§ 5-10.3-12-25 — Member contributions belong to member; vesting schedule for employer contributions; forfeiture of amounts not vested

Indiana § 5-10.3-12-25

• Jurisdiction: Indiana
• Title 5: STATE AND LOCAL ADMINISTRATION
• Art. 10.3: THE PUBLIC EMPLOYEES' RETIREMENT
• Ch. 12: Public Employees' Defined Contribution Plan

Text

(a) Member contributions and net earnings
on the member contributions in the member contribution subaccount
belong to the member at all times and do not belong to any employer.
(b) A member is vested in the employer contribution subaccount in
accordance with the following schedule:
For purposes of vesting in the employer contribution subaccount, only
a member's full years of participation in the plan may be counted.
(c) The amount that a member may withdraw from the member's
account is limited to the vested portion of the account.
(d) A member who attains normal retirement age is fully vested in
all amounts in the member's account.
(e) If a member separates from service with the member's employer
before the member is fully vested in the employer contribution
subaccount, the amount in the employer contribution subaccount that
is not vested is forfeited as of the date the member separates from
service.
(f) Amounts forfeited under subsection (e) must be used to reduce
the unfunded accrued liability of the fund as determined under IC 5-10.2-2-11(a)(3) and IC 5-10.2-2-11(a)(4).
(g) A member may not earn creditable service (as defined in IC 5-10.2-3-1(a)) under the plan.

Legislative History

As added by P.L.22-2011, SEC.2. Amended by P.L.6-2012, SEC.32; P.L.241-2015, SEC.35.