FRS Pension Plan
A defined benefit plan. The official benefit is calculated under the plan formula and is generally paid as monthly retirement income. Pension Plan members may become eligible for DROP.
Official Pension Plan overview ↗Florida Retirement System planning
First identify the Pension Plan or Investment Plan. Then determine whether DROP applies.
The Florida Retirement System has two retirement plans: the FRS Pension Plan and the FRS Investment Plan. DROP is not a third plan; it is a Pension Plan-only program. Family Retirement Services helps Florida public employees keep those paths distinct while coordinating the rest of the retirement picture.
Tax-aware review
FRS planning focusPension Plan or Investment Plan first. DROP only when eligible.
Start with potential tax consequences, then coordinate the rest of the financial plan.
01Pension Plan02Investment Plan03DROP eligibility
The essential distinction
Pension Plan and Investment Plan are the two FRS retirement plans.
DROP is a program within the Pension Plan. It is not a separate FRS retirement plan, and Investment Plan members cannot enter DROP.
For an eligible Pension Plan member, the monthly pension benefit is calculated when DROP begins. Those deferred monthly benefits then accumulate in a DROP account, with plan-specified interest and applicable adjustments, while the member continues eligible employment.
Three different planning paths
Identify the plan before discussing the retirement strategy.
An FRS member’s decisions depend first on whether the member participates in the Pension Plan or Investment Plan. DROP questions apply only along the Pension Plan path.
FRS Investment Plan
A defined contribution plan similar to a 401(k). The retirement benefit depends on contributions, investment performance, expenses, and the account’s distribution strategy. DROP participation is not available.
Official Investment Plan overview ↗Deferred Retirement Option Program (DROP)
An eligible Pension Plan member effectively retires for benefit-calculation purposes while continuing eligible employment. Monthly pension benefits accumulate in the DROP account for the permitted participation period.
Official DROP overview ↗If you have the Pension Plan
Separate the lifetime pension decision from the DROP accumulation decision.
The Pension Plan establishes the monthly benefit. DROP changes the timing of when eligible members receive that benefit by crediting deferred payments to a separate accumulation while employment continues.
Current MyFRS guidance describes a general maximum DROP period of 96 months—eight years—with up to 120 months in certain circumstances for qualifying instructional personnel.
- Confirm normal retirement eligibility and the official pension estimate.
- Review the Pension Plan payment option and survivor implications.
- Confirm the available DROP entry date and permitted participation period.
- Understand when pension service credit stops and DROP accumulation begins.
- Coordinate the eventual DROP distribution or rollover with taxes and investments.
- Review termination and reemployment rules directly with the Division of Retirement.
If you have the Investment Plan
Your planning path is based on the account—not DROP.
Investment Plan members do not enter DROP. Their retirement planning centers on the account balance, asset allocation, market risk, distribution choices, taxes, and how the account coordinates with Social Security and other benefits.
A Pension Plan member who accumulated DROP benefits may be able to roll that distribution into the Investment Plan. That is a distribution option for prior DROP money, not Investment Plan eligibility for DROP.
Keep the language precise:
FRS is the Florida Retirement System.
Pension Plan and Investment Plan are the two FRS retirement plans.
DROP is an elective program available only to eligible Pension Plan members.
The complete retirement household
Your Pension Plan or Investment Plan status is the starting point—not the entire financial plan.
Once the correct FRS path is established, the official benefit can be coordinated with the rest of the financial picture.
Family Retirement Services helps organize the questions and works alongside the appropriate independent tax and legal professionals before implementation.
- Map expected income before and after FRS employment ends.
- Coordinate 403(b), 457, IRA, and other investment accounts.
- Review Social Security timing and survivor income.
- Identify potential Medicare and tax interactions.
- Review insurance, beneficiaries, liquidity, and estate priorities.
- Document the next steps and the professional responsible for each one.
Common FRS questions
Use the correct plan name before answering the question.
What are the two Florida Retirement System retirement plans?
The two FRS retirement plans are the FRS Pension Plan, a defined benefit plan, and the FRS Investment Plan, a defined contribution plan. DROP is not a third retirement plan.
