reglab/statecodes huggingface dataset:
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8305.3 - Election to become a Class T-H member

§ 8305.3. Election to become a Class T-H member.
(a) General rule.--
A person who first becomes a school employee and an active member on or after July 1, 2019, and who is eligible to become a Class T-G member may elect to become a member of Class T-H.
(b) Time for making election.--
A member must elect to become a Class T-H member by filing a written election with the board within 90 days of notification by the board that the member is eligible for the election. A school employee who is eligible to elect to become a Class T-H member who begins USERRA leave during the election period without having elected Class T-H membership may make the election within 90 days after being reemployed from USERRA leave.
(c) Effect of election.--
An election to become a Class T-H member shall be irrevocable and shall commence from the original date of eligibility. A member who elects Class T-H membership shall receive Class T-H service credit on any and all future service, regardless of whether the member terminates service or has a break in service.
(d) Effect of failure to make election.--
If a member fails to timely file an election to become a Class T-H member, and does not elect to become a Class DC participant under section 8305.4 (relating to election to become a Class DC participant), then the member shall be enrolled as a member of Class T-G, and the member shall never be able to elect Class T-H service, regardless of whether the member terminates service or has a break in service.
(June 12, 2017, P.L.11, No.5, eff. imd.)
2017 Amendment.
Act 5 added section 8305.3.
Cross References.
Section 8305.3 is referred to in sections 8304, 8305, 8305.4 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8305.4 - Election to become a Class DC participant

§ 8305.4. Election to become a Class DC participant.
(a) General rule.--
A person who first becomes a school employee and an active member on or after July 1, 2019, and who is eligible to become a Class T-G member may elect to become a participant of Class DC.
(b) Time for making election.--
A member must elect to become a Class DC participant by filing a written election with the board within 90 days of notification by the board that the member is eligible for the election. A school employee who is eligible to elect to become a Class DC participant who begins USERRA leave during the election period without having elected to become a Class DC participant may make the election within 90 days after being reemployed from USERRA leave.
(c) Effect of election.--
An election to become a Class DC participant shall be irrevocable and shall commence from the original date of eligibility. A member who elects to become a Class DC participant shall remain a Class DC participant on any and all future service, regardless of whether the participant terminates service or has a break in service.
(d) Effect of failure to make election.--
If a member fails to timely file an election to become a Class DC participant, and does not elect to become a member of Class T-H under section 8305.3 (relating to election to become a Class T-H member), then the member shall be enrolled as a member of Class T-G, and the member shall never be able to elect to become a Class DC participant, regardless of whether the member terminates service or has a break in service.
(June 12, 2017, P.L.11, No.5, eff. imd.)
2017 Amendment.
Act 5 added section 8305.4.
Cross References.
Section 8305.4 is referred to in sections 8305, 8305.3 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8306 - Eligibility points

§ 8306. Eligibility points.
(a) General rule.--
An active member of the system shall accrue one eligibility point for each year of credited service as a member of the system or if a multiple service member, as a member of the State Employees' Retirement System. A member shall accrue an additional two-thirds of an eligibility point for each year of Class D-3 credited service under the State Employees' Retirement System. In the case of a fractional part of a year of credited service, a member shall accrue the corresponding fractional portion of an eligibility point.
(a.1) USERRA leave.--
A member or participant who is reemployed from USERRA leave or who dies while performing USERRA leave shall be granted the eligibility points that he would have accrued had he continued in his school office or employment instead of performing USERRA leave. If a school employee who is reemployed from USERRA leave makes the member or mandatory pickup participant contributions to be granted school service credit for the USERRA leave, no additional eligibility points may be granted.
(b) Transitional rule.--
For the purposes of the transition:
(1) In determining whether a member, other than a disability annuitant who returns to school service after June 30, 2001, upon termination of the disability annuity, who is not a school employee or a State employee on June 30, 2001, and July 1, 2001, and who has previous school service, has the five eligibility points required by the definition of "vestee" in sections 8102 (relating to definitions), 8307 (relating to eligibility for annuities), 8308 (relating to eligibility for vesting) and 8345 (relating to member's options), only eligibility points earned by performing credited school service, USERRA leave or credited State service as an active member of the State Employees' Retirement System after June 30, 2001, shall be counted until such member earns one eligibility point by performing credited school service or, if a multiple service member, credited State service after June 30, 2001, at which time all eligibility points as determined under subsection (a) shall be counted.
(2) A member subject to paragraph (1) shall be considered to have satisfied any requirement for five eligibility points contained in this part if the member has at least ten eligibility points determined under subsection (a).
(May 17, 2001, P.L.26, No.9, eff. July 1, 2001; July 1, 2013, P.L.174, No.32, eff. July 1, 2013; June 12, 2017, P.L.11, No.5, eff. imd.)
Cross References.
Section 8306 is referred to in sections 8102, 8303 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8307 - Eligibility for annuities

