Last year, 26,000 of the state's retired teachers returned to the classroom – about 14 percent of the more than 180,000.

Area retired teachers say they've returned to work because they miss the kids. But many also say they need to boost their retirement income.

This week, more than a dozen former teachers were administering tests for English language learners at Grant High School. They stressed how much they still enjoyed teaching.

But the financial benefits are clear, too. The pay the retirees earn for administering the state-mandated tests enables them to paint their houses, visit grandchildren living in other states, provide care for elderly parents or squirrel away extra savings.

The emphasis, of late, has been on the squirreling as the retirees try to bridge an emerging financial gap.

Retired teachers receive little to no Social Security, and their pensions have not kept pace with inflation. Those who have invested in stocks are suffering losses common to the market these days.

"The cost of health care keeps going up and up and up," said Judy Hagwood, who retired two years ago after more than 32 years in the Rio Linda Union School District. "And gas. That too! And the stock market keeps going down and down and down."

Like Hagwood, fellow retired teacher Merrilee Heffernan invested in the stock market to add a cushion to what could have been a pension-only retirement.

"We are all really concerned," said Heffernan, who retired in 2004 after 35 years as a sixth-grade teacher and who helps support her elderly parents. "Most of us had IRAs and investments. Now we're really thinking (of) pensions as our retirements. Teachers aren't getting large retirements."

State teachers' pensions are based on years of service, age at retirement and ending salary.

The California State Teachers' Retirement System also provides its pensioners with cost of living increases – about 2 percent each year. But the increases also are based on the salary at which a teacher retired.

The financial picture can be especially bleak for teachers who retired more than 10 years ago.

"They're really struggling," Hagwood said. "Ten years from now – thinking about that 2 percent COLA – am I going to be in a mobile home park or out on the street?"

Hagwood said she retired early, at 56, and now thinks it was a mistake.

Pat Boyd, who worked 38 years as a kindergarten teacher in Michigan, San Bernardino and the Rio Linda district, retired in 1991.

She said she can survive on her pension because she has lowered her discretionary spending. She doesn't travel or buy a lot of new clothes.

Boyd also worked as a substitute teacher until last year and supplemented her income this year with pay for administering the English language learner tests.

But she said she often thinks of retired teachers now in their 80s and 90s.

"Their salaries are so low," said Boyd, 76. "They probably retired (with a pension of) $1,800 a month, and you know what cost of living is like."

Reading specialist Patricia Ellis retired in June after 30 years in the Rio Linda district.

Over the past five years, she has seen many more retired teachers showing up as substitute teachers, she said.

"Inflation is simply outpacing our retirement," Ellis said.

CalSTRS negotiated pension hikes and other perks for its retirees in 1998, but the increases only benefit those who retired in 1999 or after.

One local teacher said she retired at a top salary of $45,000 in 1997 at age 63 after 30 years in the classroom.

She takes home $26,000 in yearly pension. If she'd retired just two years later, in 1999, her pension would have been $33,750.

And then there's the Social Security rub, retired teachers say.

California educators generally are not eligible for Social Security. That's because they draw their pensions from an agency that receives state contributions. It's considered double-dipping.

There is a caveat.

Retired teachers who have worked outside the classroom long enough to qualify for Social Security benefits – about 10 years – receive a percentage of the benefit

Shiela Laubengayer, who retired after 35 years as a Rio Linda district reading specialist, is eligible for Social Security, but it's halved because of her teacher pension.

On Monday, the Sacramento County Board of Supervisors will proclaim Nov. 2-8 California Retired Teachers Week.

Retiree Louise Maher, 74, said she finds the timing prescient.

"The recognition began 79 years ago to help draw attention to retired teachers suffering during the Great Depression," said Maher, "and here we go again."

Call The Bee's Melissa Nix, (916) 321-1090.