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A Publication for VRS Members
February 2021 | Archives

In This Edition



Watch: VRS in 2020

VRS in 2020 Video

This 90-second reel will provide a snapshot of VRS in 2020, including key facts about who we serve, the position of the VRS trust fund and where VRS ranks among pension systems.

Read more about VRS’ financial results, investment highlights and other statistics in the 2020 Popular Annual Financial Report (PAFR) PDF Icon. Find more in-depth information in the 2020 Comprehensive Annual Financial Report (CAFR) PDF Icon

Also, refer to the VRS 101 PDF Icon for an introduction to VRS and a summary of our retirement plans, membership, funding and other resources.

 
myVRS Login

Enhanced Security Brings Extra Level of Protection for myVRS Accounts

To further protect your member account information and follow industry best practices, VRS has added enhanced security to myVRS. If you have not yet set up your online account, enhanced security will be automatically integrated when you register.

For current users of myVRS, you will have an opportunity to set up additional security on your next login. You may continue to view your account information without setting up enhanced security. However, identity authentication will be required to complete any financial transactions or make a change to your user profile.

VRS recommends that all myVRS users choose enhanced security to reduce the risk of fraudulent access if a password is ever compromised. When making future transactions in myVRS that require enhanced security, you must choose to receive a One-Time Authentication Code (OTAC) communication by text or email. If you choose email and don’t immediately see the communication, always remember to check your junk or spam folder, in case the message is misdirected.

Learn more about online safety and fraud prevention by visiting the VRS Security Center.

 
America Saves for Savers

Saving as a Family: Tips on Building Good Habits and Making Them Last

Budgeting and saving can seem challenging on an individual scale—what can you do to build financial stability and create good money habits as a family? As part of this year’s America Saves Week, February 22 – 26, make it a goal to talk to your family about money, spending habits and saving.

Set a Family Savings Goal

Setting a financial goal and sticking to it can serve as an excellent example for children and teenagers, instilling a future-oriented mindset rather than thinking of money as just something to spend immediately. Whether it’s saving for a fun family trip, a first car for a new driver or just the latest electronic gadget, make the commitment to save and get the whole family to participate. Watch the savings grow and enjoy the payoff together!

Make a Budget With Real Examples

The things everyone in your household uses—electricity, internet, cell phone service—all have a cost. You’re already paying the bills, so turn them into a teachable moment. Showing your kids how to balance income with expenses teaches them not to overextend themselves and imparts a sense of value to the services they use. To get a refresher on creating successful balanced budgets, take the myVRS Financial Wellness mini-course, Building a Budget (And Sticking to It). Simply log into your myVRS account, then click the Financial Wellness tab to begin.

Build an Emergency Fund

Establishing an emergency fund may be one of the most important things you can do for your family. Not only is it a good example to set, but it can serve as a crucial safety net in times of crisis. Talk to your family about how being prepared for the unexpected can help you avoid pitfalls and keep peace of mind. For helpful strategies on starting your emergency fund, take the myVRS Financial Wellness mini-course, Setting Up an Emergency Fund, available through your myVRS account.

Take the America Saves pledge to receive text and email reminders, tips and resources to keep you on track.


Spring Education SessionsSpring Education Sessions Coming to a Screen Near You

Spring is a time of growth and renewal—sprout your retirement plan and benefits knowledge with upcoming VRS member education webinars. Click the titles and register to watch the following webinars live or view recorded versions at your own convenience.

Are You on Track?: February 24, 1 – 2 p.m.

Plan 1 and Plan 2 members will explore VRS membership and the importance of planning now for the future. Topics include an overview of VRS benefits and optional programs, purchase of prior service and member resources such as 7our online self-service portal, myVRS.

Your Next Steps: March 25, 2 – 3 p.m.

This webinar will walk Plan 1 and Plan 2 members who are fewer than 12 months away from retirement through the retirement application process. Topics include a timeline of action items, an overview of the required forms, post-retirement considerations (such as taxes and COLA) and VRS resources after retirement.

Hazardous Duty (State Police Officers’ Retirement System): March 9, 3 – 4 p.m.

State police officers will learn about SPORS retirement eligibility requirements, the hazardous duty supplement and the multiplier that is used to calculate the service retirement benefit.

Hybrid Retirement Plan Features and Benefits: View the Recorded Webinar

Hybrid plan members can improve knowledge of the defined benefit and defined contribution components of the Hybrid Retirement Plan, explore payout and investment options, and learn about additional VRS benefits.

For a complete list of member education sessions, visit the VRS Education and Counseling page.

 
myVRS Financial Wellness

Introduce Yourself to Money Topics With myVRS Financial Wellness Start Here Guides

If you don’t know where to begin with certain financial topics, take your first step with the new myVRS Financial Wellness Start Here Guides, available through your myVRS account. New guides include:

Managing Financial Stress

Get tips on how to assess and track your spending, and learn strategies to cut your expenses and grow your income.