§ 8307. Eligibility for annuities.
(a) Superannuation annuity.--
An active or an inactive member who attains superannuation age shall be entitled to receive a superannuation annuity upon termination of service and filing of a proper application. All members must begin receiving a superannuation annuity by the member's required beginning date.
(b) Withdrawal annuity.--
(1) A vestee in Class T-C or Class T-D with five or more eligibility points or an active or inactive Class T-C or Class T-D member who terminates school service having five or more eligibility points shall, upon filing a proper application, be entitled to receive an early annuity.
(2) A vestee in Class T-E or Class T-F with ten or more eligibility points or an active or inactive Class T-E or Class T-F member who terminates school service having ten or more eligibility points shall, upon filing a proper application, be entitled to receive an early annuity.
(3) A vestee in Class T-G or Class T-H with ten or more eligibility points or an active or inactive Class T-G or Class T-H member who terminates school service having ten or more eligibility points shall, upon filing a proper application, be entitled to receive an early annuity.
(c) Disability annuity.--
An active or inactive member who has credit for at least five years of service shall, upon filing of a proper application, be entitled to a disability annuity if he becomes mentally or physically incapable of continuing to perform the duties for which he is employed and qualifies for an annuity in accordance with the provisions of section 8505(c)(1) (relating to duties of board regarding applications and elections of members and participants).
(Apr. 29, 1994, P.L.159, No.29, eff. 60 days; May 17, 2001, P.L.26, No.9, eff. July 1, 2001; Nov. 23, 2010, P.L.1269, No.120, eff. July 1, 2011; Dec. 28, 2015, P.L.529, No.93, eff. imd.; June 12, 2017, P.L.11, No.5, eff. imd.)
2001 Amendment.
See section 36.1 of Act 9 in the appendix to this title for special provisions relating to applicability of amendment to Public School Employees' Retirement System members.
Special Provisions in Appendix.
See section 4(5) of Act 96 of 1975 in the appendix to this title for the effective date of provisions relating to eligibility for disability annuities.
Cross References.
Section 8307 is referred to in sections 8305.5, 8306, 8309, 8342, 8343, 8344, 8347, 8507 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8308 - Eligibility for vesting

§ 8308. Eligibility for vesting.
Any Class T-C or Class T-D member who terminates school service, or if a multiple service member and an active member of the State Employees' Retirement System who terminates State service, with five or more eligibility points shall be entitled to vest his retirement benefits until the member's required beginning date. Any Class T-E, Class T-F, Class T-G or Class T-H member who terminates school service, or if a multiple service member and an active member of the State Employees' Retirement System who terminates State service, with ten or more eligibility points shall be entitled to vest his retirement benefits until his required beginning date.
(May 17, 2001, P.L.26, No.9, eff. July 1, 2001; Nov. 23, 2010, P.L.1269, No.120, eff. July 1, 2011; Dec. 28, 2015, P.L.529, No.93, eff. imd.; June 12, 2017, P.L.11, No.5, eff. imd.)
2001 Amendment.
See section 36.1 of Act 9 in the appendix to this title for special provisions relating to applicability of amendment to Public School Employees' Retirement System members.
Cross References.
Section 8308 is referred to in sections 8305.5, 8306 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8309 - Eligibility for death benefits

§ 8309. Eligibility for death benefits.
In the event of the death of a member who is eligible for an annuity in accordance with section 8307(a) or (b) (relating to eligibility for annuities) his beneficiary shall be entitled to a death benefit as provided in section 8347 (relating to death benefits). In the event of the death of a member not eligible for an annuity his beneficiary shall receive the accumulated deductions standing to the member's credit in the fund.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8310 - Eligibility for refunds

§ 8310. Eligibility for refunds.
Upon termination of service any active member, regardless of eligibility for benefits, may elect to receive his accumulated deductions by his required beginning date in lieu of any benefit from the system to which he is entitled.
(Dec. 28, 2015, P.L.529, No.93, eff. imd.; June 12, 2017, P.L.11, No.5, eff. imd.)
Cross References.
Section 8310 is referred to in section 8505.1 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8311 - Eligibility for early retirement

