OPPAGA text logo with graphic of FL historic capitol
OPPAGA text logo with graphic of FL historic capitol

Department of Management Services

Retirement Benefits Administration

What is the purpose of the division?

The Division of Retirement's mission is to provide high quality, innovative and cost-effective retirement services to members and employers of the Florida Retirement System (FRS) and to oversee local government retirement systems.

How is the division organized?

The Department of Management Services' Division of Retirement is organized as follows.
  • Bureau of Enrollment and Contributions enrolls members and employers and receives employer contributions.  In Fiscal Year 2018-19, it processed 99.90% of monthly payrolls from FRS employers within five days, so that individuals' updated retirement information was quickly available. The bureau also administers the State University System Optional Retirement Program, the Community College Optional Retirement Plan, and the Senior Management Service Optional Annuity Program.
  • Bureau of Retirement Calculations computes retirement benefits, processes requests for estimated benefits, and issues annual statements. In Fiscal Year 2018-19, active members requesting a benefit calculation received an answer in an average of 9.66 business days.
  • Bureau of Benefit Payments distributes retirement benefits to retirees and survivors, coordinates Deferred Retirement Option Program payouts, and determines eligibility for disability benefits. In Fiscal Year 2018-19, it processed 100% of retirees' payrolls timely and added 99% of service retirees to the next payroll after receipt of all documents.
  • Bureau of Local Retirement Systems monitors Florida's local public retirement systems and oversees local police and firefighter pensions.
  • Research and Education Section develops FRS publications, analyzes legislation, promulgates rules, responds to public records requests, coordinates actuarial services, and publishes the FRS Pension CAFR and GASB 67/68 Liability Report.
  • Contact Center provides customer service to FRS non-retired members, retirees, beneficiaries, employers, and other stakeholders.
  • Administrative Services and Operations Section coordinates the division's budget, provides general administrative services, and processes incoming and outgoing mail.

What are the division's main duties?

The division's primary responsibility is to administer the Florida Retirement System Pension Plan. It also administers several smaller retirement programs, as well as the Retiree Health Insurance Subsidy Program and the Deferred Retirement Option Program (DROP).
The division also oversees and monitors the actuarial soundness of local government retirement systems that are not part of the Florida Retirement System, as well as pension plans for municipal police and firefighters under Chs185 and 175, Florida Statutes. In addition, the division is responsible for approving the distribution of insurance premium tax revenues to qualified municipal police officer and firefighter pension plans.

What is the Florida Retirement System?

The Legislature established the Florida Retirement System in 1970. The system provides retirement, disability, and death benefits to retirees or their designated beneficiaries and offers a wide range of information services to non-retired members. The system is funded through employer contributions, employee contributions, and investment earnings and serves government employees that fall into five employee membership classes.
  • Regular Class consists of FRS members who do not qualify for membership in any other class.
  • Special Risk Class consists of members who meet the criteria to qualify for membership in this class and are employed as law enforcement officers, firefighters, correctional officers, paramedics, emergency medical technicians, correctional probation officers, or youth custody officers. It also includes specified professional health care positions in the Department of Corrections and Department of Children and Family Services.
  • Special Risk Administrative Support Class consists of Special Risk Class members who are moved, reassigned to, or reemployed in an administrative support position with a law enforcement, firefighting, correctional, or emergency medical care agency under the FRS.
  • Senior Management Service Class consists of members in senior management level positions within state and local government agencies.
  • Elected Officers' Class consists of elected state and county officers, including the Governor, Lieutenant Governor, cabinet officers, legislators, Supreme Court justices, district court of appeal judges, circuit judges, county court judges, state attorneys, and public defenders. Elected county officials may also belong to this class, as may municipal or special district elected officers designated for membership by their respective governing bodies.

How many people does the FRS serve?

As of June 30, 2019, the Florida Retirement System had 647,942 active members who were covered by the provisions of the system and 424,895 annuitants, which represented a .72% increase in membership and a 2.19% increase in annuitants. As of June 30, 2019, the Florida Retirement System also had 36,670 members participating in the Deferred Retirement Option Program (DROP).  Regular Class membership comprised 85.6%, Special Risk Class membership comprised 11.5%, and Senior Management Services Class comprised 1.2%. All others classes combined comprised of 1.7% of FRS members.

What employers participate in the FRS?

Participating employers include all state and county government agencies, school boards, state universities and community colleges, and many cities and special districts. As of June 30, 2019, school district employees comprised the largest percentage of FRS members (48.68%), followed by county (23.12%) and state employees (15.44%).

What are the features of the FRS's benefit options?

