Kansas Department of Administration

15-P-013 New Deduction Codes for KPERS Tier 3 Deductions (Issued October 29, 2014)

Posted on October 21, 2021 at 12:50 PM by Kansas Department of Administration


Informational Circular No.

15-p-013


Effective Date:

January 1, 2015

Contact Name:
Earl Brynds

Ph:
(785) 296-5376

Email:
earl.brynds@da.ks.gov

Approval: Nancy Ruoff
(Original Signature on File)

Summary:
New Deduction Codes/Benefit Plans for Future Members of KPERS (Tier 3)

Pursuant to Sub House Bill (HB) 2333 passed in the 2012 legislature, a new Kansas Public Employees Retirement System (KPERS) Tier 3 cash balance retirement plan is created for new hires beginning January 1, 2015.  This plan includes new employees hired after January 1, 2015 and inactive KPERS Tier 1 and Tier 2 members who are not vested and return to work January, 2015 and after.  Correctional Officers are not included in the new Tier 3 plan. As a result of this legislation, future members of the KPERS system will begin contributing 6% of their salary to the new cash balance retirement plan.  This will be effective with the first day of employment in an eligible position.  Employer contribution percentages are the same for Tier 3 as they are for Tier 1 and Tier 2.   Further information on the specifics of this new KPERS cash balance plan can be found at http://www.kpers.org/pdf/KPERS3plan.pdf.

Current Tier 1 members include those first employed before July 1, 2009.  Current Tier 2 members include those first employed between July 1, 2009 and December 31, 2014; the existing KPERS deduction codes and benefit plans will continue to be used for current Tier 1 and Tier 2 members. For future KPERS members (Tier 3), which includes employees first hired on or after January 1, 2015, two new KPERS deduction codes and ten benefit plans are being added in SHARP effective for the payroll period beginning December 21, 2014, ending January 3, 2015, paid January 16, 2015.

The new KPERS deduction codes and benefit plans are: 

PLAN

TYPE

DEDUCTION CODE

DESCRIPTION

SHORT DESCRIPTION

BENEFIT PLAN

BENEFIT PLAN DESCRIPTION

GTL

DED CD

70

RETRE3

KPERS- Regular Tier 3

KPERS-Reg

PT3

KPERS Ret Code P Tier 3

GTLREG

4X

RETLE3

KPERS- Legislator Tier 3

KPERS-Leg

L1T3

KPERS Ret Code L1 Tier 3

GTLL1

 

 

 

 

L5T3

KPERS Ret Code L5 Tier 3

GTLL5

 

 

 

 

L7T3

KPERS Ret Code L7 Tier 3

GTLL7

 

 

 

 

LIT3

KPERS Ret Code LI Tier 3

GTLLI

 

 

 

 

LJT3

KPERS Ret Code LJ Tier 3

GTLLJ

 

 

 

 

LKT3

KPERS Ret Code LK Tier 3

GTLLK

 

 

 

 

LLT3

KPERS Ret Code LL Tier 3

GTLLL

 

 

 

 

LNT3

KPERS Ret Code LN Tier 3

GTLLN

 

 

 

 

LUT3

KPERS Ret Code LU Tier 3

GTLLU

(Note: these codes do not apply to the corrections, law enforcement or judges retirement plans)

The existing ‘GTL’ deduction codes and benefit plans as noted in the table above will continue to be used for the employer contributions for death and disability insurance provided to participating KPERS members.

The SMART Expenditure Account Code for Employer Contributions for the new deduction codes will be the same as the current KPERS deduction codes (518100 for Regular and Legislator).

The Office of Systems Management, Payroll Systems Team is responsible for making the necessary updates to the SHARP payroll system.  Regents’ Institutions are responsible for ensuring that these changes are reflected in their individual systems.

 

SG:NTR:ewb


Printable version of 15-P-013

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