§ 8311. Eligibility for early retirement.
Notwithstanding any provisions of this title to the contrary, for the period only of June 1, 1982 through August 31, 1982, the following retirement options shall be available to specified eligible members as follows:
(1) During the period June 1, 1982 through August 31, 1982, those members 55 years or older with a minimum of 25 eligibility points who choose to retire, may do so with no reduction in the sum of his or her single life annuities because of age.
(2) During the period June 1, 1982 through August 31, 1982, in the case of those members age 50 to 55 having a minimum of 25 eligibility points, the sum of single life annuities for members who choose to retire shall be reduced by a percentage determined by multiplying the number of months, including a fraction of a month as a full month, by which the effective date precedes age 55 by one-fourth percent. (June 17, 1982, P.L.534, No.152, eff. imd.)
1982 Amendment.
Act 152 added section 8311. See sections 2, 3 and 4 of Act 152 in the appendix to this title for special provisions relating to legislative intent, nonseverability and retroactivity.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8312 - Eligibility for special early retirement

§ 8312. Eligibility for special early retirement.
Notwithstanding any provisions of this title to the contrary, for the period only of July 1, 1985, to July 1, 1997, the following special early retirement provisions shall be applicable to specified eligible members as follows:
(1) During the period of July 1, 1985 to June 30, 1986, any member who has attained the age of at least 53 years and has credit for at least 30 eligibility points shall be entitled, upon termination of service and filing of a proper application, to receive a maximum single life annuity calculated pursuant to section 8342 (relating to maximum single life annuity) without any reduction by virtue of an effective date of retirement which is under the superannuation age.
(2) During the period of July 1, 1985 to June 30, 1986, any member who has attained the age of at least 50 years but not greater than 53 years and has credit for at least 30 eligibility points shall be entitled, upon termination of service and filing of a proper application, to receive a maximum single life annuity calculated pursuant to section 8342 with a reduction by virtue of an effective date of retirement which is under the superannuation age of a percentage determined by multiplying the number of months, including a fraction of a month as a full month, by which the effective date of retirement precedes the attainment of age 53 by 0.25%.
(3) During the period of July 1, 1987, to June 30, 1993, a member who has credit for at least 30 eligibility points shall be entitled, upon termination of service and filing of a proper application, to receive a maximum single life annuity calculated pursuant to section 8342 without any reduction by virtue of an effective date of retirement which is under the superannuation age.
(4) During the period of July 1, 1993, to July 1, 1997, a member who has credit for at least 30 eligibility points shall be entitled, upon termination of service and filing of a proper application, to receive a maximum single life annuity calculateded pursuant to section 8342 without any reduction by virtue of an effective date of retirement which is under the superannuation age. (June 29, 1984, P.L.450, No.95, eff. imd.; July 8, 1986, P.L.435, No.91, eff. imd.; July 13, 1987, P.L.354, No.69, eff. imd.; Oct. 21, 1988, P.L.844, No.112, eff. Jan. 1, 1989; Aug. 5, 1991, P.L.183, No.23, eff. imd.; Apr. 29, 1994, P.L.159, No.29, eff. imd.)
1994 Amendment.
Section 21 of Act 29 provided that the amendment of section 8312 shall be retroactive to July 1, 1993. See section 19 of Act 29 in the appendix to this title for special provisions relating to liability for additional benefits.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8313 - Eligibility for limited early retirement

§ 8313. Eligibility for limited early retirement.
Notwithstanding any provisions of this title to the contrary, the following early retirement provisions shall be applicable to eligible members:
(1) Any member who, during the period of time from the effective date of this section through July 10, 1998:
(i) has credit for at least 30 eligibility points;
(ii) terminates school service; and
(iii) files an application for an annuity with an effective date of retirement not later than July 11, 1998, shall be entitled to receive a maximum single life annuity calculated pursuant to section 8342 (relating to maximum single life annuity) without any reduction by virtue of an effective date of retirement which is under the superannuation age.
(2) Any member who, during the period of time from April 1, 1999, through June 30, 1999:
(i) has credit for at least 30 eligibility points;
(ii) terminates school service; and
(iii) files an application for an annuity with an effective date of retirement not later than July 1, 1999, shall be entitled to receive a maximum single life annuity calculated pursuant to section 8342 without any reduction by virtue of an effective date of retirement which is under the superannuation age. (Apr. 2, 1998, P.L.229, No.41, eff. imd.)
1998 Amendment.
Act 41 added section 8313.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8322 - Joint coverage member contributions

