Educate Yourself

Earnable Compensation

What is Earnable Compensation?

Earnable compensation is defined as the full regular compensation payable to a member for full normal working time. This includes amounts paid into tax-sheltered annuities. TRS members contribute the equivalent of 5.53% of their earnable compensation to TRS by payroll deduction.

Earnable Compensation Subject to TRS Contributions:

• The full regular gross compensation payable to a member for his or her full normal working time. This gross compensation includes regular supplements included in each member's written contract.
• Regular compensation paid to a member while on sick, personal, or annual leave.
• Deferred summer compensation earned in a TRS covered position.
• Deferred summer compensation due to a deceased member's estate.
• The full regular gross compensation payable to a member for all working time during the summer months in a TRS-covered position.  
•  Compensation received for employment under 'extended day' or 'extended year' written contracts.

Earnable Compensation NOT Subject to TRS Contributions:

• Any and all compensation payable to a member for work performed over and above full normal working time. In most instances, normal working time is established by the State Department of Education, the Board of Regents, or the Technical College System of Georgia.
• Compensation payable for employment that is less than one-half time. Nineteen or less hours of work per week is normally considered less than one-half time employment.
• Compensation paid as terminal annual or personal leave, and compensation paid for unused or forfeited sick leave.
• Compensation payable to an employee, who is a TRS retiree, who also elected to suspend retirement benefits rather than terminate retirement benefits while re-employed. The Retirement Services Division of TRS should be contacted on an individual basis to verify the status of all retirees who are employed in any capacity.
• Compensation payable to an employee who is a TRS retiree employed under the provisions of SB 327 in a qualified school.
• Compensation payable to members who are at least 65 years of age, who have at least 40 years of service, and who have not signed a waiver for continuation of member contributions (Waiver of 65/40 Mandatory Requirements Form) .
• Compensation for overtime, travel allowances or salary for a secondary position (such as night school).
• Compensation payable to members who have at least 40 years of service and who have signed an Election to Discontinue Monthly Contributions Form .