Presented by Rachelle Hady Retirement Planning   Presented by Rachelle Hady

Welcome Safe, confidential environment WRS Overview Social Security Overview Medicare Overview MMSD Benefits Next Steps

(Wisconsin Retirement System) WRS (Wisconsin Retirement System) WRS = Your Pension WRS Estimate and Election Must request 2-3 months prior to retirement WRS Calculator (personal estimate) www.etf.wi.gov Uses years of service in WRS & top 3 years of income (all income) WRS / ACT 10 requires there is a break in service for at least 75 days after retirement Working after receiving WRS – 880 hours max / year 1-877-533-5020

Social Security (62+ years old) Social Security benefit will increase for every year/month you do not pull it after age 62 Check out SS Retirement Planner: https://www.ssa.gov/planners/retire/ Be aware of Income Limits while working and receiving Social Security Birth Year SSFRA 1937 & earlier 65 1938 65 yrs 2 mos 1939 65 yrs 4 mos 1940 65 yrs 6 mos 1941 65 yrs 8 mos 1942 65 yrs 10 mos 1943-1954 66 yrs 1955 66 yrs 2 mos 1956 66 yrs 4 mos 1957 66 yrs 6 mos 1958 66 yrs 8 mos 1959 66 yrs 10 mos 1960 & later 67 yrs

Medicare (Age 65+) 1st of month in which you turn 65 Medicare A (hospital) is no cost Medicare B (80% of office visits) is $134/month (2017 rate) Medicare B Supplement or a Medigap plan may cover the difference up to 100% Medicare D (prescription drugs) Not included in Medicare B Supplement provided through MMSD Monthly premiums range from $18 - $50+ Based on YOUR prescriptions Find plans on www.medicare.gov

MMSD Benefits

Insurance Coverage Coverage levels: Single Single x 2 plans (self + spouse) Family Medical Dean, GHC Dental Delta Dental of Wisconsin Life Insurance Epic Life Insurance Company Long-term care Unum

Life Insurance Can have withheld from RIA Escrow Account or pay directly to Epic Basic Life 1x salary Age reduction Age 65: 75% Age 67: 50% Age 72: 25% Voluntary Life Can continue into retirement Coverage ends at age 65

Retirement Insurance Account Personal Illness converts to Retirement Insurance Account (RIA) Escrow Account Health Reimbursement Arrangement RIA is an insurance benefit continuation account only (cannot be paid out)

Health Reimbursement Arrangement Escrow or Health Reimbursement Arrangement Escrow Account can be used for District provided medical (including Medicare B Supplement) District provided dental District provided life District provided long-term Care Health Reimbursement Arrangement can be used for Any medical (including Medicare Part B Supplement) Any dental Any long-term care Health Reimbursement Arrangement cannot be used for Medigap plan Medicare Part D plan Life insurance Insurance premiums while working for MMSD

RIA Calculation Final PI balance x daily/hourly rate = account balance Is re-calculated after retirement for final amount Final PI balance will be mailed to your home How many years will my RIA account last? Estimated calculation RIA Account / (Total monthly insurance premium x 12 months x 1.20 (used to generalize annual insurance premium increases)) Take into consideration Medicare B Supplement plans are approximately $200 per month

TERP (Teachers Only) 19% of your highest earnings, for 3 years Health and dental insurance premiums may be withheld from TERP account If electing 2 single plans, only employee coverage is withheld from TERP Annual insurance election Why use TERP for health/dental premiums? Personal decision Cash flow? Length of time you need insurance? Annual election for insurance premiums to be withheld

(Administrators Only) ARP (Administrators Only) Must be age 55 Must have at least 5 years participation in 403(b) with minimum $50 per month contribution Must have at least 12 years of service Administrator year = 1 year Teacher year = 1/3 year 50% contribution made to 403(b) in July and January Ranges from $41,000 - $51,000 total contribution

Things To Do With MMSD When ready to retire complete the following forms. RETURN TO RACHELLE HADY Complete the Retirement Notice No later than February 15th for teachers No later than January 15th for administrators No later than 2 weeks prior for all other employees Retirement notice is kept confidential until necessary Complete Insurance Enrollment Forms to transition to District Retiree insurance plans Complete TERP election (teachers only)

Things To Do Outside MMSD Contact WRS for estimate Contact Social Security for estimate Contact 403(b) and/or 401(k) accounts to understand account balances

Questions?