Statutory Minimum Federal Fund/Private Grant and Public Education Employer Contributions
This page includes examples for ISDs and Charters Schools looking at how the statutory minimum contribution can be affected by the amount of eligible compensation paid from federal funds/private grants.
This information is effective 9/1/2025. Please expand each type of compensation to see additional information.
ISD Calculations
Eligible TRS Gross: $3,000
State Minimum: $2,830
Eligible Compensation Paid from Federal Funds/Private Grants: $0
Because there is not any compensation paid from Federal Funds/Private Grants, the Statutory Minimum contribution is calculated by taking the amount of Eligible TRS Gross ($3,000) and subtracting the State Minimum Compensation ($2,830) and multiplying the sum ($170) by the state contribution rate (8.25%).
Public Education Employer Contribution (2%) is calculated on the State Minimum Compensation.
| EC Contribution | SM Contribution |
|---|---|
| State Minimum Compensation $2,830 Public Education Employer Contribution (2%) = $56.60 | $3,000-$2,830 = $170 (salary paid above state minimum) $170 * 8.25% = $14.03 SM contribution |
Eligible TRS Gross: $4,000
State Minimum: $3,396
Eligible Compensation Paid from Federal Funds/Private Grants: $2,000
Since the eligible compensation paid from Federal Funds/Private Grants is less than the State Minimum compensation, the Statutory Minimum contribution is calculated the same as in Example 1. The Federal Funds/Private Grant contribution and Federal TRS-Care contribution are calculated on the eligible compensation paid from Federal Funds/Private Grants.
Public Education Employer Contribution (2.0%) is calculated on the State Minimum Compensation.
| FG/FI Contribution | EC Contribution | SM Contribution |
|---|---|---|
Eligible Compensation Paid from Federal Funds/Private Grants: $2,000 | State Minimum Compensation: $3396 Public Education Employer Contribution (2%) = 67.92 | $4000-$3396= $604 (salary paid above state minimum) $604 * 8.25% = $49.83 SM contribution |
Eligible TRS Gross: $4,000
State Minimum Compensation: $3,396
Eligible Compensation Paid from Federal Funds/Private Grants: $3,500
Since the amount paid from Federal Funds/Private Grants is greater than the State Minimum Compensation, the calculation for the Statutory Minimum Contribution will need to consider the amount paid from Federal Funds/Private Grants. For this calculation, you would take the amount of Eligible TRS Gross ($4,000) and subtract the Eligible Compensation Paid from Federal Funds/Private Grants ($3,500) and multiplying the sum ($500) by the state contribution rate (8.25%).
Public Education Employer Contribution (2%) is calculated on the State Minimum Compensation.
FG/FI Contribution | EC Contribution | SM Contribution |
|---|---|---|
Eligible Compensation Paid from Federal Funds/Private Grants: $3,500 FG Contribution (8.25%) = $288.75 FI Contribution (1.25%) = $43.75 | State Minimum Compensation: $3,396 | $4000 – $3500= $500 (salary paid above FG/PG compensation)
$500 * 8.25% = $41.25 |
Eligible TRS Gross Compensation: $4,000
State Minimum Compensation: $3,396
Eligible Compensation Paid from Federal Funds/Private Grants: $4,000
If the employee’s compensation is paid 100% through Federal Funds/Private Grants then, no Statutory Minimum Contribution is owed. However, the Public Education Employer Contribution (2%) is still calculated on the State Minimum Compensation.
FG/FI Contribution | EC Contribution | SM Contribution |
|---|---|---|
Eligible Compensation Paid from Federal Funds/Private Grants: $4,000
| State Minimum Compensation: $3,396
Public Education Employer Contribution (2%) = $67.92 | No SM contribution owed,100% of 8.25% matching employer contributions is covered by FG contribution. |
Charter School Calculations
Eligible TRS Gross Compensation: $3,000
State Minimum Compensation: $2,830
Eligible Compensation Paid from Federal Funds/Private Grants: $0
Because there is not any compensation paid from Federal Funds/Private Grants, the Statutory Minimum contribution is calculated by taking the amount of Eligible TRS Gross Compensation ($3,000) and subtracting the State Minimum Compensation ($2,830) and multiplying the sum ($170) by the state contribution rate (8.25%).
Public Education Employer Contribution (2%) is calculated on the Eligible TRS Gross Compensation.
| EC Contribution | SM Contribution |
|---|---|
Eligible TRS Gross: $3,000 | $3,000.00– $2,830.00 = $170.00 (salary paid above state minimum.) $170 * 8.25% = $14.03 SM contribution |
Eligible TRS Gross Compensation: $4,000
State Minimum Compensation: $3,396
Eligible Compensation Paid from Federal Funds/Private Grants: $2,000
Since the eligible compensation paid from Federal Funds/Private Grants is less than the State Minimum compensation, the Statutory Minimum contribution is calculated the same as in Example 1. The Federal Funds/Private Grants contribution and Federal TRS-Care contribution are calculated on the eligible compensation paid from Federal Funds/Private Grants.
Public Education Employer Contribution (2%) is calculated on the Eligible TRS Gross Compensation.
FG/FI Contribution | EC Contribution | SM Contribution |
|---|---|---|
Eligible Compensation Paid from Federal Funds/Private Grants: $2,000 | Eligible TRS Gross: $4000.00 Public Education Employer Contribution (2%) = $80 | $4000-$3396= $604 (salary paid above state minimum) $604 * 8.25% = $49.83 SM contribution |
Eligible TRS Gross Compensation: $4,000
State Minimum Compensation: $3,396
Eligible Compensation Paid from Federal Funds/Private Grants: $3,500
Since the amount paid from Federal Funds/Private Grants is greater than the State Minimum Compensation, the calculation for the Statutory Minimum Contribution will need to consider the amount paid from Federal Funds/Private Grants. For this calculation, you would take the amount of Eligible TRS Gross ($4,000) and subtracting the Eligible Compensation Paid from Federal Funds/Private Grants ($3,500) and multiplying the sum ($500) by the state contribution rate (8.25%).
Public Education Employer Contribution (2%) is calculated on the Eligible TRS Gross Compensation.
FG/FI Contribution | EC Contribution | SM Contribution |
|---|---|---|
Eligible Compensation Paid from Federal Funds/Private Grants: $3,500 FI Contribution (1.25%) = $43.75 | Eligible TRS Gross: $4,000 | $4000 – $3500= $500 (salary paid above FG/PG compensation) $500 * 8.25% = $41.25 |
Eligible TRS Gross Compensation: $4,000
State Minimum Compensation: $3,396
Eligible Compensation Paid from Federal Funds/Private Grants: $4,000
If the employee’s compensation is paid 100% through Federal Funds/Private Grants then, no Statutory Minimum Contribution owed. However, the Public Education Employer Contribution (2.0%) is calculated on the Eligible TRS Gross Compensation.
FG/FI Contribution | EC Contribution | SM Contribution |
|---|---|---|
Eligible Compensation Paid from Federal Funds/Private Grants: $4,000 FG Contribution (8.25%) = $330 FI Contribution (1.25%) = $50 | Eligible TRS Gross: $4,000 Public Education Employer Contribution (2%) = $80 | No SM contribution owed,100% of 8.25% matching employer contributions is covered by FG contribution. |