Saving for Your Retirement

As a public school employee, you dedicate your career to the future of Florida’s students. You deserve a secure and comfortable future of your own.

To help plan for retirement, one of the employee benefits it pays to take advantage of is your 403(b) supplemental retirement plan. This valuable tool — designed for employees of the public school system — can help you meet your retirement goals. Here’s how:

It's tax-deferred:

You pay no current income tax on the money you contribute or on your investment.

It's portable:

If you change jobs, your savings go with you.

It can help close the gap:

You pay no current income tax on the money you contribute or on your investment.

Save More with Less Effort

Since income taxes are calculated after your 403(b) contribution, the amount that goes into your savings account is typically higher than the reduction in your take-home pay.

In the simple example below, a monthly contribution of $300 costs just $225 in take-home pay — because income taxes are lower. At $200 per month, take-home pay in this example goes down by just $150. Over a long career, those pre-tax savings can add up to substantial retirement income.

Tax-deferred savings can lead to higher retirement income

With $300 pre-tax contribution

With $200 pre-tax contribution

Total monthly pay $3000 $3000
Income tax paid $675 $700
Contribution to a 403(b) plan $300 $200
Take-home pay $2,025 $2,100
Reduction in take-home
pay from 403(b) contribution


Increase in saving over
25 years with a 3% return



Assumes 25% federal income and payroll taxes, annual compounded investment return of 3%, and month-end contributions. For illustration only.

Knowing How Much Is Enough

You will probably need about 70% to 90% of your pre-retirement income to maintain your standard of living when you stop working.

How much will you need to save in order to supplement Social Security and the Florida Retirement System?

A “gap analysis” calculates the amount you’ll need to save on a monthly basis to fill the gap between your retirement income and expenses. You can calculate your own gap analysis, or you can work with a financial advisor or investment plan provider who can calculate it for you.

Learn more about the investment plan providers in your district who can help you determine the amount you should be saving.