Houston Texas Retirement Benefits Plan

• Category: Corporations - Public - Retirement
• State: Multi-State
• City: Houston
• Control #: US-CC-21-166
• Format: Word; Rich Text

Description

21-166 21-166 . . . Retirement Benefits Plan under which trustees and officers with 15 or more years of service receive annual retirement benefit based on percentage of average annual compensation for 36 months of service immediately preceding retirement. The amount of annual benefit ranges from 25% of such average annual compensation for 15 years of service to 75% for 25 or more years of service The Houston Texas Retirement Benefits Plan is a comprehensive program designed to provide financial security and stability for retired individuals residing in Houston, Texas. This retirement plan is specifically tailored to meet the needs and requirements of eligible employees who have dedicated their working years to serving the city and its residents. The Houston Texas Retirement Benefits Plan offers various retirement options, each with its unique features and benefits. The primary types of retirement plans available under this program include: 1. Defined Benefit Plan: This plan ensures a fixed, pre-determined retirement benefit amount based on factors such as years of service, salary history, and age at retirement. Eligible participants receive a reliable and predictable income stream during their retirement years. The defined benefit plan is especially beneficial for individuals seeking stable retirement income without being directly exposed to investment risks. 2. Deferred Compensation Plan: The deferred compensation plan allows employees to set aside a portion of their salary or bonus into a retirement savings account on a pre-tax basis. The funds in this account grow tax-deferred until withdrawal during retirement. This type of plan provides flexibility and control over investment choices, enabling participants to potentially accumulate a larger fund over time. 3. Hybrid Plan: Also referred to as a combination plan, the hybrid plan incorporates features of both a defined benefit and a defined contribution plan. This option offers retirees a guaranteed retirement benefit based on a specified formula, similar to a defined benefit plan. Additionally, participants have the opportunity to contribute to an investment account, allowing for potential growth and additional income sources. 4. Optional Retirement Program (ORP): The ORP is a retirement plan alternative available to certain faculty members and employees of participating institutions in the Texas higher education system. This program provides retirement benefits through individual annuity contracts and investment accounts. It offers flexibility in investment choices and portability, allowing participants to transfer retirement assets if they choose to change employers within the higher education system. The Houston Texas Retirement Benefits Plan is a vital component of an employee's overall compensation package, serving as a crucial tool to support a comfortable and secure retirement. By selecting the most suitable plan based on their preferences and needs, participants can confidently pursue their post-employment endeavors while enjoying financial peace of mind.

The Houston Texas Retirement Benefits Plan is a comprehensive program designed to provide financial security and stability for retired individuals residing in Houston, Texas. This retirement plan is specifically tailored to meet the needs and requirements of eligible employees who have dedicated their working years to serving the city and its residents. The Houston Texas Retirement Benefits Plan offers various retirement options, each with its unique features and benefits. The primary types of retirement plans available under this program include: 1. Defined Benefit Plan: This plan ensures a fixed, pre-determined retirement benefit amount based on factors such as years of service, salary history, and age at retirement. Eligible participants receive a reliable and predictable income stream during their retirement years. The defined benefit plan is especially beneficial for individuals seeking stable retirement income without being directly exposed to investment risks. 2. Deferred Compensation Plan: The deferred compensation plan allows employees to set aside a portion of their salary or bonus into a retirement savings account on a pre-tax basis. The funds in this account grow tax-deferred until withdrawal during retirement. This type of plan provides flexibility and control over investment choices, enabling participants to potentially accumulate a larger fund over time. 3. Hybrid Plan: Also referred to as a combination plan, the hybrid plan incorporates features of both a defined benefit and a defined contribution plan. This option offers retirees a guaranteed retirement benefit based on a specified formula, similar to a defined benefit plan. Additionally, participants have the opportunity to contribute to an investment account, allowing for potential growth and additional income sources. 4. Optional Retirement Program (ORP): The ORP is a retirement plan alternative available to certain faculty members and employees of participating institutions in the Texas higher education system. This program provides retirement benefits through individual annuity contracts and investment accounts. It offers flexibility in investment choices and portability, allowing participants to transfer retirement assets if they choose to change employers within the higher education system. The Houston Texas Retirement Benefits Plan is a vital component of an employee's overall compensation package, serving as a crucial tool to support a comfortable and secure retirement. By selecting the most suitable plan based on their preferences and needs, participants can confidently pursue their post-employment endeavors while enjoying financial peace of mind.