Florida Retirement System members have several plan options.
  • Pension Plan. The Division of Retirement administers this retirement option. The Pension Plan is a defined benefit plan funded by employee contributions (3% of the employee's salary), employer contributions, and investment earnings. The division transfers the contributions to the State Board of Administration, which is responsible for investing FRS assets. The employer guarantees a certain level of benefit payment and bears the risk that investment returns will not support that level of benefits. A participant's retirement benefit is based on a formula taking into account factors such as salary level, years of service, compensation, and FRS membership class.
  • Investment Plan. The State Board of Administration administers this plan, also known as the Public Employee Optional Retirement Program. Participants are guaranteed a certain level of contributions from their employers and must contribute 3% of their salaries to the program. Participants select how to invest these funds from a list of authorized investment accounts. Participants bear the risk of poor investment returns, but after meeting certain requirements can take their retirement accounts with them if they no longer work for an employer participating in the FRS. A participants' retirement benefit is the amount of money accumulated in the investment account at termination.
  • Hybrid Plan. This plan allows members to participate in the Investment Plan for all future contributions and keep current accrued Pension Plan benefits frozen in that plan.

What is the average annual benefit for an FRS retiree?

In Fiscal Year 2018-19, the Florida Retirement System paid $9.8 billion in annual benefits to annuitants, with the average annual benefit equaling $23,060.

How are these activities funded?

Fiscal Year: 2020-21
Fund Salary Rate/ Position General Revenue Trust Funds
SALARY RATE
POSITIONS
SALARIES AND BENEFITS
FROM GENERAL REVENUE FUND
FROM OPERATING TRUST FUND
FROM OPTIONAL RETIREMENT PROGRAM TRUST FUND
FROM POLICE AND FIREFIGHTER'S PREMIUM TAX TRUST FUND
FROM RETIREE HEALTH INSURANCE SUBSIDY TRUST FUND
OTHER PERSONAL SERVICES
FROM OPERATING TRUST FUND
FROM OPTIONAL RETIREMENT PROGRAM TRUST FUND
EXPENSES
FROM OPERATING TRUST FUND
FROM OPTIONAL RETIREMENT PROGRAM TRUST FUND
FROM POLICE AND FIREFIGHTER'S PREMIUM TAX TRUST FUND
FROM RETIREE HEALTH INSURANCE SUBSIDY TRUST FUND
OPERATING CAPITAL OUTLAY
FROM OPERATING TRUST FUND
SPECIAL CATEGORIES
TRANSFER TO DIVISION OF ADMINISTRATIVE HEARINGS
FROM OPERATING TRUST FUND
SPECIAL CATEGORIES
CONTRACTED SERVICES
FROM GENERAL REVENUE FUND
FROM OPERATING TRUST FUND
FROM OPTIONAL RETIREMENT PROGRAM TRUST FUND
FROM POLICE AND FIREFIGHTER'S PREMIUM TAX TRUST FUND
FROM RETIREE HEALTH INSURANCE SUBSIDY TRUST FUND
SPECIAL CATEGORIES
OVERTIME
FROM OPERATING TRUST FUND
SPECIAL CATEGORIES
RISK MANAGEMENT INSURANCE
FROM OPERATING TRUST FUND
SPECIAL CATEGORIES
CONTRACTED LEGAL SERVICES
FROM OPERATING TRUST FUND
SPECIAL CATEGORIES
LEASE OR LEASE-PURCHASE OF EQUIPMENT
FROM OPERATING TRUST FUND
FROM POLICE AND FIREFIGHTER'S PREMIUM TAX TRUST FUND
SPECIAL CATEGORIES
TRANSFER TO DEPARTMENT OF MANAGEMENT SERVICES - HUMAN RESOURCES SERVICES PURCHASED PER STATEWIDE CONTRACT
FROM GENERAL REVENUE FUND
FROM OPERATING TRUST FUND
FROM OPTIONAL RETIREMENT PROGRAM TRUST FUND
FROM POLICE AND FIREFIGHTER'S PREMIUM TAX TRUST FUND
FROM RETIREE HEALTH INSURANCE SUBSIDY TRUST FUND
DATA PROCESSING SERVICES
DATA PROCESSING ASSESSMENT - DEPARTMENT OF MANAGEMENT SERVICES
FROM OPERATING TRUST FUND
PENSIONS AND BENEFITS
DISABILITY BENEFITS TO JUSTICES AND JUDGES
FROM GENERAL REVENUE FUND
PENSIONS AND BENEFITS
FLORIDA NATIONAL GUARD
FROM GENERAL REVENUE FUND
PENSIONS AND BENEFITS
STATE OFFICERS AND EMPLOYEES (NON-CONTRIBUTORY)
FROM GENERAL REVENUE FUND
TOTAL
18,601,520
24,707,743

Where can I find related OPPAGA reports?

A complete list of related OPPAGA reports is available on our website.

Where can I get more information?

What are the applicable statutes?

Chapters 112 (Public Officers and Employees; Retirement), 121 (Florida Retirement System), 122 (State and County Officers and Employees Retirement System), 175 (Firefighter Pensions), 185 (Municipal Police Pensions), 238 (Teachers' Retirement System), 250 (Military Affairs) and 650 (Social Security for Public Employees), Florida Statutes.

Whom do I contact for help?

Division of Retirement, 850-907-6500

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