If you are not a member of the New York State Retirement System, you need to consider joining by Thursday, December 31. It may be the last opportunity to belong to the Tier IV pension plan.
On January 1, Tier V goes into effect. Tier V will require a 3 percent contribution from employees for your entire career, instead of Tier IV’s ten year requirement.
Tier V does not allow retirement at age 55 with 30 years of service credit, and it requires you to work ten years to be vested, instead of 5 years. For more information, go to www.osc.state.ny.us/retire/members/index.htm
Applications for Voluntary Severance Plan due December 22
If you are planning to retire under the Voluntary Severance Plan (VSP) program, you need to file your application by Tuesday, December 22
Employees approved for the plan must be off the payroll no later than January 20, 2010.
Unlike the VSP program offered earlier this year, this window has two exceptions. The first is employees will be paid the $20,000 in one lump sum, while the previous VSP group had the option of splitting the payment.
This window also allows you to change your mind and withdraw your letter of resignation any time prior to the effective date of your resignation, an option previously unavailable.
Employees still must wait for their agencies to offer them the severance, and those who accept it will be banned from returning to state service for five years.
Agency guidelines for the VSP program are posted on the PEF Web site. PEF is also taking names of members who are interested in the program. Members should sign up immediately, but also be aware that all official communication about the program will come from agency management.
PEF observes Christmas holiday
PEF offices will be closed Friday, December 25 for the Christmas holiday. PEF leaders and staff wish members and their families a safe and merry holiday season. Offices will reopen for business on Monday, December 28.