Posting this here to see if I can get some insight.

I am in Florida and I am enrolled in the Florida Retirement System through my employer. I am high risk so from my understanding that means I can work five less years than say someone who is not high risk. I have been enrolled for five years and not yet vested. I am also in the defined benefit side (pension), not the defined contribution (investment). In addition to FRS I also have two separate 457 deferred compensation plans that I contribute to. Let’s say $6000 in FRS and $5500 in each deferred compensation account. I also have a small 401K from my PRN job with approx. $9000.

I may have an opportunity to leave my current position and go somewhere else. I do not hate my job but hate where the future is going and do not think it will be the same in the next 5 years. I do not see things getting better. I will admit it is a government/municipality position. I am looking at a position in the private sector that I believe I will become happier in. The position I applied for and am contemplating pursuing is a once in a lifetime type deal almost, so it’s not as if I can pass it up this go round and apply again later. Positions do not become available often and there is high competition for positions due to a limited market. I can take my 457 deferred compensation accounts with me wherever I go from my understanding (need to confirm/research this). The company I am pursuing is a national company and from everything I am aware of has a strong 401K/retirement system in place (again I will confirm/research more into it).

My question is….am I dumb for considering to leave the FRS system behind.
The way I see it is as follows...I am not currently excited to go to work like I used to. I believe this position will make me be that way again. As I mentioned, this is a once in a lifetime. If things don’t work out, the place I am considering leaving has been notorious for rehiring people that have wanted to come back. The chances of getting back into the FRS if things don’t work out is easier than trying to get into the other position. I figure I can either leave the 457 accounts alone and just keep contributing, or roll them into the new companies 401K if that is possible. Depending if I can keep my PRN position with the new full time position I will either roll it over or leave it.


TLDR: Am I dumb for considering leaving a state pension for a private sector position with its own 401K?

I have 21 years in FRS. Started in 1996 through 2010 with a county and 2010 to current day with a city. In 2006 I rolled it over to the invest plan in 2006 so I could withdraw it if I got another job not in FRS. BUT Having said that since you only have 5 years it's not enough to worry about if you are young and have a long career ahead of you.

Not sure if that helps but feel free to ask any other questions you might have.

I got out of Law Enforcement in 2009, after 15 years in. I left my FRS in the Pension plan. If I would have withdrawn, I would have been hit with a metric shit ton of penalties. Its just sitting there, earning interest for me until I am old enough to withdraw.

Since you are not yet vested, the FRS is going to be a throw away, unless you come back to an FRS Job. Worth a call, but I believe I have heard of people coming back to the state and working a year or two to finish "vesting " and get a small pension, that the time never goes away as far as the state is concerned.

If this is correct, you could pursue your dream job, work your career, then take some piddily FRS job for a year or two when you are ready to retire and collect on the time you have put in.

Worth a phone call.

Either way, If you are young, go get the job that makes you happy. You will have plenty of time to set up your retirement.

I've got three years of drop left to squeeze every nickel I can out of taxpayers and the FRS, then I'll be a 60 year old guy in search of a job, retiring to half my income with two kids in college and a princess to support.

Welcome to Walmart Sir!!

One thing to note is that once you leave the FRS system by taking money out, they don't let you back in.

You could log into your FRS account and see what's been accrued, and what you've paid into it since the law changed several years back, but it's probably minimal in the grand scheme of your salary.

It may be possible to convert your contributions into the new employer's 401k, but that may effectively remove you from FRS.

One of my current staff took a new job after 8 years, so he was vested, but I talked to him about not moving the small amount of money out of his FRS account.  He came back after 3 years and was able to pick up at the same spot where he left off.  If he took the money and put into his 401k, FRS told him he wouldn't have been allowed back into the system.

Just something to consider, as defined benefit programs are pretty rare, especially one that's been as good as FRS has been for the last 15-20 years.

I definitely do not plan on withdrawing anything from my FRS account if this goes through.