July 2017

Proposition 98 Overview

K-14 District Pension Contribution Rates and Costs

(Dollars in Millions)

  2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21
Rates              
CalSTRS 8.25% 8.88% 10.73% 12.58% 14.43% 16.28% 18.13% 19.10%
CalPERS 11.44 11.77 11.85 13.89 15.53 18.10 20.80 23.80
Costs              
CalSTRS                
School districts $2,090 $2,280 $2,970 $3,687 $4,377 $5,111 $5,891 $6,423
Community college districts 175 191 249 309 367 428 494 538
     Totals $2,265 $2,471 $3,219 $3,995 $4,743 $5,539 $6,384 $6,961
CalPERS                
School districts $993 $1,035 $1,132 $1,421 $1,710 $2,048 $2,427 $2,869
Community college districts 179 192 206 259 312 374 443 524
     Totals $1,172 $1,227 $1,338 $1,680 $2,022 $2,422 $2,871 $3,393
Total District Pension Costs              
School districts $3,083 $3,315 $4,103 $5,108 $6,087 $7,159 $8,318 $9,292
Community college districts 354 383 455 568 679 802 937 1,062
     Totals $3,437 $3,698 $4,557 $5,676 $6,765 $7,961 $9,255 $10,354
                 
CalSTRS = California State Teachers’ Retirement System. CalPERS = California Public Employees’ Retirement System.

The CalSTRS rates over this period are set in statute. The CalPERS rates are set by the board and reflect actual rates through 2017-18 and projected rates thereafter. Contribution costs are the rates multiplied by the boards’ estimates of statewide payroll.