§ 70-A — Pensions-for-increased-take-home-pay

New York § 70-A

• Jurisdiction: New York
• Law RSS: Retirement & Social Security
• Title 8: General Provisions Relating to Retirement; Retirement Plans Applicable to Members Generally
• Art. 2: New York State Employees' Retirement System

Text

§ 70-a. Pensions-for-increased-take-home-pay. a. Beginning with a\npayroll period commencing as specified by a participating employer\nelecting to contribute pursuant to the provisions of this section the\ncontribution of each member of the retirement system in the employ of\nsuch a participating employer, exclusive of any increase thereof\npursuant to subdivision i of section twenty-one of this chapter or of\nany reduction thereof pursuant to subdivision one of section one hundred\nthirty-eight-b of this chapter, shall be reduced by five per centum of\nthe compensation of such member. Beginning with a payroll period\ncommencing as specified by a participating employer specifically\nelecting, as provided in subdivision c of this section, to contribute at\nthe higher rate pursuant to the provisions of this section the\ncontribution of each member of the retirement system in the employ of\nsuch a participating employer, exclusive of any increase thereof\npursuant to subdivision i of section twenty-one of this chapter or of\nany reduction thereof pursuant to subdivision one of section one hundred\nthirty-eight-b of this chapter, shall be reduced by an additional three\nper centum of the compensation of such member. Where a member's rate of\ncontribution as so qualified is less than the per centum by which his\ncontribution is reduced, such rate shall be discontinued. Such a\nreduction or discontinuance, as the case may be, shall:\n 1. Be subject to waiver by the member as provided in subdivision j of\nsection twenty-one of this article, as added by this act, and\n 2. Take precedence over the member's privilege under subdivision one\nof section one hundred thirty-eight-b of this chapter, as amended by\nthis act, to decrease his annuity contribution for the purpose of paying\nhis contributions for old-age, survivors, and disability insurance\ncoverage or the tax imposed upon him pursuant to the federal insurance\ncontribution act.\n aa. Beginning with a payroll period commencing on or after such date,\nas specified by a participating employer electing to contribute pursuant\nto the provisions of this subdivision, the contribution of each member\nof the retirement system in the employ of such a participating employer,\nwhose rate of contribution is in excess of eight per centum, exclusive\nof any increase thereof pursuant to subdivision i of section twenty-one\nof this chapter or of any reduction thereof pursuant to subdivision one\nof section one hundred thirty-eight-b of this chapter or subdivision a\nof this section, shall be suspended. In the case of a participating\nemployer any member may by written notice duly acknowledged and filed\nwith the comptroller beginning with the payroll period commencing on or\nafter such date as specified by a participating employer within one year\nafter the effective date of this act or within one year after he last\nbecame a member, whichever is later, elect to waive the suspension of\nhis contribution provided by this subdivision. One year or more after\nthe filing thereof a member may withdraw any such waiver by written\nnotice duly acknowledged and filed with the comptroller. Where a member\nmakes an election to waive the suspension of his contributions as herein\nprovided, he shall contribute to the retirement system as otherwise\nprovided in this chapter.\n However, commencing with the payroll period the first day of which is\nnearest to July first, nineteen hundred sixty-six, the foregoing\nprovisions of subdivision aa shall be inapplicable as to any\nparticipating employers other than those who had filed a resolution\nprior to the effective date of this act to participate thereunder.\n b. For such period of time as the provisions of subdivision a and\nsubdivision aa of this section shall be in effect, contributions shall\nbe made to the pension accumulation fund by or on account of the state\nand each such participating employer, as provided in sections sixteen,\nseventeen and forty-two of this article, at a rate fixed by the actuary\nwhich shall be computed to be sufficient to provide death benefits and\npensions-providing-for-increased-take-home-pay which are or may become\npayable on account of members in the employ of the state or of such a\nparticipating employer. Such a benefit or pensions shall be based on a\nreserve-for-increased-take-home-pay which shall be equivalent to the per\ncentum of the member's compensation during such period by which his\ncontribution is reduced, or would otherwise be reduced if his rate of\ncontribution equaled or exceeded eight per centum, pursuant to\nsubdivision a of this section, plus in the case of any member in the\nemploy of the state or of any employee of a participating employer who\nhas elected to participate pursuant to the provisions of this section\nwhose rate of contribution before any reduction as provided in\nsubdivision a of this section exceeds eight per centum, the per centum\nof his compensation during such period by which his contribution is\nsuspended pursuant to subdivision aa, plus regular interest thereon.\nCommencing with the payroll period which is nearest to April first,\nnineteen hundred sixty-one, the provisions of this section shall not\napply to any member for any period or periods during which he ceases or\nhas ceased contributing toward retirement upon completion of twenty\nyears of service pursuant to subdivision c of section eighty, completion\nof twenty-five years of service pursuant to subdivision d of section\neighty-one, subdivision d of section eighty-three, paragraph four of\nsubdivision d of section eighty-four, subdivision e of section\neighty-five, subdivision d of section eighty-six and subdivision d of\nsection eighty-seven, completion of thirty-five years of service and\nattainment of age sixty pursuant to subdivision d of section twenty-one,\nor completion of years of service or attainment of specified age under\nany other similar requirement of this article heretofore or hereafter\nenacted, provided, however, that such member shall receive credit\npursuant to this section for such period or periods for which he\ncontributes or has contributed toward retirement.\n c. By the adoption, filing and approval, where required, of a\nresolution in the manner provided by sections thirty, thirty-one or\nthirty-two of this article, as the case may be, a participating employer\nmay elect to make contributions to the pension accumulation fund\npursuant to this section for the purpose of providing death benefits and\npensions-providing-for-increased-take-home-pay. Such resolution shall\nspecify the first payroll period after the date of such filing for which\nreduction shall be made pursuant to subdivision a of this section in the\ncontributions of members in its employ and the per centum of their\ncompensation by which their contributions shall be reduced, which shall\nbe five per centum unless eight per centum is specifically elected.\n d. In the case of persons who last became members on or after July\nfirst, nineteen hundred seventy-three, the provisions of this section\nshall apply only until the payroll period immediately prior to that the\nfirst day of which is nearest to July first, nineteen hundred\nseventy-four.\n