Common use of Second-Tier Retirement Plan Clause in Contracts

Second-Tier Retirement Plan. Unit 6 members may participate in the Second-Tier retirement plan as prescribed by Government Code Section 21070.5. A. Second Tier members first employed by the State and subject to CalPERS membership prior to January 1, 2013, are subject to the Pre-PEPRA Second Tier retirement formula. B. Employees who are brought into CalPERS membership for the first time on or after January 1, 2013, and who are not eligible for reciprocity with another California public employer as provided in Government Code Section 7522.02(c) shall be subject to the “PEPRA Retirement Formula.” As such, the PEPRA changes to retirement formulas and pensionable compensation caps apply only to new CalPERS members subject to PEPRA as defined under PEPRA. C. The table below lists the Second Tier age/benefit factors for the Pre-PEPRA and PEPRA retirement formulas. Employees first hired and subject to CalPERS membership prior to January 1, 2013 Employees eligible for CalPERS Membership for the first time on and after January 1, 2013 67 1. 250 1.250 D. As stated in Government Code Section 20683.2, effective July 1, 2013, Second Tier members, including ARP members, shall contribute one and one-half percent (1.5%) of monthly pensionable compensation for retirement, and will increase by 1.5% points annually. The final annual increase in the contribution rate shall be adjusted as appropriate to reach fifty percent (50%) of normal cost.

Second-Tier Retirement Plan. Unit 6 9 members may participate in the Second-Tier retirement plan as prescribed by Government Code Section 21070.5. A. Second Tier members first employed by the State and subject to CalPERS membership prior to January 1, 2013, 2013 are subject to the Pre-PEPRA Second Tier retirement formula. B. Employees who are brought into CalPERS membership for the first time on or after January 1, 2013, 2013 and who are not eligible for reciprocity with another California public employer as provided in Government Code Section 7522.02(c) shall be subject to the “PEPRA Retirement Formula.” As such, the PEPRA changes to retirement formulas and pensionable compensation caps apply only to new CalPERS members subject to PEPRA as defined under PEPRA. C. The table below lists the Second Tier age/benefit factors for the Pre-PEPRA and PEPRA XXXXX retirement formulas. Pre-PEPRA Formula PEPRA Formula (1.25% at age 65) (1.25% at age 67) Employees first hired and subject to CalPERS membership prior to January 1, 2013 Employees eligible for CalPERS Membership for Membership prior to the first time on and after January 1, 2013 January 1, 2013 67 1. 250 1.250 D. Employee Retirement Contribution As stated in Government Code Section 20683.2, effective July 1, 2013, Second Tier members, including ARP members, shall contribute one and one-half percent (1.5%) of monthly pensionable compensation for retirement, and will increase by 1.5% points annually. The final annual increase in the contribution rate shall be adjusted as appropriate to reach fifty percent (50%) of normal cost.

Second-Tier Retirement Plan. Unit 6 9 members may participate in the Second-Tier retirement plan as prescribed by Government Code Section 21070.5. A. Second Tier members first employed by the State and subject to CalPERS membership prior to January 1, 2013, 2013 are subject to the Pre-PEPRA Second Tier retirement formula. B. Employees who are brought into CalPERS membership for the first time on or after January 1, 2013, 2013 and who are not eligible for reciprocity with another California public employer as provided in Government Code Section 7522.02(c) shall be subject to the “PEPRA Retirement Formula.” As such, the PEPRA changes to retirement formulas and pensionable compensation caps apply only to new CalPERS members subject to PEPRA as defined under PEPRA. C. The table below lists the Second Tier age/benefit factors for the Pre-PEPRA and PEPRA retirement formulas. Pre-PEPRA Formula PEPRA Formula (1.25% at age 65) (1.25% at age 67) Employees first hired and subject to CalPERS membership prior to January 1, 2013 Employees eligible for CalPERS Membership for Membership prior to the first time on and after January 1, 2013 January 1, 2013 67 1. 250 1.250 D. Employee Retirement Contribution As stated in Government Code Section 20683.2, effective July 1, 2013, Second Tier members, including ARP members, shall contribute one and one-half percent (1.5%) of monthly pensionable compensation for retirement, and will increase by 1.5% points annually. The final annual increase in the contribution rate shall be adjusted as appropriate to reach fifty percent (50%) of normal cost.

Second-Tier Retirement Plan. Unit 6 9 members may participate in the Second-Tier retirement plan as prescribed by Government Code Section 21070.5. A. Second Tier members first employed by the State and subject to CalPERS membership prior to January 1, 2013, 2013 are subject to the Pre-PEPRA Second Tier retirement formula. B. Employees who are brought into CalPERS membership for the first time on or after January 1, 2013, 2013 and who are not eligible for reciprocity with another California public employer as provided in Government Code Section 7522.02(c) shall be subject to the “PEPRA Retirement Formula.” As such, the PEPRA changes to retirement formulas and pensionable compensation caps apply only to new CalPERS members subject to PEPRA as defined under PEPRA. C. The table below lists the Second Tier age/benefit factors for the Pre-PEPRA and PEPRA XXXXX retirement formulas. Age at Employees first hired Retirement and subject to CalPERS membership Membership prior to January 1, 2013 Employees eligible for CalPERS Membership for the first time on and after January 1, 20132013 50 0.500 N/A 51 0.550 N/A 52 0.600 0.650 53 0.650 0.690 54 0.700 0.730 55 0.750 0.770 56 0.800 0.810 57 0.850 0.850 58 0.900 0.890 59 0.950 0.930 60 1.000 0.970 61 1.050 1.010 62 1.100 1.050 63 1.150 1.090 64 1. 200 1.130 65 1.250 1.170 66 1.250 1.210 67 1. 250 1.250 D. Employee Retirement Contribution As stated in Government Code Section 20683.2, effective July 1, 2013, Second Tier members, including ARP members, shall contribute one and one-half percent (1.5%) of monthly pensionable compensation for retirement, and will increase by 1.5% points annually. The final annual increase in the contribution rate shall be adjusted as appropriate to reach fifty percent (50%) of normal cost.