Georgia Southern & USG Retirement (TRS / ORP): Frequently Asked Questions

Does Savannah Wealth Group work with Georgia Southern employees?

Yes. With an office in Statesboro minutes from campus (and one in Savannah near the Armstrong campus), we work with USG faculty and staff on exactly these decisions: what to do with ORP balances at retirement, TRS pension elections, supplemental 403(b)/457(b) accounts, and the tax planning around all three. Savannah Wealth Group is not affiliated with Georgia Southern or the University System of Georgia.

What's the difference between TRS and the ORP?

TRS is a traditional pension (defined benefit): you contribute 6%, and after vesting your retirement benefit follows a formula based on years of service and your highest 24 consecutive months of pay — the risk and the investing are the system's problem, and full vesting takes 10 years.

The ORP is a 401(a) defined-contribution plan: you contribute 6%, USG contributes 9.24% (2026 rate) to your own account with your chosen provider — Corebridge, Fidelity, or TIAA — you're vested immediately, and the balance at retirement is whatever contributions plus markets produced. Exempt employees choose within their first 60 days, and the choice is generally irrevocable.

I'm in the ORP. What happens to it when I retire?

Unlike a pension, the ORP doesn't automatically become income — you decide. Options generally include leaving the balance invested, taking installments or lump sums, rolling to an IRA, or (particularly at TIAA) converting some or all to a lifetime annuity.

Each path has different tax, flexibility, and survivor consequences, and TIAA's traditional annuity balances can carry their own payout rules worth understanding before you move anything. This single decision is where most ORP retirees deserve an hour of analysis.

Should I roll my ORP to an IRA at retirement?

Sometimes. Consolidation, wider investment choice, flexible withdrawals, and easier beneficiary and Roth-conversion management argue for rolling; institutional pricing, plan-specific annuity options, and penalty-free access from a plan after separating in or after the year you turn 55 argue for staying (IRA money generally waits until 59½).¹

The answer depends on your age at retirement, your income plan, and what your specific provider offers — it's a comparison, not a reflex.

I'm in TRS. How does the pension work, and what should I watch?

TRS of Georgia pays a lifetime benefit of roughly 2% per year of creditable service times your highest consecutive-24-month average salary, with survivor options elected at retirement. Ten-year vesting, and service purchases or unused sick leave can affect the calculation.

The retirement-date and beneficiary-option elections are the levers — run your TRS estimate early, and coordinate the election with your spouse's income picture rather than deciding it in the TRS office lobby.

Will my TRS pension reduce my Social Security?

For most USG employees, no — USG positions generally pay into Social Security alongside TRS or ORP. And the old federal reductions that worried public-sector retirees for decades — the Windfall Elimination Provision and Government Pension Offset — were repealed in 2025, which restored full benefits for many affected retirees.

If you have prior non-covered government service, it's still worth a review of your actual Social Security record before you build a plan on it.

What are the 403(b) and 457(b), and why do people say the limits 'double up'?

USG offers both supplemental plans, and they carry separate IRS contribution limits — a high-saving professor in the final stretch can defer into both at once, sheltering roughly twice what a single 401(k) saver can.

The 457(b) has a bonus feature: after you separate from service, withdrawals are not subject to the 10% early-withdrawal penalty regardless of age — which makes it a natural bridge account for anyone retiring before 59½.

Can I retire before 65 as a USG employee?

Financially, many can — the real gatekeepers are health coverage and income sequencing. USG retiree healthcare eligibility has service requirements worth confirming with HR early, and the bridge to Medicare at 65 (retiree coverage, a spouse's plan, COBRA, or the ACA marketplace) should be priced with real quotes.

On the income side, the 457(b)'s penalty-free access and the ORP's plan-level rule-of-55 access are the tools that make early retirement work mechanically.

Is Georgia tax-friendly for university retirees?

Generally yes. Georgia doesn't tax Social Security, and residents 62 and older can exclude substantial retirement income from state tax — up to $35,000 per person at 62–64 and up to $65,000 per person at 65+ — covering TRS pensions, ORP and 403(b)/457(b) withdrawals, interest, dividends, and capital gains.

The years between your last paycheck and required minimum distributions are often the cheapest years of your life to do Roth conversions. That window closes at RMD age.

USG mentions CAPTRUST for advice. Why would I talk to you instead?

CAPTRUST's phone-based guidance on plan investments is a legitimate, no-cost resource — use it. Where we add value is the full picture CAPTRUST isn't positioned to manage: coordinating ORP/TRS with a spouse's accounts, Social Security timing, the healthcare bridge, Georgia tax planning, Roth conversion sequencing, and estate coordination — as an ongoing relationship with someone local you can sit across from in Statesboro or Savannah.

What does a first meeting with Savannah Wealth Group look like?

A no-obligation conversation at our Statesboro office near campus, our Savannah office, or by video. Bring your ORP or TRS statement, any 403(b)/457(b) balances, and your questions. You'll leave with a clearer picture of your options — what happens next is up to you. Call (912) 999-1805 or email rob@savannahwealthgroup.com.

¹ If you are considering rolling over money from an employer-sponsored plan, you often have the following options: leave the money in the current employer-sponsored plan, move it into a new employer- sponsored plan, roll it over to an IRA, or cash out the account value. Leaving money in a plan may provide special benefits including access to lower-cost investment options; educational services; potential for penalty-free withdrawals; protection from creditors and legal judgments; and the ability to postpone required minimum distributions. If your plan account holds appreciated employer stock, there may be negative tax implications of transferring the stock to an IRA. Whether to roll over your plan account should be discussed with your financial advisor and your tax professional.