Senate approves bill to include extracurricular pay in NJ teacher pensions

June 30, 2025
Senate approves bill to include extracurricular pay in NJ teacher pensions
TRENTON, NJ - APRIL 5, 2018: New Jersey state capitol building in Trenton

TRENTON, N.J. — The New Jersey Senate on Monday passed a bill sponsored by Sen. Vince Polistina to expand pension benefits for teachers by including compensation earned from extracurricular activities in their retirement calculations.

The legislation, S-3713, aims to amend the definition of “compensation” under the Teachers’ Pension and Annuity Fund (TPAF). If signed into law, stipends paid to teachers for work beyond regular school hours — such as coaching, club advising, and other non-classroom duties — would be factored into pension determinations.

“Teachers dedicate countless hours outside of the classroom helping their students grow both academically and personally,” said Sen. Polistina (R-2), referring to the time educators spend on activities that currently do not count toward pension benefits.


Key Points

  • Senate bill S-3713 redefines “compensation” under the TPAF to include extracurricular stipends
  • The legislation aims to ensure fairer pension calculations for New Jersey teachers
  • The bill passed with bipartisan support in the state Senate

Current pension laws exclude extra-duty pay, such as stipends for coaching or club supervision, from retirement calculations. The bill seeks to ensure that such payments are treated as part of a teacher’s overall compensation.

Senator Polistina emphasized the bipartisan nature of the measure, stating the passage reflects statewide recognition of teachers’ roles beyond classroom instruction.

A companion bill in the state Assembly is expected to follow, though no vote has been scheduled.

The New Jersey Senate moves to ensure that extracurricular work counts toward educators’ retirement.