Teachers Retirement System Loses Billions - KFDA - NewsChannel 10 / Amarillo News, Weather, Sports

Teachers Retirement System Loses Billions

Teachers serving our community now could be in trouble if they're nearing retirement. Billions of dollars is gone from the Texas teacher's retirement system thanks to the current state of the economy.

And while retired teachers now will still receive their checks, if this trend continues, that may not be true for those in the future.

Eddie Smith, President of Canyon's Retired Teachers Association says, "As it goes down we then that 31 years becomes we are covered for 25 years than 20 years, and so on. So it's probably not me or other people in our retired teachers group right now who are going to be hurting, but the ones who are the active teachers right now, who are looking to retire, may be in trouble if the market doesn't turn around."

The state has stopped cost of living increases for retired teachers.. And now has tried to cover the extra cost by increasing their contribution.

Rod Schroder, AISD Superintendent says, "The state addressed this situation in the last session by upping their contribution to 6.58 percent, prior to that the state had been funding it at 6% which is the minimum."

Smith says there shouldn't be too much cause for alarm yet.. But a close eye will need to be kept on the fund.

"We are a long term fund, not a short term fund. So as long as the money stays in the market and the market recovers, eventually, then we can all hope to be better off, but right now we are in the same boat as everyone else." Smith says.

First estimates placed the money loss around 25 billion dollars, officials say that has been scaled back to about 16 billion.

  • Today's Local News HeadlinesToday's Local NewsMore>>

  • $39M awarded in lawsuit after 2013 fatal crash

    $39M awarded in lawsuit after 2013 fatal crash

    Wednesday, November 22 2017 3:21 PM EST2017-11-22 20:21:33 GMT
    SOURCE: KFDASOURCE: KFDA

    An El Paso family has been awarded $39 million in damages after a truck crash on I-40 in 2013 resulted in two deaths and multiple injuries.

    An El Paso family has been awarded $39 million in damages after a truck crash on I-40 in 2013 resulted in two deaths and multiple injuries.

  • Water main broken in Stinnett

    Water main broken in Stinnett

    Wednesday, November 22 2017 12:27 PM EST2017-11-22 17:27:15 GMT
    Source: KFDASource: KFDA

    Stinnett officials say there has been a break in the city water main.

    Stinnett officials say there has been a break in the city water main.

  • Wednesday's Weather: Light winds with high temps in the low 60s

    Wednesday's Weather: Light winds with high temps in the low 60s

    Wednesday, November 22 2017 12:17 PM EST2017-11-22 17:17:50 GMT
    SOURCE: KFDASOURCE: KFDA

    Weather Outlook for Wednesday, Nov. 22 

    Weather Outlook for Wednesday, Nov. 22 

Powered by Frankly