TCDRS Retirement is All Treats and No Tricks

Children and adults alike all over Texas are thinking of the scariest things to dress up as this Halloween: clowns, ghosts, monsters, retirement planning — wait, how’d that get in there?

By John Martin

 

There’s a lot to think about when planning for retirement, and sometimes it can get overwhelming. But is retirement planning the haunted house it’s made out to be?

Not with TCDRS. Here are three facts about your TCDRS account that prove there’s nothing to be afraid of:

Automatic Savings

TCDRS makes budgeting for retirement easy with automatic savings. Every paycheck, you are depositing money into your TCDRS account. You can view your account balance at any time by registering online and signing into your TCDRS account at TCDRS.org.

Unlike an IRA or 457 retirement account, you cannot deposit additional funds into your TCDRS account, but as long as you keep it open, it will continue to grow — even if you leave employment.

Compound Interest

Deposits aren’t the only way your TCDRS savings grow. Every year, your account earns 7% compound interest based on your January 1 account balance.

You receive this 7% compound interest no matter what. Regardless of the economy, your money will keep earning 7% interest as long as it’s in your TCDRS account.

TCDRS’ Strength and Stability

Your TCDRS account is designed to withstand market volatility. We expect the market to go up and down, so we take a long-term view when it comes to managing our investments. Our investment horizon of 30-plus years helps us weather spookiness in the economy.

Remember, there are no tricks when it comes to saving for retirement with TCDRS, only treats. Don’t forget to follow TCDRS on Facebook and Instagram for more information about TCDRS, financial tips and stories about what other members like you are doing on their journeys to retirement.

If you still have questions about your TCDRS account, give us a call at 800-823-7782 or schedule a free online counseling appointment.

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