62-5 SPD:62/5 SPD.qxd - NYCERS

More documents

Recommendations

Info

SUMMARY PLAN DESCRIPTION - 62/5 TIER 4 MEMBERS VERSION APRIL 2012CITY SERVICEService rendered as a paid employee of the City of New York or a Participating Employer whichentitles you to NYCERS membership.CONSUMER PRICE INDEX (CPI)A leading economic indicator that measures changes in the cost of goods and services in theUnited States. Certain benefits are based on the CPI such as Cost-of-Living Adjustments.CONTINGENT BENEFICIARYA person or persons designated by a member who will receive an Ordinary Death Benefit, providedthat all primary beneficiaries are deceased at the time of the member's death.COST-OF-LIVING ADJUSTMENT (COLA)An annual increase in pension payments based on changes in the Consumer Price Index. Pensionersare eligible for this annual increase after they have met certain criteria.CREDITED SERVICEThe total amount of service (Membership, Transferred, Purchased, etc.) accumulated by a memberwhich will count towards his or her pension calculation.CURRENT SALARYThe regular compensation earned during a member's last 12 months of service, plus overtime,night differentials, and any other type of pensionable earnings, where applicable.DEATH BENEFITA benefit paid to a Designated Beneficiary(ies) or Eligible Beneficiary(ies) upon the death of amember while in service.DEFICITA shortage of contributions in a member's account.DEFINED BENEFIT PLANA type of retirement plan that specifies the type of benefit to be paid. The benefit payable is typicallycalculated using a predetermined formula based on years of service and compensationbase.DEFINED CONTRIBUTION PLANA type of retirement plan that allows an employee to decide how much to contribute toward hisor her retirement plan. The future benefit is not specified and is dependent on the amount ofcontributions and the return on investments.DESIGNATED BENEFICIARYA person or persons nominated by a member to receive an Ordinary Death Benefit upon his orher death. Designated Beneficiaries could be Primary Beneficiaries or Contingent Beneficiaries.DISABILITYA physical or mental impairment that prevents an employee from performing the routine dutiesof his or her job title.GLOSSARYWWW.NYCERS.ORG77
NEW YORK CITY EMPLOYEES’ RETIREMENT SYSTEMDOMESTIC RELATIONS ORDER (DRO)A court order derived from a divorce decree or legal separation agreement outlining the circumstancesand amounts payable to an alternate payee from a member's pension benefit.ELECTRONIC FUNDS TRANSFER (EFT)A mechanism for distributions from NYCERS, such as loans and monthly pension payments, tobe electronically deposited into a member's or retiree's bank account.ELIGIBLE BENEFICIARYA person(s) who is entitled to receive an Accidental Death Benefit based upon a priority order specifiedin law.FINAL AVERAGE SALARY (FAS)A compensation base used to calculate a pension benefit. FAS is the greater of the averageannual wages earned during any three consecutive calendar-year periods, or the average of thewages earned during the 36 months immediately preceding the member's retirement date, subjectto the Kingston Limitation.FINAL MEDICAL REVIEWA process by which a member can contest the findings of NYCERS' Medical Board denying hisor her disability claim.GROSS WAGESAll earnings paid to an employee of a public employer in New York City or New York State beforetax deductions and other types of deductions (e.g., health insurance premiums).INCOME LIMITATIONThe dollar amount of Personal Service Income (income derived from the private and/or publicsectors) a disability retiree can earn in the calendar year. The Income Limitation is establishedannually and is based on the percentage increase or decrease in the prior year's Consumer PriceIndex.INTERIM OPTIONA temporary option selection chosen by a member on his or her retirement application. If themember dies before selecting a final retirement option, the interim option chosen by the memberis payable.KINGSTON LIMITATIONA limitation on the salary earned in any year used in the Final Average Salary computation.Under this limitation, the earnings in any year used in such computation cannot exceed theaverage salary of the previous two years by more than ten percent.MAXIMUM RETIREMENT ALLOWANCEThis is the highest pension payable to a NYCERS member while retired, which does not continueupon the member's death.GLOSSARYMEMBER CONTRIBUTION ACCUMULATION FUND (MCAF)The account in which Tier 4 Basic Member Contributions are deposited. Funds in this accountearn 5% interest compounded annually.78
Page 3:
NEW YORK CITY EMPLOYEES’ RETIREME
Page 7 and 8:
INTRODUCTIONThe New York City Emplo
Page 11 and 12:
MEMBERSHIP AND ELIGIBILITYTier 4 me
Page 13 and 14:
Page 15 and 16:
CONTRIBUTIONSThe retirement benefit
Page 17 and 18:
Page 19 and 20:
CREDITED SERVICEIn NYCERS’ define
Page 21 and 22:
Page 23 and 24:
Page 25 and 26:
Page 27 and 28:
Page 29 and 30:
Page 31 and 32:
Page 33 and 34:
Page 35 and 36: NEW YORK CITY EMPLOYEES’ RETIREME
Page 37 and 38: LEAVING CITY SERVICEREFUNDSTier 4 m
Page 43 and 44: THE SERVICERETIREMENT PROCESSFILING
Page 55 and 56: DISABILITY RETIREMENTNo one likes t
Page 58 and 59: SUMMARY PLAN DESCRIPTION - 62/5 TIE
Page 66 and 67: SURVIVORBENEFITSSUR-
Page 74 and 75: TIER 4MEMBERS WITHTIER 3 RIGHTSTIER
Page 82 and 83: TAXATIONTAX-
Page 90: SUMMARY PLAN DESCRIPTION - 62/5 TIE
show all

62-5 SPD:62/5 SPD.qxd - NYCERS

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?