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A Publication for VRS Members
February 2023 | Archives

In This Edition

New Look for Member News Coming Soon!

Your next issue of VRS Member News will have a new look. The newsletter is transitioning from a long-form email to an online news site. You will continue to receive an email digest each quarter with highlights and links to each article on the VRS website.

A man and a woman wearing professional office attire smile down at the viewer with the America Saves Week logo in between them.
America Saves Week: Build Your Financial Confidence With myVRS Financial Wellness 
Be ready for whatever life sends your way. With myVRS Financial Wellness, you have the tools you need to bolster your financial confidence and feel prepared for your future. VRS encourages using myVRS Financial Wellness year-round – but there’s no better time than America Saves Week, February 27 – March 3. Learn more about the themes highlighted by this nationwide savings event at americasavesweek.org.
Saving at Any Age. It’s never too early – or too late – to implement positive money-management practices. No matter where you are in your journey, myVRS Financial Wellness has educational resources to assist you. Log in for a free assessment of your money personality, articles, videos and online courses as well as useful tools and calculators to help you maximize your money.
Saving for Major Milestones. It can be hard to determine how much you need to save now to meet long-term goals like education, home ownership and retirement. Try out the Saving for a Goal Calculator in myVRS Financial Wellness to analyze your contributions against the cost of the goal you’re trying to reach.
Paying Down Debt Is Saving. When you choose to pay down your debt, you’re saving on interest and late fees while also maintaining or improving your credit score. Paying off your debt means freeing up cash flow and gaining the freedom to put those funds toward something more meaningful. Take the Getting Out of Debt course available through myVRS Financial Wellness to learn more. Click this image to go to my VRS Financial Wellness now.
Large text that says protects yourself fills the dimensions of the image. To the right of the text is a drawing of a padlock with a left arm doing a bicep curl signifying strong online protection.

Ensure Your Online Accounts Are Protected

VRS takes measures every day to keep your information secure. You can help add even more protection by registering your online myVRS account and your defined contribution account(s), if eligible, through Account Access.

How to register for myVRS (your retirement pension account):

  1. Go to varetire.org.
  2. Click the myVRS icon at the top right corner of the homepage.
  3. Choose the Register Now button.
  4. Answer a series of questions to confirm your identity.
  5. Choose a username and passphrase, and answer a series of questions.
  6. Log in at least every 90 days to check your account activity and change your passphrase.

How to register defined contribution accounts (i.e., your Commonwealth of Virginia 457 Deferred Compensation Plan or Hybrid Retirement Plan Defined Contribution account):

  1. Go to varetire.org/dcp-login.
  2. Select Set Up Your Online Access and provide identity information.
  3. Choose your user ID and passphrase.
  4. Log in at least every 90 days to check your account activity and change your passphrase.

Don’t forget to follow these additional security practices to continue bolstering your online safety:

  • Keep your contact information current with VRS to ensure communications only reach you. Whenever there is a change to your address, phone number, email or bank account information, update your VRS account(s) immediately to reflect the change.
  • Avoid using short, stand-alone words that could be easily guessed. Try a passphrase instead.
  • Employ and regularly update trusted antivirus and antispyware software on your computer.
  • Do not click suspicious links or download unrequested email attachments.

For additional online safety tips, go to varetire.org/securitycenter.

Image containing a photograph of a young woman seated at a desk. She is wearing headphones and is staring into the screen of a laptop computer.

Register for Spring Member Education Webinars and One-on-One Counseling

Whether you have questions about your plan or want to learn more about preparing for retirement, VRS is dedicated to helping you understand your benefits. Visit the Education and Counseling webpage to schedule convenient virtual or in-person retirement counseling and to see a full list of member education sessions.

Check out these upcoming webinars or view the recordings at your convenience.

Are You On Track? (Plan 1 and Plan 2): February 22, 1 – 2 p.m.

Explore your VRS membership and the importance of planning now for your future. Topics will include an overview of VRS benefits and optional programs, purchase of prior service and member resources, such as myVRS.

VRS Overview (Plan 1 and Plan 2): March 7, 10 – 11 a.m.

Learn about your benefits as a VRS member. Topics covered will include the value of your benefit, vesting and retirement eligibility. The webinar will also discuss ways that you can enhance your retirement benefit, as well as other benefits for which you may be eligible.

Your Next Steps (Plan 1 and Plan 2): March 23, 2 – 3 p.m.

For members who are less than 12 months away from retirement, this webinar walks you through the retirement application process. Topics will include a timeline of action items, an overview of the required online steps or forms, and post-retirement considerations and resources.

Are You Ready to Retire? (Plan 1 and Plan 2): April 10, 11 a.m. – 12 p.m.

