Defined Benefit Plan
Defined Contribution Plan
City Pension Contribution
Amount determined by actuary (not individually owned)
11.7%
Employee Pension Contribution
9.7% (pre-tax)
7.7% (pre-tax)
City Disability Contribution
0.3%
Employee Disability Contribution
0.3% (pre-tax)
Investment Decisions
Made by Pension Board of Trustees
Made by Individual Employee
Vesting Schedule
100% vested at end of 5 years
25% vested at end of 2 years 50% vested at end of 3 years 75% vested at end of 4 years 100% vested at end of 5 years
Portability
Can transfer all vested monies at the Vesting Schedule rate (including earnings) to another qualified plan pre-tax or take as taxable income.
Benefit Receipt
Benefit amount varies for each individual and is determined by retirement age & service requirements, e.g., 50% benefit at age 55 with 20 years service or 80% benefit with 32 years service (any age)
Employee controls amount and timing of funds distribution after employment ends (in accordance with Internal Revenue Code provisions)
Survivor Benefits
Eligible survivor(s) will receive 75% benefit in accordance with plan provisions
Survivor(s) inherit all remaining funds.
