Who is in TSERS
- Teachers and state employees in North Carolina are in TSERS. There's one benefit formula for everyone who isn't a law enforcement officer, whatever your hire date.G.S. 135-5(b21)(2)
- Membership is automatic if you're a permanent full-time teacher or employee of a state-supported board of education or community college, or a permanent state or participating charter school employee working at least 30 hours a week for nine months a year.Handbook: Membership in TSERS
- Faculty, administrators and some other employees at state universities can choose an optional retirement program (ORP) instead of TSERS.Handbook: Membership in TSERS
- Your hire date still matters for other things: retiree health (hired before or after Oct. 1, 2006, and no retiree medical if hired on or after Jan. 1, 2021), the benefit cap for high earners (Jan. 1, 2015), and the state income tax exemption (five years of service by Aug. 12, 1989).Handbook: Health Coverage in Retirement; Handbook: Benefit Limitations; Handbook: Income Tax
Automatic on hire for permanent full-time teachers and employees of state-supported boards of education or community colleges; permanent state employees working at least 30 hours a week for nine months a year; permanent employees of participating charter schools (same hours test); community college presidents hired after June 30, 2018. Eligible higher-education employees may choose an optional retirement program (ORP) instead.
Handbook: Membership in TSERSThe single formula is on the benefit formula page. The dates below matter most for retiree health and state income tax.
Dates that matter
| Date | What it changes |
|---|---|
| January 1, 1988 | 5+ years of membership service earned and maintained before this date: may choose TSERS disability retirement instead of DIPNC.Handbook: Disability Income Plan of North Carolina, TSERS Disability Benefit |
| August 12, 1989 | 5+ years of retirement service credit maintained as of this date: TSERS benefit not subject to N.C. income tax (N.C. residents).Handbook: Income Tax, North Carolina Income Tax |
| October 1, 2006 | First hired on/after: retiree health premium share depends on retirement service credit (20+ / 10-20 / under 10 years).Handbook: Health Coverage in Retirement |
| January 1, 2015 | First hired on/after: employer may decline to pay the contribution-based benefit cap cost (member's benefit reduced unless member pays); not eligible for QEBA payments above the 415(b) limit.Handbook: Benefit Limitations |
| January 1, 2021 | Hired on/after: not eligible for retiree medical benefits; UNC ORP service no longer counts toward TSERS eligibility.Handbook: Health Coverage in Retirement, NOTE; Handbook: Reciprocity Between Systems |
General (non-law-enforcement) members only. Law enforcement officer rules in G.S. 135-5(b21)(1) and the TSERS LEO Handbook are not modeled.
Questions
Does TSERS have tiers like other states?
Not for the benefit formula. Every teacher and general state employee retiring on or after July 1, 2019 uses the same 1.82% formula and the same age and service rules. Your hire date matters for retiree health, the benefit cap for high earners and the state income tax exemption.
I took a refund and came back. Which date counts?
For retiree health, your rehire date becomes your first-hired date. Your refunded service doesn't count unless you buy it back.
Can I choose another plan?
Faculty, administrators and some other employees at state universities can choose an optional retirement program (ORP) instead of TSERS. Most teachers can't.
Source: TSERS Handbook, Online handbook, pages modified Nov. 2024 - Oct. 28, 2026 (retrieved Nov. 11, 2026), pages Membership in TSERS, Disability Income Plan of North Carolina, Income Tax, Health Coverage in Retirement, Benefit Limitations, Reciprocity Between Systems. Also: N.C.G.S. 135-5(b21)(2). Last reviewed .