Considering retiring within the next five years? This presentation will guide you through important retirement decisions such as when to retire, choosing a defined benefit payout, and whether to carry long-term care insurance and optional life insurance into retirement. Other topics will include benefits after retirement and using myVRS to plan for retirement.

Benefit Payout Options (Plan 1 and Plan 2): April 25, 1 – 2 p.m.

Explore the four different payout options available to you at retirement. You’ll also learn about retirement eligibility and how a benefit is calculated.

Hazardous Duty – VaLORS (Plan 1 and Plan 2): May 10, 1 – 2 p.m.

This webinar for members of the Virginia Law Officers’ Retirement System (VaLORS) will lay the foundation needed for future retirement needs. Topics will include retirement eligibility requirements and the multiplier used to calculate the service retirement benefit.

An image of raised numerals that spell out 2022 with the VRS 80th anniversary logo in place of the zero.

Watch: VRS in 2022

In 2022, VRS celebrated 80 years of serving those who serve others. Through the decades, the VRS team has consistently worked to meet member needs at every stage by providing services, retirement counseling and education throughout their careers and into retirement.

Watch the video for highlights from 2022.

Click this image to go to a page where you can play the VRS in 2022 video.

Read more about VRS’ financial results, investment highlights and other statistics in the 2022 Popular Annual Financial Report PDF. For more in-depth information, see the 2022 Annual Comprehensive Financial Report PDF.

Refer to VRS 101 PDF for an introduction to VRS and an overview of retirement plans, membership, funding and other resources.

A photograph of the capitol building and legislative chambers of the Commonwealth of Virginia, USA, designed by Thomas Jefferson.

General Assembly Session Underway

The Virginia General Assembly convened January 11 for its 2023 legislative session. You can track all VRS-related bills on the Legislation page. Look for a summary of VRS-related legislation in the May issue of Member News.

A photograph of the tip of a writing pen filling in a paper IRS 1040 tax form.

IRS Increases Deferred Compensation Contribution Limits

The Internal Revenue Service has increased the maximum dollar amount you may contribute in 2023 to tax-deferred savings plans, such as the Commonwealth of Virginia 457 Deferred Compensation Plan.  

  • The annual deferral limit for 457 plans for participants younger than age 50 has increased to $22,500, compared to $20,500 in 2022.
  • The pre-retirement Standard Catch-Up limit has also increased to $22,500, for a total of $45,000.
  • The Age 50+ Catch-Up Limit has increased to $7,500, compared to $6,500 in 2022.

The annual limit includes any voluntary contributions made to the Hybrid 457 Deferred Compensation Plan, if eligible, and any other supplemental 457 plans. Any Roth after-tax or pre-tax contributions made to the Commonwealth of Virginia 457 Deferred Compensation Plan also count toward the limit. As a reminder, hybrid plan members should save the maximum 4% in voluntary contributions first to take full advantage of the employer match before contributing to other supplemental saving plans.

You cannot use the Age 50+ Catch-Up and the Standard Catch-Up in the same calendar year. For more information on the Age 50+ Catch-Up, Standard Catch-Up, military leave make-up, one-time deferrals or investment options, refer to the Contributions section of the Commonwealth of Virginia 457 Deferred Compensation Plan website.

A portrait photograph of CIO Andrew Junkin next to text which reads meet the CIO.

Watch: Meet the New CIO

Chief Investment Officer Andrew Junkin joined VRS last year after an extensive national search. Learn more about VRS’ new CIO in this introductory video.

AN image of Andrew Junkin from the video with a large play button icon superimposed overtop of it. Clicking on this image will take you to a page where you may play the video.

A portrait photograph of Fabiana Parker next to text which reads member spotlight.

Member Spotlight: 2023 Virginia Teacher of the Year Fabiana Parker

From teaching her grandmother how to read and write while still a child in Brazil to teaching students English as a second language, Fabiana Parker has stayed committed to helping others learn.

Gov. Glenn Youngkin recently recognized Parker, an English for Speakers of Other Languages (ESOL) teacher at Thornburg Middle School and Spotsylvania High School, as the 2023 Virginia Teacher of the Year.

“I am so happy to be the 2023 Virginia Teacher of the Year, especially because I have a voice now to represent my students and ESOL students, which is a population that has been growing in Virginia,” Parker said. “And sometimes we don’t get the funds or the voice that we need for those students.”

Parker promised her high schoolers that they could celebrate with a classroom party if she won the award. Sure enough, just before the holiday break, she and her students gathered to share food from their countries and commemorate their teacher’s accomplishment.

“It’s been really wonderful just to receive accolades and have your district and your school recognize your efforts and the work that you put into the kids and to your job every day,” Parker said.

