A redeposit is the purchase of all or a portion of the service credit you lost when you took a refund of your CalSTRS account. When you redeposit, you are buying back the service credit represented by the refund.
Since this is an estimate, to the best of your knowledge enter the month and year of the refund. If you do not know the day of the refund, use the first of the month for the calculation.
Yes, and the process for this type of redeposit would be the same. The cost would be based on the total refund your former spouse received at the time of his or her refund.
Yes. You can redeposit all or a portion of all your refunds. To redeposit a portion of multiple refunds, CalSTRS adds each refunded amount together to arrive at a total cost. You can then redeposit a portion of that total cost.
You will have to pay the amount of the original refund (or a portion for a partial redeposit) plus the interest that the refunded amount would have earned had the funds remained in your CalSTRS account.
CalSTRS calculates compounded regular interest on your refund
starting from the date of your original refund and ending
20 days after the receipt of your request by CalSTRS.
CalSTRS calculates compounded regular interest from the date
of each refund until twenty days after the receipt of your
request. The total cost for the redeposit is determined by
adding each refunded cost together for one total redeposit
cost.
Yes, service credit from a redeposit will qualify you for highest final compensation and enhanced age factor. If you had more than 30 years of service credit prior to January 1, 2011, the service credit may increase your longevity bonus. However, service credit from a redeposit will not qualify for a longevity bonus if you did not have 30 years of service at that date.
If you would like to redeposit, use the CalSTRS form called
Redeposit or Purchase of Permissive or Nonqualified Service
Credit. After you send the completed form to CalSTRS, and
CalSTRS verifies your eligibility for the redeposit, you will
receive a billing statement reflecting the total service credit
and amount due. Please do not send money to CalSTRS until
you have received a billing statement. Any payments received
by CalSTRS without an official billing will be returned to
the sender.
Yes. Your billing statement will give you instructions about
how to make a lump-sum payment. Payment must be received within
35 days of the original invoice to avoid additional interest.
Yes, CalSTRS can accept rollovers from most qualified retirement
plans. CalSTRS cannot accept rollovers from Roth IRAs, SEP,
SIMPLE, or Coverdell Education Savings Accounts, and CalSTRS
cannot accept rollovers of post-tax funds. Information and
instructions for rollovers will be on the back of your billing
statement.
Yes, Current law allows you to make monthly payments over
a maximum ten-year plan. Your billing statement will reflect
a five-year payment option. However, if you prefer a different
payment plan (not to exceed ten years), you may request it
on your billing statement. Service credit will post to your
account when full payment has been received.
You can choose to make your monthly payments by cash or,
if your employer offers it, by payroll deduction. If you are
thinking about a payroll deduction, you should check with
your employer for information about the type of payroll deduction
they offer.
Your billing statement will include instructions about how
to initiate monthly payments, either by cash or payroll deduction.
No, you cannot continue installment payments after you retire
or start to receive a disability retirement allowance. If
you are making payments and will retire, you must make your
final payment no later than the end of the month of your retirement.
The final amount can be paid as a lump sum. If you have not
finished your payments by the time you retire, you can receive
prorated service credit for the total amount received at retirement.