§ 8322. Joint coverage member contributions.
The regular member contributions made to the fund as and to the extent required by section 8321 (relating to regular member contributions for current service) for current service of a joint coverage member shall be reduced by 40% of the tax on taxable wages prescribed by the Federal Insurance Contributions Act, IRC § 3101 et seq., exclusive of that portion of such tax attributable to coverage for disability and medical benefits. (Dec. 20, 1995, P.L.689, No.77, eff. July 1, 1996)
Cross References.
Section 8322 is referred to in section 8322.1 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8322.1 - Pickup contributions

§ 8322.1. Pickup contributions.
(a) Treatment for purposes of IRC § 414(h).--
All contributions to the fund required to be made under sections 8321 (relating to regular member contributions for current service), 8322 (relating to joint coverage member contributions) and 8305 (relating to classes of service), with respect to current school service rendered by an active member on or after January 1, 1983, shall be picked up by the employer and shall be treated as the employer's contribution for purposes of IRC § 414(h).
(b) Treatment for other purposes.--
For all other purposes, under this part and otherwise, such pickup contributions shall be treated as contributions made by a member in the same manner and to the same extent as contributions made by a member prior to January 1, 1983.
(July 22, 1983, P.L.104, No.31, eff. imd.; Dec. 19, 1984, P.L.1191, No.226, eff. imd.; Dec. 20, 1995, P.L.689, No.77, eff. imd.; Dec. 28, 2015, P.L.529, No.93, eff. imd.; June 12, 2017, P.L.11, No.5, eff. imd.)
2017 Amendment.
Act 5 amended subsec. (a).
1995 Amendment.
Section 15(2) of Act 77 provided that the amendment shall be retroactive to January 1, 1983, but shall be deemed a clarifying amendment and declaratory of original intent.
1984 Amendment.
Act 226 reenacted the entire section, retroactive to January 1, 1983. See section 9 of Act 226 in the appendix to this title for special provisions relating to applicability of existing rules and regulations.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8325 - Incomplete payments

§ 8325. Incomplete payments.
In the event that a member terminates school service or a multiple service member who is an active member of the State Employees' Retirement System terminates State service before any agreed upon payments, including USERRA leave, or return of benefits on account of returning to school service or entering State service and electing multiple service have been completed, the member or multiple service member who is an active member of the State Employees' Retirement System shall have the right to pay within 30 days of termination of school service or State service the balance due, including interest, in a lump sum, and the annuity shall be calculated including full credit for the previous school service, creditable nonschool service, or full-coverage membership. In the event a member does not pay the balance due within 30 days of termination of school service or in the event a member dies in school service or within 30 days of termination of school service or in the case of a multiple service member who is an active member of the State Employees' Retirement System does not pay the balance due within 30 days of termination of State service or dies in State service or within 30 days of termination of State service and before the agreed upon payments have been completed, the present value of the benefit otherwise payable shall be reduced by the balance due, including interest, and the benefit payable shall be calculated as the actuarial equivalent of such reduced present value.
(May 17, 2001, P.L.26, No.9, eff. July 1, 2001; July 1, 2013, P.L.174, No.32, eff. July 1, 2013)
Cross References.
Section 8325 is referred to in sections 8302, 8326, 8327, 8507 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8325.1 - Annual compensation limit under IRC § 401(a)(17)

§ 8325.1. Annual compensation limit under IRC § 401(a)(17).
(a) General rule.--
In addition to other applicable limitations set forth in this part, and notwithstanding any provision of this part to the contrary, the annual compensation of each noneligible member and each participant taken into account for benefit purposes under this subchapter shall not exceed the limitation under IRC § 401(a)(17). On and after July 1, 1996, any reference in this part to the limitation under IRC § 401(a)(17) shall mean the Omnibus Budget Reconciliation Act of 1993 (OBRA '93) (Public Law 103-66, 107 Stat. 312) annual compensation limit set forth in this subsection. The OBRA '93 annual compensation limit is $150,000, as adjusted by the commissioner for increases in the cost of living in accordance with IRC § 401(a)(17)(B). The cost-of-living adjustment in effect for a calendar year applies to any determination period which is a period, not exceeding 12 months, over which compensation is determined, beginning in such calendar year. If a determination period consists of fewer than 12 months, the OBRA '93 compensation limit will be multiplied by a fraction, the numerator of which is the number of months in the determination period and the denominator of which is 12.
(b) Grandfather exception.--
The limitation under IRC § 401(a)(17) shall not apply to an individual who first became a member of the system prior to July 1, 1996, to the extent that the application of such limitation to such member would reduce the amount of compensation that is allowed to be taken into account for benefit purposes under this subchapter below the amount that was allowed to be taken into account under this subchapter as in effect on July 1, 1993.
(Dec. 20, 1995, P.L.689, No.77, eff. July 1, 1996; June 12, 2017, P.L.11, No.5, eff. imd.)
2017 Amendment.
Act 5 amended subsec. (a).
1995 Amendment.
Act 77 added section 8325.1.
Cross References.
Section 8325.1 is referred to in section 8102 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8329 - Payments on account of social security deductions from appropriations

