As of June 21, 2021, TRS will change the formulas used to determine a member's maximum loan availability under the QPP or TDA Program. The change is due to IRS requirements, to prevent potential taxability of loan disbursements. As a result of this change, some members may see a decrease in their available loan amounts, which are displayed in the secure section of our website and on quarterly account statements.
What's changing is that—in all cases except a loan at retirement or annuitization—new loan amounts will be restricted to prevent members' combined QPP and TDA loan balances from exceeding 50% of their combined QPP and TDA account balances. Other conditions that further limit loan amounts remain in place. As of June 21, our QPP Loans and TDA Loans brochures will reflect the updated formulas for maximum loan amounts.