PSPRS Online Services:

AOC Probation and Surveillance Officers

AAA

Arizona’s corrections and detention officers have relied on retirement benefits from the Corrections Officer Retirement Plan since 1986. CORP is a defined benefit, or pension plan, in which monthly retirement payments are determined by member salaries and credited service during employment.

Probation and surveillance officers hired on or after July 1, 2018, by the Administrative Office of the Courts (AOC) have the option of contributing towards two types of retirement plans: a traditional pension through CORP or a 401(a) defined contribution account known as the Public Safety Personnel Defined Contribution Plan.

New members, known as Tier 3 CORP-AOC members, must make this selection within 90 days of their hiring. Lack of action will result in new members contributing towards pension benefits that become available after members meet age and credited service requirements.

Pension benefits are constitutionally guaranteed in Arizona and are adjusted for inflation to provide lifetime financial security to plan retirees and surviving spouses.

Pensions are funded through financial contributions made by members and employers during the member’s career, as well as investment returns generated by professionals employed by PSPRS, which manages the Corrections Officers Retirement Plan.

Unlike traditional investment-based retirement plans, CORP pension benefits are unaffected by stock market fluctuations or economic conditions that can erode retirement savings and income.

Public Safety Personnel Defined Contribution Plan

New CORP-AOC members may also choose to plan their retirement with the Public Safety Personnel Defined Contribution Plan, which offers 401(a) retirement accounts to plan members. These accounts, managed by Nationwide Retirement Solutions, are funded through member and employer contributions that are invested and grow over time to provide retirement income.

PSPDCRP participants can allocate their contributions and their account balance to target date funds, mutual funds, index funds and bond funds. The benefit available to plan members upon retirement is determined by both contributions and investment performance of the funds chosen by participants. Defined contribution plans are a proven wealth and retirement security building tool but participants bear the risk of market volatility and economic conditions.

The PSPDCRP is overseen by the PSPRS Defined Contribution Committee, which consists of PSPRS trustees and members of the public safety, corrections and elected officials retirement plans.

For additional information members can review the AZ PSPRS Plan Overview, and participants in the 401(a) plan can visit www.psprsdcplan.com or contact Nationwide Retirement Solutions by calling  1-855-297-8228 or emailing [email protected] for assistance.

Making the choice

New probation and surveillance officers must review and act on several of their options within 90 days of their hiring date. These decisions, which are irrevocable under most circumstances, must be made through the Members Only portal. PSPRS, which manages the corrections retirement plan, emails new members access instructions to the portal.

  • Retirement plan: New officers can choose to contribute towards a pension through CORP or to the PSPDCRP 401(a) plan. Members who do not make a decision will default to contributing towards a pension.

For members who elect to contribute towards the PSPDCRP 401(a) plan:

  • Member contribution rate: New officers can adjust their pre-tax salary contribution to their 401(a) retirement account from the default rate of 7 percent. This amount can be raised to IRS limits or lowered as far as 5 percent.

  • Health insurance subsidies: New members can choose to contribute to receive a health insurance subsidy each month after they retire to lower their health and dental insurance costs. The decision to opt-in this subsidy benefit is irrevocable under IRS rules and contributions are non-refundable. Members must meet retirement eligibility requirements to receive the benefit.

All new Tier 3 members begin making pre-tax contributions to their retirement plans on their 91st day of employment. Contributing towards retirement is mandatory and managed by your employer throughout your public service career.

PSPRS/CORP has partnered with Public Safety Financial/Galloway to provide free benefit selection and retirement planning consultations to plan members. PSPRS does not endorse any firms for asset management services to plan members.

PSPRS provides resources to assist new members in making informed decisions. 


NEW MEMBER VIDEOS

2018 CORP Pension Reforms Overview
Corrections Officer Retirement Plan

CORP Reform 2018: Inside the 401(a)
Defined Contribution plan

CORP Reform 2018: Retirement Options for AOC Officers