your contributions and account balance among various investment funds. Your ultimate benefit depends in part on the performance of your investment funds.
Please visit myfrs.com and the FRS Investment Summary Plan Description for detailed information regarding the FRS Investment Plan.
The FRS Investment Plan is available to all full and part-time Faculty, Administrative and Professional (A&P), University President, Executive Service, and employees in the University Support Personnel System (USPS).
- The plan is not available to student employees, adjuncts, or other personnel services (OPS) employees in non-budgeted positions.
- You have until the last business day of the eighth month following your employment to enroll in an FRS retirement plan. If an employee does not select a plan, they will be automatically enrolled in the Investment Plan.
Special Risk Class members will automatically be enrolled in the Pension Plan.
Both you and the University pay the retirement contributions necessary for you to earn service credit toward a future FRS retirement benefit.
- You will contribute a mandatory 3% pretax contribution that is deducted from your paycheck each pay period.
- You cannot make additional pretax contributions above the 3% mandatory contribution.
If you would like to contribute more than the 3% contribution, please visit the Voluntary Retirement Savings Plans 403(b) and 457 and consider meeting with an approved investment company provider for more details on enrolling in a voluntary retirement plan in addition to the mandatory State-Sponsored Retirement Plan.
- The University will contribute an amount equal to 3.3% of your gross salary. Employer rates vary by membership class.
Contribution rates are set by the Florida Legislature each year and are subject to change.
To be vested means that you have met the service requirements to be eligible to receive a future FRS retirement benefit.
- You are vested after one year of FRS-covered service. You are always fully vested in your own contributions if you remain in the Investment Plan.
- Employee contributions are immediately vested. This means that if you terminate employment prior to meeting the vesting requirements of the Investment Plan, you will be entitled to a refund of your employee contributions.
It is important to note,
- Taking such a refund may not be a sound financial decision because you will forfeit any unvested employer contributions and service credit associated with the service and be declared a retiree.
- If you return to FRS-covered employment after taking a distribution (effective for reemployed service on or after July 1, 2017), you are considered a "reemployed retiree" or "renewed member."
- As a reemployed Investment Plan retiree, participation in the Investment Plan is mandatory, unless you are reemployed in a position eligible to participate in the State University System Optional Retirement Program (SUSORP).
Once you are vested, you are eligible for a future benefit when you terminate employment with all participating FRS employers and apply for your retirement benefit.
- There are no early retirement reductions.
- You will have access to the full value of your vested account balance when you leave FRS employment, regardless of your age when you leave.
Before requesting any type of distribution, please consult with one of the planners at the myFRS.com Financial Guidance Line or a tax specialist to get an explanation of the tax implications of early retirement relevant to your personal situation.
How to Enroll
How to Retire