§ 8329. Payments on account of social security deductions from
appropriations.
(a) Payments by Commonwealth.
--Where the Secretary of Education enters into an agreement with the Commonwealth to place under the Federal Social Security Act members who have elected coverage, the Commonwealth shall pay to the employers one-half of the contributions payable under the employer's tax established by the Social Security Act (Public Law 74-271, 42 U.S.C. § 301 et seq.) on all covered wages which are not federally funded, except that after June 30, 1995, the Commonwealth shall pay to an employer that is a school entity an amount as follows:
(1) For all employees whose effective dates of employment with their employing school entities are after June 30, 1994, and who also had not previously been employed by any school entity within this Commonwealth, the Commonwealth shall pay each school entity an amount equal to the total contributions payable under the employer's tax established by the Social Security Act on all covered wages which are not federally funded, multiplied by the market value/income aid ratio of the school entity. For no school year shall any school entity receive less than the amount that would result if the market value/income aid ratio as defined in section 2501(14.1) of the Public School Code of 1949 was 0.50.
(2) For all employees who are not described in paragraph
(1), the Commonwealth shall pay each school entity one-half of the contributions payable under the employer's tax established by the Social Security Act on all covered wages which are not federally funded.
(b) Deduction from appropriations.
--The Secretary of Education and the State Treasurer are hereby authorized to cause to be deducted and paid into or retained in the State Treasury from any moneys due to any employer on account of appropriations for schools or other purposes the amounts payable under the provisions of this section. (July 13, 1987, P.L.354, No.69, eff. imd.; Apr. 29, 1994, P.L.159, No.29, eff. July 1, 1995)
1994 Amendment.
Act 29 amended subsec. (a). See section 18 of Act 29 in the appendix to this title for special provisions relating to applicability to 1995-1996 and succeeding school years.
1987 Amendment.
Section 4 of Act 69 provided that the provisions of section 7 of the act of July 9, 1981 (P.L.208, No.66), known as the Public Employee Retirement Study Commission Act, shall not apply to Act 69, and section 5 provided that Act 69 shall be retroactive to July 1, 1987.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8330 - Appropriations by the Commonwealth

§ 8330. Appropriations by the Commonwealth.
(a) Annual submission of budget.--
The board shall prepare and through the Governor submit annually to the General Assembly an itemized budget consisting of the amounts necessary to be appropriated by the Commonwealth out of the General Fund required to meet the separate obligations to the fund and the trust accruing during the fiscal period beginning July 1 of the following year.
(b) Appropriation and payment.--
The General Assembly shall make an appropriation sufficient to provide for the separate obligations of the Commonwealth to the fund and the trust as certified by the board. Such amount shall be paid by the State Treasurer through the Department of Revenue into the fund or the trust within 30 days of receipt of the requisition presented each quarter by the board.
(June 12, 2017, P.L.11, No.5, eff. imd.)
Cross References.
Section 8330 is referred to in section 8502 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8341 - Return of accumulated deductions

§ 8341. Return of accumulated deductions.
Any member upon termination of service may, in lieu of all benefits payable from the system under this chapter to which he may be entitled, elect to receive his accumulated deductions by his required beginning date.
(Dec. 28, 2015, P.L.529, No.93, eff. imd.; June 12, 2017, P.L.11, No.5, eff. imd.)
Cross References.
Section 8341 is referred to in section 8505.1 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8343 - Reduction of annuities on account of social security old-age insurance benefits

