§ 5-10.2-4-4 — Retirement benefit computation

Indiana § 5-10.2-4-4

• Jurisdiction: Indiana
• Title 5: STATE AND LOCAL ADMINISTRATION
• Art. 10.2: PUBLIC RETIREMENT AND DISABILITY
• Ch. 4: Retirement and Disability Benefits

Text

(a) The computation of benefits under this
section is subject to IC 5-10.2-2-1.5.
(b) For retirement benefits payable on and after July 1, 1975, for a
member retired on and after January 1, 1956, the pension (p) is
computed as follows:
STEP ONE: Multiply one and one-tenths percent (1.1%) times the
average of the annual compensation (aac) and obtain a product.
STEP TWO: To obtain the pension, multiply the STEP ONE
product by the total creditable service (scr) completed by the
member on the member's retirement date.
Expressed mathematically:
p = (.011) times (aac) times (scr)
(c) If a member purchases an annuity under this title on any date, the
amount purchasable on that date is the part of the amount credited to
the member in the annuity savings account that the member designates
for the purchase of the annuity. The amount purchasable is based on
actuarial tables adopted by the board under IC 5-10.2-2-10 at an
interest rate determined by the board under IC 5-10.5-4-2.6.
As added by Acts 1977, P.L.53, SEC.2. Amended by Acts 1980,
P.L.28, SEC.6; P.L.35-1985, SEC.14; P.L.45-1988, SEC.1;
P.L.55-1989, SEC.18; P.L.195-1999, SEC.16; P.L.115-2008, SEC.12;
P.L.177-2014, SEC.3; P.L.40-2017, SEC.10.