Pension Reform
The California Public Employees' Pension Reform Act (PEPRA), which took effect in January 2013, changes the way CalPERS retirement and health benefits are applied, and places compensation limits on members. The greatest impact is felt by new CalPERS members.
As defined by PEPRA, a new member includes:
- A member who first established CalPERS membership prior to January 1, 2013, and who is rehired by a different CalPERS employer after a break in service of greater than six months
- A new hire who is brought into CalPERS membership for the first time on or after January 1, 2013, and who has no prior membership in any California public retirement system
-
A new hire who is brought into CalPERS membership for the first time on or after January 1, 2013, and who is not eligible for reciprocity with another California public retirement system
All members that don't fall into the definitions above are considered classic members. Classic members will retain the existing benefit levels for future service with the same employer.
PEPRA is a complex law that can generate many questions. For more information, visit the CalPERS website.
CSU Retirement Contribution Rates for Employers/Employees
|
Member Category |
CSU Employee Group |
Employer Contribution Rate for FY 2017-18 |
Member Contribution Rate for FY 2017-18 |
|
|
Classic Member (Prior to 1/1/13) |
New CalPERS (PEPRA) Member as of 1/1/13 |
|||
|
State Miscellaneous – Tier 1 |
All other CSU Employees |
28.423% |
5% |
6.50% |
|
State Peace Officer/Firefighter |
MPP Directors and Lieutenants of Public Safety |
44.245% |
8% |
11% |
|
State Safety |
E99 – Police Officer Intermittent, Non-represented (Class Code 8347) |
20.584% |
6% |
9% |
|
State Peace Officer/Firefighter |
Unit 8 |
44.245% |
8% |
11% |
Resources
CalPERS Circular Letter: FY 2017-18 State Employer/Employee Contribution Rates