TRS service credit is an important part of determining eligibility for TRS benefits including TRS-Care.

Service credit affects the amount of a service or disability retirement benefit you may receive when you retire. In the event of your death as a TRS active member, service credit can also affect benefits paid to your beneficiary.

You establish service credit in two ways:

• Through eligible employment in Texas public education
• By purchasing service credit when eligible

For the twelve-month period ending August 31, 2024, the total portfolio delivered investment returns of 12.83 percent, which is 3.55 percent above the Pension Trust Funds (Fund) benchmark. As a result, the total investment value of the Fund as of August 31 was $209.5 billion, or $22.9 billion more than this time last year, after contributions and benefit payouts.

On a three-year annualized basis, the Fund has returned 3.01 percent, which is 0.90 percent above its benchmark.

Annual rates of return for the five and ten-year periods ending August 31, 2024, were 7.94 percent and 7.24 percent, respectively. Both rates surpassed the Board's adopted long-term assumed rate of return of 7.00 percent.

Investment risks are diversified over a very broad range of market sectors and securities.

TRS' investment strategy is designed to minimize downside risk while capturing upside performance, and it reduces portfolio risk from adverse developments in sectors and issuers experiencing unusual difficulties and offers opportunity to benefit from future markets.

A cost-of-living adjustment (COLA) was dependent on Texas voters approving a constitutional amendment (Proposition 9) to authorize the COLA. Voters approved the amendment in the November 2023 election and the COLA will be applied to eligible annuitants' payments beginning with their January 2024 payment due the last business day of the month (Jan. 31).