40 ILCS 5/16-128
2021 Illinois Compiled Statutes|Chapter 40 - PENSIONS|40 ILCS 5/ - Illinois Pension Code.|Article 16 - Teachers' Retirement System Of The State Of Illinois

 (from Ch. 108 1/2, par. 16-128)Sec. 16-128. Creditable service - required contributions.(a) In order to receive the creditable service specified under  subsection (b) of Section 16-127, a member is required to make the  following contributions: (i) an amount equal to the contributions  which would have been required had such service been rendered as a member  under this System; (ii) for military service not immediately following  employment and for service established under subdivision (b)(10) of  Section 16-127, an amount determined by the Board to be equal to the  employer's normal cost of the benefits accrued for such service; and (iii)  interest from the date the contributions would have been due (or, in the case  of a person establishing credit for military service under subdivision (b)(3)  of Section 16-127, the date of first membership in the System, if that date  is later) to the date of payment, at the following rate of interest,  compounded annually:  for periods prior to July 1, 1965, regular interest; from  July 1, 1965 to June 30, 1977, 4% per year; on and after July 1, 1977, regular  interest.(b) In order to receive creditable service under paragraph (2) of  subsection (b) of Section 16-127 for those who were not members on June 30,  1963, the minimum required contribution shall be $420 per year of service  together with interest at 4% per year compounded annually from July 1,  preceding the date of membership until June 30, 1977 and at regular  interest compounded annually thereafter to the date of payment.(c) In determining the contribution required in order to receive creditable  service under paragraph (3) of subsection (b) of Section 16-127, the salary  rate for the remainder of the school term in which a member enters military  service shall be assumed to be equal to the member's salary rate at the  time of entering military service.  However, for military service not  immediately following employment, the salary rate on the last date as a  participating teacher prior to such military service, or on the first date  as a participating teacher after such military service, whichever is  greater, shall be assumed to be equal to the member's salary rate at the  time of entering military service.  For each school term thereafter, the  member's salary rate shall be assumed to be 5% higher than the salary rate  in the previous school term.(d) In determining the contribution required in order to receive creditable  service under paragraph (5) of subsection (b) of Section 16-127, a member's  salary rate during the period for which credit is being established shall be  assumed to be equal to the member's last salary  rate immediately preceding that period.(d-5) For each year of service credit to be established under subsection  (b-1) of Section 16-127, a member is required to contribute to the System (i) the employee and employer contribution that would have been required had such service been rendered as a member based on  the annual salary rate during the first year of full-time employment  as a teacher under this Article following the private or parochial  school service, plus  (ii) interest thereon at the actuarially assumed rate from the date of first full-time employment as a teacher  under this Article following the private or parochial school service to the date of payment,  compounded annually, at a rate determined by the Board.(d-10)  For service credit established under paragraph (6) of subsection (b) of Section 16-127 for days granted by an employer in excess of the member's normal annual sick leave allotment, the employer is required to pay the normal cost of benefits based upon such service credit.  This subsection (d-10) does not apply to sick leave granted to teachers under contracts or collective bargaining agreements entered into, amended, or renewed before June 1, 2005 (the effective date of Public Act 94-4).  The employer contributions required under this subsection (d-10) shall be paid in the form of a lump sum within 30 days after receipt of the bill after the teacher begins receiving benefits under this Article.(e) Except for contributions under subsection (d-10), the contributions required under this Section may be made from the  date the statement for such creditable service is issued until retirement  date.  All such required contributions must be made before any retirement  annuity is granted.  (Source: P.A. 96-546, eff. 8-17-09.)