- FICA Alternative 457 (B)
- Katy ISD has adopted the FICA Alternative Plan for substitutes and temporary employees who are not members of the TRS retirement system.
- FICA Alternative Plan
Retired former employees that are rehired in Katy ISD may be subject to surcharges set by the Texas Retirement System. Any TRS-retiree seeking full or part-time employment with Katy ISD must validate they have not been employed by a TRS-covered employer for 12 consecutive, calendar months. TRS-retirees that desire to work as a substitute are NOT subject to the 12-month guideline, but are subject to all TRS guidelines and any incurred surcharges.
Surcharges apply to the employment of any retiree who:
- retired after September 1, 2005 and
- is working a TRS-eligible position (half-time or more)
- combining substitute work and half-time employment
- **Exceptions could be made for TEA defined hard-to-fill positions**
Surcharges do not apply to retirees working:
- as a substitute as defined by TRS
- less than half-time
- retired before September 1, 2005
Rehired retirees who signed an employment contract with KISD prior to July 1, 2016 are grandfathered.