Calculating Contributions


The Teachers' Pensions Act (TPA) stipulates the amount of TRAF contributions. Currently, the salary rate up to the YMPE is deducted at 8.8% and any salary rate above the YMPE is deducted at 10.4%. For 2024, the YMPE is $68,500.

TRAF contributions are calculated each month based on the number of pensionable days paid and the full-time annual pensionable salary. For members who do not accrue pensionable days in July or August, contributions are not deducted. For other employees (superintendents, colleges, universities, etc.), deductions can be based on either a daily rate, or deducted based on the number of pay periods in the year.

This example of the daily rate deduction uses a pensionable salary of $75,000 for February 2024.

$75,000 - $68,500 (2024 YMPE) = $6,500 x 10.4% = $676.00.

$68,500 x 8.8% = $6,028.00.

$676.00 + $6,028.00 = $6,704.00.

$6,704.00 / 196 (days in the working year) = $34.20 (daily TRAF deduction rate).

$34.20 x 20 full-time days paid = $684.00 (TRAF deduction for February 2024).

For a member working part time, the calculation would be the same to arrive at the full-time deductions required. Another calculation should be done to show the monthly amount to be deducted.

$6,704.00 / 196 (days in the working year) x 10.0¹ pensionable days paid = $342.00.


¹10.0 pensionable days = 20 days x .50.