Both SERS and TIAA provide fixed dollar annuities. SERS does not have a variable annuity plan. Both before and after retirement, the value of each CREF unit varies upwards or downwards depending upon the performance of the funds. This allocation may be changed at any time. The University's contribution is allocated at the same percentage as the participant's contributions.
Legislative action is required to increase SERS annuity payments.
TIAA annuities pay a guaranteed amount of income plus dividends as declared year by year by the TIAA Board of Trustees. TIAA income does not tend to fluctuate dramatically. The guaranteed income will never go down. The dividend portion can go up, go down, or stay the same. This formula applies to retirements which take place at age 60 or older.