13-P-018 KPERS Tier 1 Members Contribution Rate and Benefit Multiplier Changes
Posted on October 21, 2021 at 12:49 PM by Kansas Department of Administration
|DATE:||December 16, 2013|
KPERS Tier 1 Members Contribution Rate and Benefit Multiplier Changes
|EFFECTIVE DATE:|| |
Pay Period Beginning January 5, 2014; Ending January 18, 2014; Paid January 31, 2014
(Original Signature on File)
New KPERS Employee Contribution Rate and Benefit Mulitplier for Tier 1 Members
Pursuant to Sub House Bill (HB) 2333 passed in the 2012 legislature, the KPERS employee contribution rate for Tier 1 members will increase from the current 4% of such member’s compensation to 5% beginning January 1, 2014. The new contribution rate of 5% will be deducted from Tier 1 member’s pay effective with the payroll period beginning January 5, 2014 and ending January 18, 2014, paid January 31, 2014. This rate increase also includes Tier 1 correctional and legislative employees. In addition, the Tier 1 employee rate is scheduled for an increase to 6% on January 1, 2015 and after.
Along with the contribution rate increases, the legislation also stipulates that the KPERS benefit multiplier for compensation earned by Tier 1 members on and after January 1, 2014 will be increased to 1.85%. The KPERS benefit multiplier for compensation earned prior to January, 2014 will stay at the current 1.75%.
The Office of Systems Management, Payroll Systems Team will make the necessary updates to the SHARP payroll system to reflect these changes in employee contribution rates. Regent institutions are responsible for ensuring these rate changes are reflected in their individual systems.