§ 630 — Compensation limitations

New York § 630

• Jurisdiction: New York
• Law RSS: Retirement & Social Security
• Art. 15-B: Compensation Limitations: Federal Internal Revenue Code

Text

§ 630. Compensation limitations. 1. In addition to any other\napplicable limitations on compensation provided by law, and\nnotwithstanding any other law to the contrary unless otherwise permitted\npursuant to subdivision four of this section, the amount of compensation\nof a member of the New York state and local employees' retirement system\nor the New York state and local police and fire retirement system which\nmay be taken into account under the rules of such system for plan years\nbeginning on or after April first, nineteen hundred ninety-six shall not\nexceed the OBRA '93 annual compensation limit.\n 2. In addition to any other applicable limitations on compensation\nprovided by law, and notwithstanding any other law to the contrary\nunless otherwise permitted pursuant to subdivision four of this section,\nthe amount of compensation of a member of the New York state teachers'\nretirement system, New York city employees' retirement system, New York\ncity teachers' retirement system, New York city police pension fund, New\nYork city fire department pension fund, or New York city board of\neducation retirement fund which may be taken into account under the law\nrelating to such system for plan years beginning on or after July first,\nnineteen hundred ninety-six shall not exceed the OBRA '93 annual\ncompensation limit.\n 3. In addition to any other applicable limitations on compensation\nprovided by law, and notwithstanding any other law to the contrary\nunless otherwise permitted pursuant to subdivision four of this section,\nthe amount of compensation of a participant in the education department\noptional retirement program pursuant to part five of article three of\nthe education law or a participant in the state university optional\nretirement program pursuant to article eight-B of the education law or\nthe city university optional retirement program pursuant to article one\nhundred twenty-five-A of the education law which may be taken into\naccount under the law relating to such program for plan years beginning\non or after January first, nineteen hundred ninety-six shall not exceed\nthe '93 OBRA annual compensation limit.\n 4. Notwithstanding the provisions of subdivisions one, two and three\nof this section, in the case of an "eligible member" of the New York\nstate and local employees' retirement system, New York state and local\npolice and fire retirement system, New York state teachers' retirement\nsystem, New York city employees' retirement system, New York city\nteachers' retirement system, New York city police pension fund, New York\ncity fire department pension fund, New York city board of education\nretirement fund, education department optional retirement program, state\nuniversity optional retirement program, and city university optional\nretirement program the OBRA '93 annual compensation limit shall not\napply to the extent the amount of compensation taken into account would\nbe reduced below the amount which would be allowed to be taken into\naccount under the law relating to such system or program as in effect on\nthe first day of July, nineteen hundred ninety-three.\n 5. For the purposes of subdivision four of this section, an "eligible\nmember" of the New York state and local employees' retirement system or\nNew York state and local police and fire retirement system shall be a\nmember who last joined or rejoined such system prior to April first,\nnineteen hundred ninety-six; an "eligible member" of the New York state\nteachers' retirement system, New York city employees' retirement system,\nNew York city teachers' retirement system, New York city police pension\nfund, New York city fire department pension fund, or New York city board\nof education retirement fund shall be a member who last joined or\nrejoined such system prior to the first day of July, nineteen hundred\nninety-six; and an "eligible member" of the education department\noptional retirement program, the state university optional retirement\nprogram, or city university optional retirement program shall be a\nparticipant who, as applicable, last joined or rejoined or last elected\nsuch program prior to the first day of January, nineteen hundred\nninety-six.\n 6. For the purposes of this section and any other reference in law to\nthe limitation under section 401(a)(17) of the Internal Revenue Code of\n1986, the "OBRA '93 annual compensation limit" shall be the amount\nallowed to be taken into account pursuant to section 401(a)(17) of the\nInternal Revenue Code of 1986, 26 USC § 401(a)(17), as amended pursuant\nto section 13212 of the Omnibus Budget Reconciliation Act of 1993, P.L.\n103-66, 107 Stat. 312, or as hereinafter may be amended. For plan years\nbeginning on or after January first, nineteen hundred ninety-four, the\nannual compensation of each member or participant taken into account\nunder the law applicable to such system or program shall not exceed one\nhundred fifty thousand dollars, as adjusted by the Commissioner of\nInternal Revenue for increases in the cost of living pursuant to section\n401(a)(17) of the Internal Revenue Code of 1986. The cost-of-living\nadjustment in effect for a calendar year applies to any period, not\nexceeding twelve months, over which compensation is determined (the\n"compensation period") beginning in such calendar year. If a\ndetermination period consists of fewer than twelve months, the OBRA '93\nannual compensation limit shall be the applicable annual compensation\nlimit multiplied by a fraction, the numerator of which is the number of\nmonths in the determination period, and the denominator of which is\ntwelve. Further, if compensation for any prior determination period is\ntaken into account in determining, as applicable, a member's or\nparticipant's benefits accruing in a current plan year, the compensation\nfor that prior determination period is subject to the OBRA '93 annual\ncompensation limit in effect for that prior determination period. For\nthe purpose of the prior sentence, for determination periods before the\nfirst day of the first plan year beginning on or after the first day of\nJanuary, nineteen hundred ninety-four, the OBRA '93 annual compensation\nlimit is one hundred fifty thousand dollars.\n