The Teacher Retirement System of Texas is one of the largest public pension funds in the country, covering teachers, school staff, and many employees of public colleges and universities. Its formula is simple, and most of the confusion comes from the tier you fall into, which decides how early you can collect a full check.
The formula
TRS multiplies your years of service credit by 2.3% and applies that percentage to your average salary. For most members that average is the five highest years of pay. If you were grandfathered under the 2005 rules (at least 50 years old, meeting the Rule of 70, or holding 25 years of service on August 31, 2005), TRS uses your three highest years instead.
Thirty years of service gives 69% of your average salary. On a $65,000 average that comes to $44,850 a year, or about $3,738 a month, before taxes and before any payout option for a survivor. Each extra year adds another 2.3%, so a teacher who stays to 35 years gets 80.5%.
The Rule of 80 and the tiers
You reach normal retirement when your age plus your years of service add up to 80, or at age 65 with at least five years. Which tier you are in decides whether there is also a minimum age.
| Who you are | Unreduced when |
|---|---|
| Joined before Sept 1, 2007 and had 5 years by Aug 31, 2014 | Rule of 80 at any age |
| Joined Sept 1, 2007 to Aug 31, 2014 and had 5 years by Aug 31, 2014 | Rule of 80 and at least age 60 |
| Had fewer than 5 years on Aug 31, 2014, or joined later | Rule of 80 and at least age 62 |
If you meet the Rule of 80 but are below your tier’s minimum age, TRS takes 5% off for each year you are under it. A newer member who reaches the Rule of 80 at 58 would get 80% of the full amount by retiring then, or the full amount by waiting until 62. The same 5% rule applies if you have 30 years of service but do not yet meet the Rule of 80.
Early-age retirement is also possible at 55 with five years of service. In that case TRS reduces the benefit using its actuarial tables, which cut much more steeply. The calculator above shows the unreduced amount and flags it so you can check the exact cut in MyTRS.
Social Security and TRS
Most Texas school districts do not take part in Social Security, so many teachers have no Social Security on their teaching pay. That used to matter a lot, because the Windfall Elimination Provision cut the Social Security those teachers earned from other jobs. The Social Security Fairness Act repealed that rule in January 2025. If you have 10 or more years of covered work from summer jobs, a career before teaching or a spouse’s record, that benefit now adds to your TRS pension in full. The pension and Social Security calculator shows the combined income.
Cost-of-living increases
TRS has no automatic COLA. Increases happen only when the Texas Legislature passes one and funds it, as it did in 2023 with a raise of 2% to 6% depending on retirement date. Planning on a flat benefit is the safe assumption, so it helps to keep some savings in a 403(b) or 457(b) to cover rising costs over a long retirement.
Payout options
At retirement you choose between the standard annuity, which pays the most for your lifetime only, and several joint-and-survivor options that keep paying a spouse or other beneficiary after you die. TRS also offers guaranteed-period options and, for members who meet certain rules, a Partial Lump Sum Option that pays part of the benefit up front in exchange for a smaller monthly check. Our payout options guide compares the trade-offs.
Health coverage in retirement
TRS-Care is the retiree health program for school retirees. To enroll you need at least 10 years of TRS service and must either meet the Rule of 80 or have 30 years. That is another reason the Rule of 80 date matters, especially if you plan to retire before Medicare starts at 65.