Common use of Retirement Issues Clause in Contracts

Retirement Issues. ‌ ▇. ▇▇▇▇▇▇▇ Retirement Formula Determination of each employee’s pension formula will be administered as required by ▇▇▇▇▇▇▇. 1. Safety Tier 1 - Retirement benefits for Classic members entering membership for the first time in the safety classification, prior to October 5, 2012, shall be calculated using the retirement formula of 3% @ 50 with Single-Highest Year Final Compensation. 2. Safety Tier 2 - Retirement benefits for Classic members entering membership for the first time in the safety classification, on or after October 5, 2012, shall be calculated using the retirement formula of 2% @ 50, with Average of Three-Year Final Compensation. 3. Safety Tier 3 - Effective January 1, 2013, New members shall have retirement benefits calculated using the retirement formula of 2.7% at age 57, with Average of Three-Year Final Compensation. B. CalPERS Contribution Calculation of the employee contribution toward normal cost will be administered as required by CalPERS. 1. Safety employees subject to Tier 1 Tier 2 will pay 9% of reportable compensation to help fund their pension. 2. Safety employees subject to Tier 3 will pay 50% of the normal cost of their pension. The County agrees to continue the provisions contained in Section 414(h) (2) of the Internal Revenue Code concerning the tax treatment of employee retirement contributions to CalPERS.

Retirement Issues. ‌ ▇. ▇▇▇▇▇▇▇ Retirement Formula Determination of each employee’s pension formula will be administered as required by ▇▇▇▇▇▇▇. 1. Safety Tier 1 - Retirement benefits for Classic members entering membership for the first time in the safety classification, prior to October 5, 2012, shall be calculated using the retirement formula of 3% @ 50 with Single-Highest Year Final Compensation. 2. Safety Tier 2 - Retirement benefits for Classic members entering membership for the first time in the safety classification, on or after October 5, 2012, shall be calculated using the retirement formula of 2% @ 50, with Average of Three-Year Final Compensation. 3. Safety Tier 3 - Effective January 1, 2013, New members shall have retirement benefits calculated using the retirement formula of 2.7% at age 57, with Average of Three-Year Final Compensation. B. CalPERS Contribution Calculation of the employee contribution toward normal cost will be administered as required by CalPERS▇▇▇▇▇▇▇. 1. Safety employees subject to Tier 1 and Tier 2 will pay 9% of reportable compensation to help fund their pension. 2. Safety employees subject to Tier 3 will pay 50% of the normal cost of their pension. The County agrees to continue the provisions contained in Section 414(h) (2) of the Internal Revenue Code concerning the tax treatment of employee retirement contributions to CalPERS.