Improving Your Credit Score

With versions for people with low credit and high credit, you’ll find tips and strategies on lowering your credit utilization rate, correctly timing your payments and staying mindful about credit inquiries.

Preparing for a Move

Whether you’re moving 1,000 feet or 1,000 miles, this guide helps you identify ways to save money and lower stress before, during and after move-in day.

Interactive Mini-Courses

Looking for that next step after completing a Start Here Guide? Take a personalized dive into various financial wellness topics with myVRS Financial Wellness mini-courses. Each course is tailored to you and allows you to learn at your own pace with video, audio and quiz questions to gauge what you’ve learned.


VRS Member Spotlight: Anthony Swann, 2021 Virginia Teacher of the Year

Anthony Swann


"I am humbled that I was chosen as 2021 Teacher of the Year for Virginia," says Anthony Swann, fifth grade teacher at Rocky Mount Elementary School in Franklin County. "Some think because you become teacher of the year it must mean you're the best, but I'm not the best—I'm chosen to represent the best—and that’s the teachers who serve the children across the commonwealth."

When the pandemic first struck last March and schools in Franklin County and across the commonwealth closed suddenly, Rocky Mount Elementary School fifth grade teacher Anthony Swann found himself devastated.

“I didn’t get to say goodbye,” Swann says. “My children are my life.”

By the end of 2020, however, there was room for celebration. Not only was Swann back in the classroom with students several days a week—he earned the high honor of being named Virginia’s teacher of the year for 2021.

“I am honored by the fact that I get to serve my children,” Swann says. “Just knowing that I can see my children and meet their needs and cause the lightbulbs to go off—cause them to have those ‘Aha!’ moments.”

Now in his 14th year as an educator, Swann says he knew he wanted to be a teacher ever since he was 11 years old, when he experienced the trauma of being taken into foster care. He remained a ward of the state until he was 21.

“Knowing my parents didn’t want me gave me the motivation to grow up to give children what I never had—acceptance from an adult,” Swann explains.

Each morning Swann starts his class with a cooperative culture curriculum where he and students discuss concepts such as perseverance, resilience and respect. He has his students say affirming statements like, “I am smart,” and “I am important,” to remind them that they matter.

“I always tell my students ‘thank you for coming to school,’ and let them know that I love them,” Swann says. “Everyone’s home situation is different. They may not have that particular person or adult to let them know that they do matter and that they are loved.”

Manners and respect play a large role in Swann’s teaching style. He addresses his students by “sir” and “ma’am,” and asks them to use those titles when answering him or other teachers. He says he never yells at his students, even if they make him upset.

“I want them to feel respect, and to know they’re in a safe environment,” Swann says.

Swann also leads a program at Rocky Mount Elementary called Guys with Ties. Before COVID-19, he would offer mentorship to fifth grade boys, many without strong father figures in their lives. Together as a group, they would address things like dignity and having respect, how to treat a lady and how to be clean and organized. Swann says the boys were expected to dress their best, and if they didn’t have a tie, they would wear whatever they considered their best.

“The word ‘tie’ has multiple meanings for the group,” Swann says. “It’s not just something you put on—it’s knowing that the things you do tie into other parts of your life outside of the classroom.”

Swann says he wants to continue supporting children through programs like Guys with Ties long into the future.

“I want to still give back to children even after I retire,” Swann says. “Being able to help sponsor programs like Guys with Ties or similar programs, it means a lot.”

In addition to his VRS membership, Swann also contributes to a separate supplemental plan.

“As young educators we don’t think about retirement, because we think we have all these years, but it’s great to plan for the future,” he reflects. “The things you do leave a mark on children’s lives even beyond the classroom and beyond retirement.”

Want to be featured in our next Member Spotlight? Tell us about your work, share your savings strategies or let us know what your goals are for retirement by contacting VRS at PROffice@varetire.org.


VRS DCP mobile App VideoUpdated VRS DCP Mobile App Makes Account Management Easy

With the updated VRS DCP mobile app, managing your VRS defined contribution accounts has never been more convenient. From your iPhone, Android smartphone or tablet, you can:

  • View your account balance.
  • Change your plan contributions.
  • Use plan calculators to see how much to contribute.
  • Contact your local DC Plans Specialists at ICMA-RC.
  • Sign up for text updates from your plan with TextAccess.

TextAccess

ICMA-RC’s TextAccess feature allows you to request certain account information and have it sent directly to your mobile phone via text. To sign up, log into Account Access on a desktop or through the DCP mobile app, and navigate to the TextAccess menu item under Overview. After signing up, you can quickly get information including your defined contribution account balance, your last contribution amount and your rate of return, by texting a simple phrase like “bal.”

If you participate in multiple plans, you also have the option of creating a nickname for each account.