§ 8343. Reduction of annuities on account of social security
old-age insurance benefits.
(a) General rule.
--A joint coverage member who is eligible to receive an annuity under section 8307(a) or (b) (relating to eligibility for annuities) shall be entitled to receive the annuity provided for in section 8342 (relating to maximum single life annuity) and section 8348 (relating to supplemental annuities) which shall be reduced at the time at which the member would be entitled to receive full social security old-age insurance benefits whether or not he has applied for such benefits. The reduction shall be an amount equal to 40% of the primary insurance amount paid or payable to him and subject to the following provisions:
(1) The eligibility of such member for the old-age insurance benefit and the amount of such benefit upon which the reduction in his annuity shall be based shall be determined by the board in accordance with the provisions of the Federal Social Security Act, 42 U.S.C.A. § 301 et seq., in effect on the effective date of retirement, except that in determining such eligibility and such amount only wages or compensation for services covered by the system shall be included.
(2) The reduction shall not be more than one-half of the standard single life annuity multiplied by the ratio of the sum of the three years of highest taxable wages to an amount equal to three times the final average salary and by the ratio of the years of credited service after December 31, 1955 to total years of credited service.
(3) Whenever the amount of the reduction from the annuity shall have been once determined, it shall remain fixed for the duration of the annuity except that any decrease in the old-age insurance benefit under the Federal Social Security Act, 42 U.S.C.A. § 301 et seq., shall result in a corresponding decrease in the amount of the reduction from the annuity.
(b) Exception.
--The reduction provided for in subsection (a) shall not apply to disability annuities.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8347 - Death benefits

§ 8347. Death benefits.
(a) Members eligible for annuities.--
Any member or former member on USERRA leave, other than an annuitant, who dies and was eligible for an annuity in accordance with section 8307(a) or (b) (relating to eligibility for annuities) shall be considered as having applied for an annuity from the fund to become effective the day before his death; and, in the event he has not elected an option, it shall be assumed that he elected Option 1 and assigned as beneficiary that person last designated in writing to the board.
(b) Members ineligible for annuities.--
In the event of the death of any member or former member on USERRA leave, other than an annuitant, who is not entitled to a death benefit as provided in subsection (a), his designated beneficiary shall be paid the full amount of his accumulated deductions payable from the fund.
(c) Disability annuitants.--
In the event of the death of a disability annuitant who has elected to receive a maximum disability annuity before he has received in annuity payments an amount equal to the present value, on the effective date of disability, of the benefits to which he would have been entitled under subsection (a) had he died while in school service, the balance of such amount shall be paid to his designated beneficiary, except that in the event of the death of a disability annuitant who was not entitled to receive benefits under subsection (a), his beneficiary shall be paid the accumulated deductions standing to his credit on the effective date of disability less the total payments received on account of his member's annuity.
(d) Other annuitants.--
In the event of the death of an annuitant who has elected to receive the maximum single life annuity before he has received in total annuity payments an amount equal to the full amount of the accumulated deductions standing to his credit on the effective date of retirement, the difference between the total payments made to the date of death and the accumulated deductions shall be paid to his designated beneficiary.
(e) Required distributions.--
All payments pursuant to this section shall start and be made in compliance with the minimum distribution requirements and the incidental death benefit rules of IRC § 401(a)(9).
(July 1, 2013, P.L.174, No.32, eff. July 1, 2013; Dec. 28, 2015, P.L.529, No.93, eff. imd.; June 12, 2017, P.L.11, No.5, eff. imd.)
2017 Amendment.
Act 5 amended subsecs. (a) and (b).
2015 Amendment.
Act 93 added subsec. (e).
Cross References.
Section 8347 is referred to in sections 8309, 8349 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8348 - Supplemental annuities