Is DROP the same thing as the FRS Pension Plan?
No. DROP is an elective program available only to eligible Pension Plan members. A member's monthly Pension Plan benefit is calculated when DROP begins and is credited to a DROP accumulation while the member continues eligible FRS employment.
Can an FRS Investment Plan member participate in DROP?
No. MyFRS states that DROP participation is not available under the Investment Plan. A former Pension Plan DROP participant may have the option to roll a DROP distribution into the FRS Investment Plan, but that does not make an Investment Plan member eligible to enter DROP.
How long can an eligible Pension Plan member participate in DROP?
Current MyFRS guidance states that eligible Pension Plan members may generally participate for up to 96 months, or eight years. Up to 120 months may be available in certain circumstances for qualifying instructional personnel. Personal eligibility and dates must be confirmed with the Division of Retirement.
What does an independent financial-planning review add?
It can connect the official Pension Plan, Investment Plan, or DROP information with household cash flow, taxes, investment accounts, Social Security, Medicare, insurance, beneficiaries, and survivor needs. It does not replace official FRS guidance, tax advice, or legal advice.
Content review
Official sources behind the plan distinctions.
This page uses MyFRS and Florida Division of Retirement materials for descriptions of the Pension Plan, Investment Plan, and DROP.
Subject-matter review: Terry Martine, Managing Partner →
Last reviewed: August 16, 2026
Official plan rules and personal eligibility may change. Confirm calculations, deadlines, forms, and elections directly with MyFRS or the Division of Retirement before acting.
Wellington, Palm Beach County, and statewide
Florida public-employee retirement planning with the plan distinctions intact.
Meet with Terry Martine through Family Retirement Services at the Lake Worth office serving Wellington and Palm Beach County, or by private remote meeting.
Local: (561) 867-8332
Toll-free: (833) 842-7778
Important: Martine Financial Co d/b/a Family Retirement Services is independent from and is not affiliated with, endorsed by, or acting on behalf of the Florida Retirement System, MyFRS, the Florida Division of Retirement, the State Board of Administration, or any government employer. Confirm plan rules, eligibility, calculations, and forms directly with the appropriate official agency.
Financial planning does not replace individualized tax or legal advice. Tax and legal matters should be reviewed with qualified independent professionals.
FRS decision guides
Go deeper on the questions that can change the retirement outcome.
These focused guides move beyond definitions and organize the cash-flow, tax, healthcare, investment, and survivor decisions behind the forms.
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What should you do with an FRS DROP lump sum?
Assign liquidity, income, investment, tax, and family-protection jobs before moving the money.
Pension Plan vs. Investment Plan
Compare employment horizon, retirement income, investment responsibility, survivor needs, and other assets.
Retiring before Medicare
Price the healthcare bridge and coordinate it with pension income, investments, taxes, and reserves.
FRS survivor questions
Model what continues after either spouse dies before selecting benefits or beneficiaries.
Complimentary Florida educator resource
Work through the decisions with the retirement tax playbook.
The educator guide and companion worksheet organize the Pension Plan and Investment Plan distinction, separate DROP questions for eligible Pension Plan members, the first 90 days of retirement, tax-aware income topics, and practical planning worksheets.
Download the Educator Playbook
Occupation-focused FRS planning
Start with the official retirement record—then solve the problem the household actually faces.
Teachers, firefighters, officers, deputies, and troopers may share some retirement questions, but their employers, accounts, coverage, calendars, and pension systems can differ. The focused pages below begin with those differences and move quickly to income, lump sums, taxes, healthcare, and survivor needs.
Florida educatorsFire rescueLaw enforcement
Teachers & Instructional Personnel
Coordinate FRS, DROP, 403(b), 457, school-year timing, taxes, and retiree healthcare.
Firefighters & Fire-Rescue Professionals
Verify FRS versus a Chapter 175 or other local pension, then build a paycheck from the pension, DROP or plan assets, 457 savings, and other resources.
Officers, Deputies & Troopers
Verify FRS versus a Chapter 185 or other local pension, then coordinate agency benefits, DROP or account balances, 457 assets, taxes, healthcare, and survivor income.
A clearer next step