This bill amends N.J.S.18A:66-2 to expand the definition of "compensation" for the Teachers Pension and Annuity Fund (TPAF) to include additional remuneration for extracurricular activities performed by teachers beyond their regular school day or year. The bill specifies that this additional compensation covers a variety of activities, such as preparation for public performances, contests, athletic competitions, demonstrations, displays, and club activities. Importantly, it clarifies that this additional pay will not include individual salary adjustments made primarily in anticipation of retirement or remuneration for temporary duties.

The intent of this legislation is to ensure that teachers receive fair compensation for their contributions outside of standard classroom responsibilities, which could lead to increased retirement benefits. By recognizing the significance of extracurricular involvement in the educational experience, the bill aims to provide a more comprehensive understanding of what constitutes a teacher's compensation for retirement purposes. The act is set to take effect on the first day of the second month following its enactment.