New Jersey · TPAF · Chapter 78

What will TPAF retirees pay for retiree health?

If you had fewer than 20 years of service on June 28, 2011 and retire with 25, you pay part of your health premium. The share depends on your pension and your coverage level, and it's at least 1.5% of your monthly pension.

No contribution (State-paid)

25+ years (or Disability Retirement) before June 28, 2011; or 20+ years by June 28, 2011 and 25 years at retirement.

Chapter 78 contribution

Reached 20 years after June 28, 2011 and retire with 25 years: pay a percentage of the premium (by annual retirement allowance) or a percentage of the allowance, depending on the plan; minimum 1.5% of the monthly retirement allowance.

Fact Sheet #11 pp. 3-4, School Board and County College Employees; Health Benefits SPD pp. 10-11, Retiree Contributions

Under 25 years, coverage isn't State-paid; what you pay depends on your employer. See Retiree health. If you're close to 25 years, one more year can change which box you're in.

Not settled in the NJDPB's publications Check with NJDPB

Teachers who had fewer than 20 years on June 28, 2011 pay part of their retiree health premium, based on pension size and coverage level, at least 1.5% of the monthly pension.

The percentage-of-premium chart with a 1.5% of allowance minimum, labeled as an estimate; you supply the full premium.

Health Benefits SPD pp. 10-12; Fact Sheet #11 pp. 3-4

Estimate your share

Estimate from the chart as we read it, with the 1.5% minimum. Check with NJDPB Fact Sheet #11 pp. 3-4, School Board and County College Employees; Health Benefits SPD pp. 10-11, Retiree Contributions; Health Benefits SPD p. 12, Health Benefits Contribution - Percentage of Premium Chart

Example

A $45,000 pension with member + spouse coverage falls in the 10% band, so you'd pay 10% of the premium. The minimum is 1.5% of $3,750.00, or $56.25 a month. You pay whichever is more.

Percentage-of-premium chart

Your share of the premium, by yearly retirement allowance and coverage level.

Percentage-of-premium chart (New Jersey TPAF)
Yearly pensionSingleMember + spouse/partner or parent + childFamily
Under $20,0004.5%3.5%3%
$20,000 to $24,9995.5%3.5%3%
$25,000 to $29,9997.5%4.5%4%
$30,000 to $34,99910%6%5%
$35,000 to $39,99911%7%6%
$40,000 to $44,99912%8%7%
$45,000 to $49,99914%10%9%
$50,000 to $54,99920%15%12%
$55,000 to $59,99923%17%14%
$60,000 to $64,99927%21%17%
$65,000 to $69,99929%23%19%
$70,000 to $74,99932%26%22%
$75,000 to $79,99933%27%23%
$80,000 to $84,99934%28%24%
$85,000 to $89,99934%30%26%
$90,000 to $94,99934%30%28%
$95,000 to $99,99935%30%29%
$100,000 to $109,99935%35%32%
$110,000 and up35%35%35%

Each row starts at the amount shown. Check with NJDPB Health Benefits SPD p. 12, Health Benefits Contribution - Percentage of Premium Chart

What the NJDPB says

Questions

What is Chapter 78?

P.L. 2011, c. 78 (effective June 28, 2011): raised contributions, set Tier 5, suspended COLAs and set retiree health contributions.

Who pays a Chapter 78 contribution?

School board and county college retirees who reached 20 years after June 28, 2011 and retire with 25 years: pay a percentage of the premium (by annual retirement allowance) or a percentage of the allowance, depending on the plan; minimum 1.5% of the monthly retirement allowance.

Who doesn't pay?

Retirees with State-paid coverage: 25+ years (or Disability Retirement) before June 28, 2011; or 20+ years by June 28, 2011 and 25 years at retirement.

What is the minimum?

1.5% of your monthly retirement allowance.

Estimate your pension first →

Source: TPAF Member Guidebook, July 2026 (SP-0733-0726), pp. 14-15. Also: NJDPB Fact Sheet #11 (Oct. 2026), pp. 1-4. Also: SHBP/SEHBP Summary Program Description (Oct. 2026), pp. 10-12. Statute: N.J.S.A. 18A:66-29, 18A:66-43, 43:3B-2. Last reviewed .