April 3, 2017
Public Safety Personnel Retirement System
State of Arizona
April 3, 2017
EMPLOYER RELEASE
Hall/Parker employees identified for employers
Website employer portal helps with contribution rate changes
PSPRS has posted the names of all EORP and PSPRS members who are impacted by the Hall and Parker lawsuits and legally entitled to lower employee contribution rates. This information can be found on the employer payroll portal on the PSPRS website.
By logging into the employer portal, which is the same portal used for contribution and payroll submissions, employers can identify which employees must pay lower employee contribution rates. To access the information, please sign in to the employer payroll portal and click “Reports” and select “Employees paying old rate” from the first drop-down menu before proceeding to the second drop-down menu to select the desired payroll.
All EORP and PSPRS employees with membership dates beginning on or before July 19, 2011, must pay the following employee contribution rates at the beginning of the first complete pay period on or after April 1, 2017, or as soon as practicable:
• EORP (Hall): 7.00%
• PSPRS (Parker): 7.65%
PSPRS requests that employers notify PSPRS by emailing [email protected] to indicate which pay period they are able to begin using the lower contribution rates for employees impacted by the Hall and Parker lawsuits.
Please also be advised that there are updated technical requirements for payroll and contribution submissions, specifically related to the Deferred Retirement Option Plan available to Tier 1 members:
• The addition of “DR” as the non-payment reason code for members who attained 20 years of service prior to Jan. 1, 2012, also known as the “old DROP” or “Tier 1a.”
• The use of the existing defined benefit contribution code “DBCN” to indicate employee contributions for DROP for those who attain 20 years of service on or after Jan. 1, 2012, also known as the “new DROP” or “Tier 1b.”
PSPRS would also like to remind employers that the updated payroll requirements apply to all three PSPRS-managed plans – PSPRS, CORP and EORP. There is also a new Contribution Code Matrix that displays how each of the contribution codes are used.
