CARMEL CLAY RETIREMENT PROGRAM Clause Samples

CARMEL CLAY RETIREMENT PROGRAM. A. Buy Out of Retirement Compensation 1. This section A applies only to teachers employed or on an approved leave in the 2002-2003 school year, and only to teachers who will be at least fifty-four (54) years old and will attain their earliest retirement date with unreduced benefits under INPRS on or before June 30, 2018. Teachers must submit a letter of resignation to the Superintendent or his/her designee, not later than sixty (60) calendar days prior to the date of retirement. The Superintendent may waive this requirement. 2. The present value of each eligible teacher’s retirement compensation as of June 30, 2003 was calculated using assumptions set forth below based on (i) actual sick leave as of June 30, 2003 plus projected sick leave to earliest retirement date, and in no event more than 130 days; (ii) projected years of service with Carmel Clay Schools at earliest retirement date; (iii) earliest retirement will be after meeting all of the following: (a) completion of 15 or more years of INPRS service; (b) employment in a certificated position with Carmel Clay Schools for the complete 10 consecutive years preceding retirement; and (c) eligible for INPRS retirement, which is the earlier of at least age 65 plus at least 10 years of service, at least age 60 plus at least 15 years of service, or at least age 55 with age plus years of service equal to at least 85. This notwithstanding, a teacher whose buyout percentage for accumulated sick leave would have increased under the prior plan by June 30, 2004, did receive additional buyout funds to account for the higher percentage of accumulated sick leave, if the teacher was still employed by the Board as a teacher through the 2003-2004 school year. 3. The present value amount was deposited into a 401(a) plan account for the given teacher. Calculations to determine the present value amount assumed (a) that the sick leave days were bought out at the given teacher’s per diem rate at retirement reflective of 3% annual growth in salary; (b) that the account earned an annual rate of return of 7%; (c) that the value did not include the equivalent of the employer’s FICA contribution but did include the equivalent of the employee’s FICA contribution as each would have applied if the value were not paid into a tax deferred plan account; and (d) that the value did not include the equivalent of the employer’s and employee’s INPRS contributions as each would have applied if the value were not paid into a tax deferred plan...