What Teachers in Alabama Need to Know About Their Pension Program (Ep. 3)
As a teacher in Alabama, relying on their pension plan can seem like the safest option. In reality, having multiple streams of income and savings is essential to build their retirement dream.
In this episode, Jack Burnette and Alison Castellano explore retirement planning for Alabama teachers and the limitations of teacher pension plans. They explain that the plan is a defined benefit plan with two tiers, and discuss the benefits, contributions, and payout options depending on different factors.
Jack and Alison focus on:
- How the teacher pension plan is funded and its structure
- The difference between tier one and tier two employees in terms of payroll deductions and benefits
- How do the different tiers impact their retirement age and funds
- Personal experiences and mistakes shared by Alison regarding relying solely on a pension and not starting retirement savings early enough
- And more
Connect with Jack Burnette:
Connect with Alison Castellano:
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