Established by law in 1938, KTRS legally known as "Teachers' Retirement System of the State of Kentucky" became operational on July 1, 1940. KTRS is classified as an "actuarial reserve, joint-contributory" system, meaning that contributions of the members and employers and the earnings from KTRS investments are placed in reserve to pay for the System's annuity obligation.
KTRS administration is the responsibility of the Board of Trustees consisting of nine members. The Board of Trustees appoints an Executive Secretary who is responsible for administering KTRS under the policies established by the Board.
KTRS membership is mandatory for all persons in eligible agencies occupying positions which require either certification or graduation from a four (4) year college or university as a condition of employment. Additionally, any person providing part-time or substitute teaching services that are the same or similar to those teaching services provided by full-time, certified teachers shall be a member of the retirement system, regardless of whether certification or graduation from a four (4) year college or university is required. University employees, however, must be employed on a full-time basis (seven-tenths or more of normal full-time service measured by the contract days remaining in the position for which they are employed) and must be filling a position requiring either certification or a four-year degree in order to be eligible for membership in KTRS.
Agencies eligible for participation in KTRS include public elementary and secondary schools, regional educational cooperatives, Eastern Kentucky University, Kentucky State University, Morehead State University, Murray State University, Western Kentucky University, the School for the Deaf, the School for the Blind, the Workforce Development Cabinet, the Kentucky Community and Technical College System, the Department of Education, the Education Professional Standards Board and other agencies as specified by law.
KTRS currently serves over 75,000 active members, and over 45,000 annuitants.
A Better Bang for the Buck: The Economic Efficiencies of Defined Benefit Pension Plans
National Institute on Retirement Security
Defined Benefit Plan -
National Institute on Retirement