The SC approved changes to the contribution rates of the Supplemental Plan effective January 1, 2017. Although there are currently no members in the Supplemental Plan, contribution rates must be adjusted periodically to reflect our current expectations about the future.
Supplemental Plan Contribution rates effective January 1, 2017
In addition, effective January 1, 2017 the “rebound costs” in the Primary Plan for the 2.33% accrual rate supplemental benefit will increase to 0.3% from 0.2% and 0.25% respectively for NRA 60 and NRA 65. The rebound costs in the Primary Plan only apply to members of the Primary Plan who are participating in the Supplemental Plan with a 2.33% accrual rate. Rebound costs are meant to ensure that the Primary Plan is not negatively impacted by participation in the Supplemental Plan.
More about Plan Change Decisions
Both the introduction of the AVC Income Option and the changes to the Supplemental Plan contribution rates were made through the SC’s annual process for Plan changes. Click here for more information about 2016 Plan change decisions.