Company Profile
Texas Municipal Retirement System
Company Overview
The Texas Municipal Retirement System (TMRS) administers a retirement program for 938 Texas cities. TMRS administered $40 billion in assets. TMRS was established in 1948 and is administered in accordance with the Texas Municipal Retirement System Act (Texas Government Code, Title 8, Subtitle G). TMRS is a qualified retirement plan under Section 401(a) of the Internal Revenue Code. The System offers a choice of benefits so that each participating city can design a plan to suit its needs and budget.
TMRS administers a program for 938 participating cities, providing retirement, disability, and survivor benefits to active and retired Members. Distinguishing features of the System are:
-TMRS is a statewide retirement system that cities may elect to join
- TMRS is a “hybrid”cash-balance defined benefit retirement plan rather than a traditional, formula- based defined benefit plan
-TMRS does not receive any state funds and does not administer a health care plan
-Benefits are based on a Member’s account balance at retirement. The retirement benefit is funded through mandatory Member contributions, city contributions, and investment income
-For a maximum benefit TMRS plan, investment income provides as much as 80% of a 20-year Member’s benefit