§ 26-205

Maryland § 26-205

• Jurisdiction: Maryland
• Article gsp: State Personnel and Pensions
• Title: 26

Text

(a) Except as provided in subsection (b) of this section, regular interest is payable on member contributions until retirement or withdrawal of accumulated contributions at the rate of:

(1) 4% a year, compounded annually, for a member who has transferred from the Employees’ Retirement System on or before December 31, 2004; or

(2) 5% a year, compounded annually, for each other member.

(b) Except as provided in subsection (c) of this section, no further interest shall be paid on member contributions after membership ends if the former member is not eligible to receive a vested allowance under Title 29, Subtitle 3 of this article.

(c) (1) In this subsection, “active member” means a member who is not separated from employment with the State or a participating employer of one of the several systems.

(2) This subsection applies only to an individual who:

(i) is a former member of the Law Enforcement Officers’ Pension System;

(ii) is not eligible to receive a vested allowance from the Law Enforcement Officers’ Pension System under Title 29, Subtitle 3 of this article;

(iii) has not withdrawn the individual’s member contributions from the Law Enforcement Officers’ Pension System; and

(iv) is an active member of one of the several systems.

(3) An individual described in paragraph (2) of this subsection shall receive regular interest at the rate described under subsection (a) of this section on the individual’s member contributions in a nonvested account in the Law Enforcement Officers’ Pension System while the individual is an active member of one of the several systems.