Q: Am I a Tier 1 or Tier 2 member?
A: Tier 1 members were hired before July 1, 2009. Tier 2 members were hired July 1, 2009 and after. Login to your online account access to confirm. Your tier membership shows near the bottom of the page on your account summary.
Q: I'm a Tier 1 member. Can I pay extra to have all my service up to 1.85%?
Q: Will we have a benefit estimate calculator that includes all benefit multipliers?
A: Starting January 2014, the benefit estimate calculator inside your online KPERS account will have both 1.75% and 1.85% multipliers for Tier 1.
Q: I'm purchasing service credit by payroll deduction. Will my contribution rate increase to 5% after January 2014 for the purchase?
A: No. For the entire purchase you will stay at whatever contribution rate you started with. Your regular contributions will increase to 5%.
Q: I read if we hear by July 1 from the IRS, we will have a Tier 1 election. If we hear later, will we still have an election?
A: In keeping with the Legislature's intent, we will have an election if the IRS approves, whenever that is. Even if it's next year or later.
It is highly unlikely that we will hear from the IRS in 2013. Expect the automatic benefit multiplier and contribution increases to happen.
Q: How do I calculate how much the contribution increase will affect my paycheck?
A: Login to your KPERS account, then click the Benefit Snapshot link on your homepage. Your information is pre-loaded or you can try different scenarios.
The calculator will estimate your monthly contributions based on 4%, 5% and 6% rates and also estimated your retirement benefit with the 1.85% multiplier.
Q: Employers are contributing an additional $10 million over the next 10 years, how much will employees contribute?
A: Employees will pay an additional $1.3 million over the next 10 years, bringing their 10-year total to just over $4 billion.
Q: What is the present contribution rate being withheld for Tier 1 and Tier 2?
A: Currently, Tier 1 members contribute 4 percent; Tier 2 members contribute 6 percent.