09-P-034 New Deduction Codes for KPERS Tier 2 Deductions
| DATE: | April 29, 2009 | ||
|---|---|---|---|
| SUBJECT: | New Deduction Codes for KPERS Tier 2 Deductions | ||
| EFFECTIVE DATE: | July 1, 2009 | ||
| CONTACT: |
Heather DeBusk, A&R Patti Pearce, DPS |
(785) 296-2434 (785) 296-7232 |
|
| APPROVAL: |  |
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| SUMMARY: |
New Deduction Codes/Benefit Plans for Future Members of KPERS |
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Per Senate Bill 362 of the 2007 Legislative Session, the retirement plan for current and future members of the Kansas Public Employees Retirement System (KPERS) will be modified effective July 1, 2009. This modification will provide certain benefit enhancements for current and retired KPERS members. As a result of this legislation, future members of the KPERS system will begin contributing 6% of their salary to the retirement plan. This will be effective with the first day of employment in an eligible position. For these members, there will not be a year of waiting for the KPERS deductions to begin. Further information on the specifics of the KPERS plan design changes can be found at http://www.kpers.org/issuebrief_plandesign.pdf.
Current members include those first employed before July 1, 2009; the existing KPERS deduction codes and benefit plans will continue to be used for current members as their KPERS contributions will continue at the current participation rates. For future KPERS members, which includes employees first hired on or after July 1, 2009, three new KPERS deduction codes and thirteen benefit plans are being added in SHARP effective for the payroll period beginning June 28, 2009, ending July 11, 2009, paid July 24, 2009.
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 |
RETRE2 |
KPERS- Regular Tier 2 |
KPERS-Reg |
PT2 |
KPERS Ret Code P Tier 2 |
GTLREG |
|
70 |
RETCO2 |
KPERS- Corrections Tier 2 |
KPERS-Cor |
XAT2 |
KPERS Ret Code XA Tier 2 |
GTLCOR |
|
XBT2 |
KPERS Ret Code XB Tier 2 |
GTLCOR |
||||
|
XCT2 |
KPERS Ret Code XC Tier 2 |
GTLCOR |
||||
|
4X |
RETLE2 |
KPERS- Legislator Tier 2 |
KPERS-Leg |
L1T2 |
KPERS Ret Code L1 Tier 2 |
GTLL1 |
|
L5T2 |
KPERS Ret Code L5 Tier 2 |
GTLL5 |
||||
|
L7T2 |
KPERS Ret Code L7 Tier 2 |
GTLL7 |
||||
|
LIT2 |
KPERS Ret Code LI Tier 2 |
GTLLI |
||||
|
LJT2 |
KPERS Ret Code LJ Tier 2 |
GTLLJ |
||||
|
LKT2 |
KPERS Ret Code LK Tier 2 |
GTLLK |
||||
|
LLT2 |
KPERS Ret Code LL Tier 2 |
GTLLL |
||||
|
LNT2 |
KPERS Ret Code LN Tier 2 |
GTLLN |
||||
|
LUT2 |
KPERS Ret Code LU Tier 2 |
GTLLU |
(Note: these codes do not apply to the 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 Department of Administration Payroll clearing fund and index codes for these new Tier 2 KPERS deduction codes will be the same as the current KPERS codes (Fund 9009, Index 9730 for employee contributions and 9830 for employer contributions). In addition, the STARS Expenditure Sub-Object Codes for Employer Contributions for the new deduction codes will be the same as the current KPERS deduction codes (1810 for Regular and Legislator, 1870 for Corrections).
The Department of Administration 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.
KEO:NTR:had
