TDA Comparison Chart

Teachers' Retirement System of the City of New York

TRS’ Tax-Deferred Annuity (TDA) Program, a Section 403(b) plan, has always enabled TRS members to save for retirement on a tax-deferred basis using pre-tax contributions.

For 2026, the TDA Program is expanding to include a Roth option. This will allow members to save for retirement using after-tax contributions.

TRS’ in-service members can take advantage of both savings opportunities—and manage each account separately at www.trsnyc.org!

One plan. Two options. Let’s see how they compare with each other.

Footnotes:

1. Beginning in 2026, for individuals aged 50+ who earned more than $145,000 in 2025, any age-based “catch-up” contributions must be made to a Roth account, not a pre-tax (traditional TDA) account. The $145,000 figure is subject to change for 2026 and future years. TRS will publish additional information in our FAQs about this new rule.

2. These contributions are limited to a lifetime total of $15,000 and are only permitted for qualifying members whose average TDA contribution is $5,000 or less per year.

3. For a “qualified” withdrawal, the IRS requires that your Roth account must be open for at least five tax years, and one of the following conditions must apply: you are at least 59½; the withdrawal is in conjunction with your disability retirement; or the distribution is a death benefit payment to your beneficiary.

4. “IRA” stands for Individual Retirement Arrangement. A “successor plan” may refer to an employer-sponsored retirement plan, such as a 401(k), 403(b), or 457(b). The receiving successor plan must accept rollovers.

This comparison chart should not be solely relied upon, as it is based on currently available information that is subject to change. In all cases, the specific provisions of the governing laws, rules, and regulations prevail.