§ 8348. Supplemental annuities.
(a) General rule.--
Every annuitant who is in receipt of a superannuation, withdrawal or disability annuity, shall continue to receive such annuity and beginning July 1, 1979, any annuitant who retired on or prior to July 1, 1978, shall receive a cost-of-living supplement determined as a percentage applied to the retirement annuity as of June 30, 1979. Such cost-of-living supplement shall be payable under the same terms and conditions as provided under the option plan in effect as of June 30, 1979.
(b) Cost-of-living adjustment factors.--
The percentage which is to be applied in the determination of the cost-of-living supplements shall be determined on the basis of the effective date of retirement payable on the first $12,000 of annuity received per year. The applicable percentage factors are:
Effective date of retirement
Percentage factor
After July 1, 1977 through July 1, 1978
5%
After July 1, 1976 through July 1, 1977
10%
After July 1, 1975 through July 1, 1976
13%
After July 1, 1974 through July 1, 1975
20%
After July 1, 1973 through July 1, 1974
27%
On or prior to July 1, 1973
31%
(c) Withdrawal annuitants.--
The cost-of-living supplement as determined in subsection (b) shall not be payable to an annuitant receiving a withdrawal annuity prior to the first day of July coincident with or following his attainment of superannuation age.
(d) Disability annuitants.--
(Repealed).
(e) Supplement enacted after death of member.--
No supplement enacted after the death of the member shall be payable to the beneficiary or survivor annuitant of such deceased former school employee, except when the effective date of the supplement shall predate the death of the member by virtue of retroactivity of the supplement.
(Dec. 18, 1979, P.L.566, No.130, eff. imd.; July 12, 1981, P.L.261, No.87, eff. imd.)
2019 Abolishment.
Section 1(3) of Act 92 provided that the joint committee to review the cost-of-living supplements under this section is abolished.
1981 Amendment.
Act 87 amended subsec. (e), retroactive to July 1, 1979.
1979 Amendment.
Act 130 amended subsecs. (a) and (b) and repealed subsec. (d).
Special Provisions in Appendix.
See section 3 of Act 130 of 1979 in the appendix to this title for special provisions relating to the biennial organization of a joint legislative committee to study cost-of-living supplements accruing under section 8348.
See section 3(4) of Act 96 of 1975 in the appendix to this title for special provisions relating to the continuation of rights of former teachers to minimum benefits under former provisions of law.
Cross References.
Section 8348 is referred to in sections 8328, 8343, 8348.2, 8348.3, 8348.5, 8348.6, 8348.7, 8525 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 83 - Membership, Contributions and Benefits › Section 8349 - Payment of benefits from the system

§ 8349. Payment of benefits from the system.
(a) Annuities.--
Any annuity granted under the provisions of this part and paid from the fund shall be paid in equal monthly installments commencing by the required beginning date.
(b) Death benefits.--
If the amount of a death benefit payable from the fund to a beneficiary of a member under section 8347 (relating to death benefits) or under the provisions of Option 1 of section 8345(a)(1) (relating to member's options) is $10,000 or more, such beneficiary may elect to receive payment according to one of the following options:
(1) A lump sum payment.
(2) An annuity actuarially equivalent to the amount payable.
(3) A lump sum payment and an annuity such that the annuity is actuarially equivalent to the amount payable less the lump sum payment specified by the beneficiary.
(c) Death or absence of beneficiary.--
If the beneficiary designated by a member should predecease him or die within 30 days of his death, or if a valid nomination of a beneficiary is not in effect at his death, any money payable to a beneficiary shall be paid to the estate of the member.
(d) Required distributions.--
All payments pursuant to this section shall start and be made in compliance with the required beginning date, minimum distribution requirements and incidental death benefit rules of IRC § 401(a)(9).
(Apr. 23, 2002, P.L.272, No.38, eff. imd.; Dec. 28, 2015, P.L.529, No.93, eff. imd.; June 12, 2017, P.L.11, No.5, eff. imd.)
2017 Amendment.
Act 5 amended the section heading and subsecs. (a) and (b).
2015 Amendment.
Act 93 amended subsec. (a) and added subsec. (d).
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 84 - School Employees' Defined Contribution Plan › Section 8401 - Establishment

§ 8401. Establishment.
(a) School Employees' Defined Contribution Plan.--
The School Employees' Defined Contribution Plan is established. The board shall administer and manage the plan, which shall be a defined contribution plan exclusively for the benefit of those school employees who participate in the plan and their beneficiaries within the meaning of and in conformity with IRC § 401(a). The board shall determine the terms and provisions of the plan not inconsistent with this part, the IRC and other applicable law and shall provide for the plan's administration.
(b) School Employees' Defined Contribution Trust.--
The School Employees' Defined Contribution Trust is established as part of the plan in accordance with this part. The trust shall be comprised of the individual investment accounts, all assets and moneys in those accounts and any assets and moneys held by the board as part of the plan that are not allocated to the individual investment accounts. The members of the board shall be the trustees of the trust, which shall be administered exclusively for the benefit of those school employees who participate in the plan and their beneficiaries within the meaning of and in conformity with IRC § 401(a). The board shall determine the terms and provisions of the trust not inconsistent with this part, the IRC and other applicable law and shall provide for the investment and administration of the trust.
(c) Assets held in trust.--
All assets and income in the plan that have been or shall be withheld or contributed by the participants, the Commonwealth and employers in accordance with this part shall be held in trust in any funding vehicle permitted by the applicable provisions of the IRC for the exclusive benefit of the plan's participants and their beneficiaries until such time as the funds are distributed to the participants or their beneficiaries in accordance with the terms of the plan document. The assets of the plan held in trust for the exclusive benefit of the participants and their beneficiaries may be used for the payment of the fees, costs and expenses related to the administration and investment of the plan and the trust.
(d) Name for transacting business.--
By the name of "The School Employees' Defined Contribution Plan," all of the business of the plan shall be transacted, the trust invested, all requisitions for money drawn and payments made and all of its cash and securities and other property shall be held, except that, any other law to the contrary notwithstanding, the board may establish a nominee registration procedure for the purpose of registering securities to facilitate the purchase, sale or other disposition of securities under the provisions of this part.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 84 - School Employees' Defined Contribution Plan › Section 8402 - Plan document

