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Fall 2021: Retiree News

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Bob Byrd

Retiree Bob Byrd started teaching in 1971 at Garrett High School.  Four years later, he taught at River Forest High School for two years and then retired at age 55 from Greenfield-Central after 27 years. During his career, Byrd taught math and coached basketball after school.

Byrd and his wife have three kids who followed Byrd's footsteps by starting successful careers of their own; two of them earned both a Ph.D. and an MBA. Byrd's oldest child decided to continue his father’s career path and teaches at the Kelly School of Business at Indiana University.

Byrd is currently spending his early retirement days in Toano, Virginia, with his wife.

"I wanted to be able to fish saltwater, and the Chesapeake Bay is right here, so I kept my Boston Whaler right on the Bay. Lots of fishing for striped bass, flounder, red drum, and cobia. Two terrific reservoirs are within 15 minutes of my home: Disacund Reservoir and Little Creek Reservoir; both have tremendous fishing, and I would say they are under-fished.  I find that down here, where we have lots of retirees, many talk a good game of fishing, but few are actually serious about it, and even fewer actually go fishing!  Not me ... I fish both saltwater & freshwater."

Byrd's passion for fishing even landed him an article in Woods and Waters magazine. (See page 10)

Byrd's suggestions for retiring early include:

  • Saving a good amount from every paycheck;
  • Always paying cash for cars and then driving them at least eight years; never having car payments; and
  • Investing wisely

To share your retirement story with us, email us at info@inprs.in.gov or message us on Facebook or Twitter. We look forward to hearing from you!

Beware of scams targeting you and your money

Scammers are taking advantage of the coronavirus pandemic to con people into giving up their money. During this time of uncertainty, knowing about possible scams is a good first step toward preventing them. Visit https://www.consumerfinance.gov/coronavirus/avoiding-scams/ to stay safe against scams that could target you.

Source: Consumer Financial Protection Bureau

Find out when you can expect your benefit payment from INPRS

Mark your calendars for your 2022 benefit payment dates.

TRF

PERF

Monday, January 3, 2022

Friday, January 14, 2022

Tuesday, February 1, 2022

Tuesday, February 15, 2022

Tuesday, March 1, 2022

Tuesday, March 15, 2022

Friday, April 1, 2022

Thursday, April 14, 2022

Friday, April 29, 2022

Friday, May 13, 2022

Wednesday, June 1, 2022

Wednesday, June 15, 2022

Friday, July 1, 2022

Friday, July 15, 2022

Monday, August 1, 2022

Monday, August 15, 2022

Thursday, September 1, 2022

Thursday, September 15, 2022

Friday, September 30, 2022

Friday, October 14, 2022

Tuesday, November 1, 2022

Tuesday, November 15, 2022

Thursday, December 1, 2022

Thursday, December 15, 2022

1099s arrive in January

1099s will arrive in your mailbox and online any time after Jan. 31, 2021. Pay special attention to Box 7 of your 1099 to ensure it is appropriate for your situation. If the “early distribution-no known exception” box is checked and you believe there is an exception, please consult your tax advisor.

Understanding the fees you pay if you still have a DC balance with INPRS

If you’re like us, you’re eager to see the changes to your investment performance when you get your quarterly statement. When you review your statement, take note of the administrative and investment fees INPRS is required to add. While no one likes to pay fees, it’s important to understand what fees you are paying and why. We’re committed to only assessing the fees that are necessary for taking care of your account. INPRS does not profit from administrative fees. In fact, our fees are among the lowest you’ll find.

INPRS members pay two types of fees – an administrative fee and an investment fee (referred to as an expense ratio). Below we sum up what you need to know about administrative fees and expense ratios:

Administrative Fees

Expense Ratios/Investment Fees

  • PERF, TRF, and LE DC plan members pay administrative fees to cover the costs associated with managing their defined contribution (DC) accounts.
  • Administrative fees are $3.75 deducted directly from members’ DC account each month, for an annual charge of $45. This deduction is noted on your quarterly member statement. PERF and TRF Hybrid members will find the fee noted on their annual member statement.
  • INPRS’s member fee policy outlines the method used to determine administrative fees. You can find the fee policy online at https://bit.ly/DCAdministrativeFeePolicy.
  • INPRS Defined Contribution (DC) Plan investment options each carry an “expense ratio.” An expense ratio measures how much you’ll pay over the course of a year to own an investment option. An expense ratio is expressed as a percentage for each investment option.
  • When you view your DC account, your online statement will show how much money you gained or lost, known as net of fees. All expenses are deducted from your investment option(s) before showing how much you gained or lost.
  • You will find that the expense ratios associated with INPRS are typically lower than retail investment offerings. For example, an INPRS member working for ten years starting at age 30 could have over $10,000 more in their DC account upon retirement than a retail investor with higher fees on the same investment amount and length of time. *
  • Click  here for further details on Expense Ratios and to view the Fee table

You can use the below equation to figure how many dollars you’re paying annually in fees:

Amount Invested (dollars) x Expense Ratio (%) = Fee

For example: if you have $10,000 in a fund with an expense ratio of 0.12%, you’ll pay $12 per year in fees. 

View your investment options and their associated expense ratios by logging into your secure online account at www.myINPRSretirement.org.

* The above example assumes a $1,000 annual investment for 10 years at year-end, starting at age 30 and investing until age 65. Both scenarios assume an 8.00% gross return with an INPRS return of 7.90% net-of-fees and a competition return of 7.53% net-of-fees. The rate of return is an assumption and is not a guarantee of performance.

Updated Tax tables may impact your deposit
Your deposit may change in January due to updated IRS tax tables. When the tax tables are posted, we will send an email to retirees on our distribution list.
2021 Comprehensive Annual Financial Report
The 2021 INPRS Comprehensive Annual Financial Report (Annual Report) is available on our website at https://www.in.gov/inprs/publications/annual-reports/.
Social Security Announces 5.9 Percent Benefit Increase for 2022

Social Security and Supplemental Security Income (SSI) benefits for approximately 70 million Americans will increase 5.9 percent in 2022.

The 5.9 percent cost-of-living adjustment (COLA) will begin with benefits payable to more than 64 million Social Security beneficiaries in January 2022. Increased payments to approximately 8 million SSI beneficiaries will begin on December 30, 2021. (Note: some people receive both Social Security and SSI benefits). The Social Security Act ties the annual COLA to the increase in the Consumer Price Index as determined by the Department of Labor’s Bureau of Labor Statistics.

Read more at https://www.ssa.gov/news/press/releases/2021/#10-2021-2

Source: Social Security Administration

Resources That Can Help You with Jumps in Energy Prices This Winter

Home heating costs are forecast to go up this winter due to rising fuel prices and increased demand. The prediction comes from a recent report of the Energy Information Administration.

Many energy prices dropped considerably last winter due to a sharp drop in demand brought on by the COVID-19 pandemic. But the agency said prices have since rebounded, partly because of the economic recovery, and in some cases have reached multi-year highs.

If you’re impacted by this price increase and could use assistance in paying your winter heating bills, help is available. The Energy Assistance Program (EAP) can help you pay your heat and electric bills. EAP is a federally funded program through the U.S. Department of Health and Human Services (HHS) called the Low-Income Home Energy Assistance Program (LIHEAP). For more information, visit https://www.in.gov/ihcda/homeowners-and-renters/low-income-home-energy-assistance-program-liheap/. There, you can find how to get support, no matter what utility you receive service from.

Source: Indiana Housing & Community Development Authority

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