DCP Contribution Limits

Keep in mind that your total contributions to all plans, including the Hybrid 457 Plan, the Commonwealth of Virginia 457 Deferred Compensation Plan and any additional supplemental plans, cannot exceed the IRS annual limit. If you reach the limit during the calendar year, your contributions and employer match will stop. The 2021 limit set by the IRS is $19,500. If you are age 50 or above, or you are close to retirement, higher limits may apply. See the IRS salary deferral limit page for more information on annual limits and how they apply to your plan types.

Hybrid Plan Members: Request Contribution Changes by March 15

You can make changes to your voluntary contributions each quarter. The cut-off date for changes to an account is 4 p.m. on the 15th of the month (or nearest business day) prior to the next quarter. March 15 is the next cut-off date, with changes going into effect when the new quarter begins on April 1.

Visualize Your Contributions With the Paycheck Calculator

If you’re curious how changing your voluntary contributions will impact your paycheck, use the Paycheck Calculator to compare your current net pay with a projected new net pay based on the contribution levels you choose. Explore different contribution dollar amounts or percentages to help you decide how much you want to contribute.


2021 Virginia General Assembly Continues Into Special Session

The 2021 Virginia General Assembly session began on January 13 and entered into an extended session on February 11. You can track all VRS-related House and Senate bills on the VRS Legislation page.


Health Insurance Options

Your Turn to Ask: Where Can I Find More Information About Healthcare Options in Retirement?

As you get closer to retirement, your post-employment health insurance options are an important consideration. According to a recent Milliman actuarial report PDF Icon, a healthy 65-year-old couple is now projected to spend approximately $351,000 on healthcare costs in retirement.

The major distinctions in determining your options for health insurance after service retirement are whether your employer offers health coverage for retirees and if you are age 65 or over and eligible for Medicare.

Political Subdivision and School Division Employees

If you are retiring from a school or political subdivision, contact your human resource office for information about retiree health insurance that your employer may offer. VRS does not administer health insurance benefits.

State Employees Not Eligible for Medicare

If you are retiring from state employment, contact your agency’s human resource office and complete your State Health Benefits Program Enrollment Form For Retirees, Survivors And LTD Participants (T-20879) PDF Icon within 31 days of retirement to enroll in the State Health Benefits Plan. If you do not meet the 31-day cutoff, you will not be eligible to enroll. As a new retiree, you have a variety of options, including but not limited to:

  • Enrolling in the same health plan and membership level you had as an active employee.
  • Making a plan change.
  • Reducing your membership level.
  • Waiving retiree coverage to participate as a family member of either an active state employee or another retiree group participant (and preserving eligibility for your own retiree coverage in the future).
  • Declining coverage (you will not be able to enroll at a later date).

The Virginia Department of Human Resource Management administers this plan. Visit DHRM’s Health Benefits for Non-Medicare Retirees page for more information, including premium costs and a fact sheet PDF Icon on coverage options. VRS will deduct the premiums from your monthly benefit payment.

If you cancel coverage, you are not eligible to re-enroll in the program. However, you can be covered as a dependent of an active state employee or a state retiree who enrolls you in the program, or if you return to work and retire again as a state employee.

State Employees Eligible for Medicare

If you enroll in the State Retiree Health Benefits Program and are eligible for Medicare, the information above applies to you as well, though you must be enrolled in Medicare Parts A and B on your retirement date. If you or any covered family members are eligible for Medicare, be sure to contact the Social Security Administration at least three months before your retirement date to advise of your upcoming change in employment status. Complete your State Health Benefits Program Enrollment Form For Retirees, Survivors And LTD Participants (T-20879) PDF Icon  and return to your human resource office within 31 days of retirement.

Visit DHRM’s Health Benefits for Medicare Retirees page for more information, including premium costs and a fact sheet PDF Icon on Medicare and the State Retiree Health Benefits Program.

Explore All Options

Some retirees may want to examine the advantages and disadvantages of looking outside of their former employer’s offerings for health insurance. You may decide to join a spouse’s plan, or shop around for an individual health insurance plan that meets your needs and budget. For more information about health insurance providers in Virginia, and for information about the Virginia Health Benefits Exchange, visit the Virginia State Corporation Commission’s consumer insurance page.

Estimate Expenses in myVRS

Log into your myVRS account and use the Retirement Planner to help project your future expenses in retirement, including health care costs. Save your plan in your myVRS account for future reference and to help you stay on track to meet your income goals at retirement.

Health Insurance Credit

If you work for a participating employer and have a least 15 years of service credit when you retire, you may be eligible for the health insurance credit. This is a tax-free benefit that assists with health insurance premiums you pay for single coverage, excluding any portion of the premiums covering a spouse or dependents.

 
Member Education

Member Education

Webinar courses are posted on the VRS website as they are scheduled. Register from our Education and Counseling pages.

Retirement Planning
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