About SDRS

 

The South Dakota Retirement System (SDRS) provides a foundation for the financial future of over 77,000 members and their families. Its mission is to give members "... the opportunity to achieve financial security at retirement, death or disability by providing an outstanding, appropriate and equitable level of benefits."

The system's income replacement goal is to provide lifetime income replacement from SDRS resources of at least 55 percent of final average compensation for members who participate for a full career.

SDRS recommends total income replacement goal for members of at least 85 percent of final average compensation, including income from SDRS, Social Security and personal retirement savings of at least one time annual compensation at retirement.

The success of SDRS can mean the difference between retirees who are financially self-sufficient and those who must struggle to support themselves.

The heart of the system — the means of providing quality benefits — is the SDRS Trust Fund. This pool of money is created by the contributions of both members and employers and supported by the investment earnings on the fund.

These members include:

  • Teachers, administrative and classified employees of South Dakota public school districts
  • Legislative, executive and judicial branch employees of the state of South Dakota
  • Faculty, administrative and classified employees of the South Dakota Board of Regents
  • South Dakota municipal employees
  • South Dakota county employees


In all, over 470 distinct units of government and their employees contribute to the SDRS Trust Fund. This diversity of employees and employers makes the legal mandate that the trust fund be used for "the exclusive benefit of members and their beneficiaries" a fundamental tenet of the system.

 

SDRS Highlights for Fiscal Year 2013

Total number of members: 77,103
Number of members who received a benefit: 23,327
Net position restricted for pension benefits: $9.1 billion
Amount of benefits paid to members: $423 million

Investment return-Gross of fees:

Investment return-Net of fees:

19.53 percent

19.02 percent

Funded Ratio-Market Value: 

Funded Ratio-Actuarial Value:

103 percent

100 percent