Part 1: the pension
A defined benefit, figured like Plan 2 but with a 1% multiplier: your 60-month average × 1% × years of service. You pay 4% of pay toward it. It gets a COLA of up to 3% a year.
Example: $42,000 × 1% × 30 years = $12,600 a year, $1,050.00 a month.
Hybrid Handbook p. 17, Your Core Benefit; Va. Code § 51.1-169(D)(1); Hybrid Handbook p. 15, Member Contributions (mandatory 4% to the defined benefit component); Va. Code § 51.1-169(C)(1); Hybrid Handbook p. 18, Formula ExamplePart 2: the savings account
A defined contribution account. You put in 1% and your employer 1%, by law. You can add up to 4% more, and your employer matches part of it. What it's worth at retirement depends on how much goes in and how the investments do, so this site doesn't project it.
Hybrid Handbook p. 22-23, Contributions and Defined Contribution Component Contributions table; Va. Code § 51.1-169(B)(2); Hybrid Plan Overview p. 1, Retirement Contributions; Hybrid Handbook p. 23Short answer: if your VRS membership date is on or after January 1, 2014, you're in the Hybrid plan: a pension of 1% × your 60-month average × years of service, plus a defined contribution account that you and your employer pay into, with an employer match on voluntary contributions. Handbook example: $1,050.00 a month after 30 years on $42,000. Compare the plans, see leaving teaching and early retirement, or load this example in the calculator.
The employer match
100% of the first 1% of voluntary contributions and 50% of the next 3%, up to a 2.5% match.
| You add (voluntary) | 0% | 0.5% | 1% | 1.5% | 2% | 2.5% | 3% | 3.5% | 4% |
|---|---|---|---|---|---|---|---|---|---|
| Employer adds | 0% | 0.5% | 1% | 1.25% | 1.5% | 1.75% | 2% | 2.25% | 2.5% |
| Total into your account (with the mandatory 1% + 1%) | 2% | 3% | 4% | 4.75% | 5.5% | 6.25% | 7% | 7.75% | 8.5% |
Unless the member opts out, voluntary contributions below 4% increase by 0.5% on a set three-year schedule (beginning January 1, 2017, and every three years thereafter) until they reach 4%. Hybrid Handbook p. 26, Voluntary contribution auto-escalation; Va. Code § 51.1-169(C)(3)
Mandatory contributions and employer match go to the Hybrid 401(a) Cash Match Plan; voluntary contributions go to the Hybrid 457 Deferred Compensation Plan (or an employer-sponsored 403(b) where a school division offers one). Hybrid Plan Overview p. 1, Retirement Contributions; Hybrid Handbook p. 23
Total possible member contributions 9% (4% DB + 1% DC mandatory + up to 4% voluntary); employer: actuarially determined DB rate + 1% mandatory DC + up to 2.5% match (up to 3.5% in DC). Hybrid Handbook p. 24, Hybrid Retirement Plan Contributions
When the employer money is yours
| Years of service | 1 | 2 | 3 | 4+ |
|---|---|---|---|---|
| Employer contributions you keep | 0% | 50% | 75% | 100% |
Members are always 100% vested in their own contributions and earnings. Employer 401(a) contributions and earnings vest 0% after one year, 50% after two, 75% after three and 100% after four or more years of service credit; purchased or granted service counts.
Taking the money out
Distributions may begin after a bona fide break in service of one full calendar month; not required until age 73. Taking a DC distribution does not require a refund of the DB component. Non-vested employer contributions are forfeited. Hybrid Handbook p. 55, Taking a Distribution
Taxes on withdrawals are on Taxes. The pension part has the same retirement ages as Plan 2: see Retiring early.
From the handbook
- Hybrid defined contribution part: you put in a mandatory 1% and your employer 1%. You can add up to 4% more and get a match of up to 2.5% (100% of the first 1%, half of the next 3%).Hybrid Handbook p. 22-23, Contributions
- Unless you opt out, your voluntary contribution goes up 0.5% every three years until it reaches 4%.Hybrid Handbook p. 26, Voluntary contribution auto-escalation
Questions
What is the VRS Hybrid Retirement Plan?
A pension (the defined benefit part, 1% of your average for each year of service) plus a savings account (the defined contribution part) that you and your employer pay into. It covers members who joined VRS on or after January 1, 2014.
How much does my employer match in the Hybrid plan?
100% of the first 1% of voluntary contributions and 50% of the next 3%, up to a 2.5% match.
When do I own my employer's contributions?
Members are always 100% vested in their own contributions and earnings. Employer 401(a) contributions and earnings vest 0% after one year, 50% after two, 75% after three and 100% after four or more years of service credit; purchased or granted service counts.
Source: VRS Plan 1, Plan 2 and Hybrid Retirement Plan Handbooks for Members, 07-2026 editions (VRSHB-1 07-2026, VRSHB-2 07-2026, HybridHB 07-2026), Hybrid Handbook pp. 15, 17, 18, 22-23, 23, 24, 26, 27-28, 55, 64. Also: Hybrid Plan Overview pp. 1, 2; Code of Virginia §§ 51.1-166, 51.1-169. Last reviewed .