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February 17, 2021
Question

If I buyback years of service from my Teacher Retirement System in Illinois is the money I put back into the retirement system tax deductible?

  • February 17, 2021
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February 18, 2021

No, there is no deduction for purchasing the buyback service credit in the year that you pay for them. Instead, when you retire, you will not have to pay income tax on the portion of your retirement pay that represents the amount you paid in since that portion has already been taxed.

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