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HB 2 Is Complicated. Your Payroll Doesn’t Have to Be. 

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HB 2 Readiness Check 

Spend four minutes with our ten-question quiz to see whether your raise plan is on track for board approval. 

Start the Quiz

HB 2 in Brief

Funding StreamWho QualfiesAllotment Amount*
Teacher Retention Allotment (TRA) Classroom teachers (Staff Classification 087, FTE ≥ 0.50) Districts ≤ 5,000 students  
$4,000 (3-4 yrs)  
$8,000  (5+ yrs) 
Districts ≥ 5,000 students  
$2,500 (3-4 yrs)  
$5,000 (5+ yrs)  
Support Staff Retention Allotment (SSRA) All non-administrative staff not covered by TRA Roughly $45 per ADA  
*Final payments come from TEA’s FSP template. 

Key points: 

  • Raises may be issued as base-pay increases or flat-rate stipends. 
  • The TRS employer rate for 2025-26 is 8.25%. Be sure to budget fringe. 
  • TEA funds your district from the Fall PEIMS file, so Staff Class, Years of Experience, and FTE fields must be accurate. 

Why HB 2 Feels Heavy 

District teams must: 

  • Locate every eligible employee across multiple formulas 
  • Rework contracts after board deadlines 
  • Keep raises equitable from campus to campus 
  • Post a complete board packet within seven days (SB 413) 
  • File error-free reports to TEA with limited prep time 

Spreadsheets can handle it – until one wrong filter derails payroll. 

What an ERP System Should Deliver 

Use this checklist when you’re evaluating solutions: 

Eligibility in one report – no exports, no VLOOKUPs  

Batch raise updates for hundreds of employees in minutes

Clear HB 2 coding to separate allotment dollars from base pay 

Campus equity view – flag sites more then ±1 percentage point off the district average   

Three-year fund-balance forecast with low, medium, and high appraisal growth 

Single board packet ready to publish within the seven-day window  

State-file validations that catch PEIMS errors before submission 

Less manual work. Fewer spreadsheets. More confidence. 

Need HB 2 to Run Smoothly? 

 

Ellen Agnello

Ellen is a graduate assistant at the University of Connecticut. She is a former high school English language arts teacher and holds a Master’s Degree in literacy education. She is working on a dissertation toward a Ph.D. in Educational Curriculum and Instruction.