Section 16.0 Retirement . Clause Samples

Section 16.0 Retirement .. A. The Employer agrees to maintain the Branch County Pension Plan for employees hired before January 1, 2011 and to provide benefits as provided in the Plan Document: (1) The Plan shall provide a normal retirement benefit after a participant attains the age 62 and five (5) years of participation in the Plan or attains a number of years of service with the County plus employee’s age to equal 85, whichever occurs first. (2) The normal retirement benefit shall be two percent (2%) of average Annual Compensation multiplied by years of participation in the Plan, as provided in the Plan Document. B. Employees hired on or after January 1, 2011, will participate in a retirement plan described as a One and One Plan outlined below. (1) The normal retirement benefit shall be a one percent multiplier for a Defined Benefit Plan and one percent Employer contribution to a Defined Contribution Plan. (a) Participation in the Defined Benefit Plan is mandatory for all employees hired on or after January 1, 2011. The Defined Benefit Plan is one percent (1%) of Average Annual Compensation multiplied by years of participation in the plan, as provided in the Plan Document. The employee contribution shall be 3% for the first $4,800 earned annually and 5% thereafter or 4.7% on the total amount. (b) The Defined Contribution Plan shall be a maximum of one percent employer contribution to the employee’s choice of funds as provided by employer sponsored defined contribution programs as follows: Employee Contribution Employer Contribution 3% + 1% The total employer contribution shall not exceed 1%. The employer will make a 1% contribution to the employee’s plan in December of each year once the employee has contributed 3% to a qualifying plan for a twelve-month consecutive period. The employer will only make a 1% contribution in December of each year once the twelve-month criteria is met, there is no contribution based on pro-rata share. The employee must have been employed for at least one year and not on probation to receive the employer contribution.