Parker teaches students who come from all over the world — Afghanistan, El Salvador, China and beyond. On any given day, there are 48 languages spoken at Thornburg Middle School. “That, to me, is just amazing,” Parker said. “I thrive in that kind of environment.”

An image of Fabiana Parker instructing two students at a table in her classroom.

Growing up in Brazil, Parker, at the age of 10, taught her grandmother how to read and write. She then moved to London with her family where she had to learn English without any access to ESOL courses.

“It was extremely difficult,” Parker recalls. “There were a lot of tears. I didn’t want to go to school. But, you know, you do what you have to do.”

She persevered, eventually attending King’s College for a degree in modern foreign languages and education and picking up Portuguese, Spanish and Italian along the way.

“My plan when I was living in England was to become a Spanish or Portuguese teacher,” Parker said. “Well, life had other plans.” Parker met her husband, who is now a veteran of the U.S. Air Force, in London. They moved to Idaho, where Parker’s husband was stationed, starting her life on a new trajectory.

Parker began teaching in Idaho while completing a master’s degree in education, curriculum and instruction from Boise State University. The next move was to Virginia, where she’s been teaching ESOL for the past seven years.

One of Parker’s goals as a teacher is to be cognizant of the obstacles her students face – challenges that she has tackled firsthand.

“English is important,” she said. “That's the language we use in this country primarily.” Yet she takes into account that her students come with their own cultural and linguistic backgrounds. “We have to build on that and be mindful and respectful that these are people that come to us … and they are learning English.”

Being bilingual has many benefits, Parker notes as her students go on to successful careers in business and teaching. “It’s so beautiful for me to see where they started,” Parker said. “Coming to a new country and not knowing the language and going through all these struggles that I have been through—so I understand—to where they are now, using their skills and their passion to contribute to society.”

Soon, like Parker, they will turn their attention to retirement. Her advice to incoming teachers under the Hybrid Retirement Plan is to maximize voluntary contributions as soon as possible to ensure you get the highest match from employers. Parker also suggests talking to a MissionSquare representative to fully understand the defined contribution component of the Hybrid Retirement Plan. “Make sure you talk to a rep so you can set yourself up for, you know, the best possible retirement ever right from the beginning.”

Text which reads my VRS Benefit Estimator and Retirement Planner is superimposed over an image of the my VRS website.

Watch: Member Benefit Tips

VRS Director Trish Bishop explains how the myVRS Benefit Estimator and Retirement Planner tools can help you save money for the future. Log in to myVRS today to access these tools and more, including myVRS Financial Wellness.

Text which reads my VRS Benefit Estimator and Retirement Planner is superimposed over two images of pages on the my VRS website. A large play button icon is superimposed over them Clicking this image will take you to a webpage where you may play the video.

Your Turn To Ask

Your Turn to Ask

I’d like to start the new year with a review of my VRS benefits. What resources are available to help me?

That’s a great goal for 2023! Here are some recommendations to help you get started:

  • Explore varetire.org (Plan 1 and Plan 2) or varetire.org/hybrid (Hybrid Retirement Plan), depending on your plan.
    These websites house your benefit resources and offer a wealth of information about your VRS plan. If you have a supplemental savings plan through VRS, such as the Commonwealth of Virginia 457 Deferred Compensation Plan, be sure to visit varetire.org/dcp.
  • Check out the VRS Member Guide PDF.
    Our most-requested publication is for newer VRS members or for those who recently moved to a new VRS-covered position. After taking a look, find your plan handbook using the dropdown menu on the Publications page to take a deeper dive into your benefits.
  • Log in to your online accounts.
    Or, if you’re not registered, claim your accounts to ensure they are secured.
    • myVRS: Your myVRS account provides personalized information such as your employment and salary history, estimated retirement date and information on your life insurance and health insurance credit in retirement, as applicable. You’ll also want to check out the myVRS Benefit Estimator and Retirement Planner to see if you’re on track to meet your retirement goals. In addition, the award-winning myVRS Financial Wellness program offers savings articles, videos, tools, courses and more.
    • Account Access: If you participate in the Hybrid Retirement Plan or another VRS Defined Contribution Plan, you can view account details, adjust contributions, manage investment selections and review your personal information.
  • Review your beneficiary designation.
    Check to see if your beneficiary information is up to date in myVRS – as well as Account Access, if eligible – to ensure your wishes are carried out in the event of your death. In myVRS, you can name beneficiaries for your defined benefit member contributions and VRS Group Life Insurance. In Account Access, you name beneficiaries for your defined contribution account/s if you’re a member of the Hybrid Retirement Plan or participate in another supplemental plan.

For additional support, VRS offers member education and one-on-one counseling. Visit the Education and Counseling webpage for details and scheduling.

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