§ 10-12B-10 — Member contributions; tax treatment

New Mexico § 10-12B-10

• Jurisdiction: New Mexico
• Ch. 10: Public Officers and Employees
• Art. 12B: Judicial Retirement

Text

A. On and after July 1, 2014, members, while in office, shall contribute ten and one- half percent of salary to the member contribution fund. B. Upon implementation, the state, acting as employer of members covered pursuant to the provisions of the Judicial Retirement Act, shall, solely for the purpose of compliance with Section 414(h) of the Internal Revenue Code of 1986, pick up, for the purposes specified in that section, member contributions required by this section for all annual salary earned by the member. Member contributions picked up pursuant to the provisions of this section shall be treated as employer contributions for purposes of determining income tax obligations under the Internal Revenue Code of 1986; however, such picked-up member contributions shall be included in the determination of the member's gross annual salary for all other purposes under federal and state laws. Member contributions picked up pursuant to the provisions of this section shall continue to be designated member contributions for all purposes of the Judicial Retirement Act and shall be considered as part of the member's annual salary for purposes of determining the amount of the member's contribution. The provisions of this section are mandatory, and the member shall have no option concerning the pickup or concerning the receipt of the contributed amounts directly instead of having the amounts paid by the employer to the retirement system. Implementation occurs upon authorization by the board. In no event may implementation occur other than at the beginning of a pay period applicable to the member.

Legislative History

Laws 1992, ch. 111, § 10; 2004, ch. 101, § 1; 2005, ch. 246, § 3; 2009, ch.