§ 8402. Plan document.
The board shall set forth the terms and provisions of the plan and trust in a document containing the terms and conditions of the plan and in a trust declaration. The creation of the document containing the terms and conditions of the plan and the trust declaration and the establishment of the terms and provisions of the plan and the trust need not be promulgated by regulation or formal rulemaking and shall not be subject to the act of July 31, 1968 (P.L.769, No.240), referred to as the Commonwealth Documents Law. A reference in this part or other law to the plan shall include the plan document unless the context clearly indicates otherwise.
Cross References.
Section 8402 is referred to in section 8102 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 84 - School Employees' Defined Contribution Plan › Section 8403 - Individual investment accounts

§ 8403. Individual investment accounts.
The board:
(1) Shall establish in the trust an individual investment account for each participant in the plan. All contributions by a participant or an employer for or on behalf of a participant shall be credited to the participant's individual investment account, together with all interest and investment earnings and losses. Investment and administrative fees, costs and expenses shall be charged to the participants' individual investment accounts.
(2) Shall separately track participant contributions, including investment gains and losses, and employer contributions, including investment gains and losses, but all interest, investment gains and losses and administrative fees, costs and expenses shall be allocated proportionately.
(3) May contract with financial institutions, insurance companies or other types of third-party providers and other vendors to allow participants to deposit participant contributions into the individual investment accounts in a form and manner as provided by the contract.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 84 - School Employees' Defined Contribution Plan › Section 8404 - Participant contributions

§ 8404. Participant contributions.
(a) Mandatory contributions.--
A participant shall make mandatory pickup participant contributions through payroll deductions to the participant's individual investment account for school service required to be credited in the plan. The employer shall cause those contributions for service required to be credited in the plan to be made and deducted from each payroll or on such schedule as established by the board.
(b) Voluntary contributions.--
A participant may make voluntary contributions through payroll deductions, through direct trustee-to-trustee transfers or through transfers of money received in an eligible rollover into the trust to the extent allowed by IRC § 402. Rollovers shall be made in a form and manner as determined by the board, shall be credited to the participant's individual investment account and shall be separately accounted for by the board.
(c) Prohibition on contributions.--
No contributions shall be allowed that would cause a violation of the limitations related to contributions applicable to governmental plans contained in IRC § 415 or in other provisions of law. In the event that any disallowed contributions are made, any participant contributions in excess of the limitations and investment earnings on those contributions, minus investment fees and charges, shall be refunded to the participant by the board.
Cross References.
Section 8404 is referred to in section 8405 of this title.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 84 - School Employees' Defined Contribution Plan › Section 8405 - Mandatory pickup participant contributions

§ 8405. Mandatory pickup participant contributions.
(a) Treatment for purposes of IRC § 414(h).--
The contributions to the trust required to be made under section 8404(a) (relating to participant contributions) with respect to school service rendered by an active participant shall be picked up by the employer and shall be treated as the employer's contribution for purposes of IRC § 414(h). After the effective date of this section, an employer employing a participant in the plan shall pick up the required mandatory participant contributions by a reduction in the compensation of the participant.
(b) Treatment for other purposes.--
For all other purposes under this part and otherwise, mandatory pickup participant contributions shall be treated as contributions made by a participant in the same manner and to the same extent as if the contributions were made directly by the participant and not picked up.
2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 24 - EDUCATION › Chapter 84 - School Employees' Defined Contribution Plan › Section 8406 - Employer defined contributions

§ 8406. Employer defined contributions.
(a) Contributions for service.--
The employer of a participant shall make employer defined contributions for service of an active participant that shall be credited to the active participant's individual investment account. Employer defined contributions must be recorded and accounted for separately from participant contributions.
(b) Contributions resulting from participants reemployed from USERRA leave.--
When a school employee reemployed from USERRA leave makes the mandatory pickup participant contributions permitted to be made for the USERRA leave, the employer by whom the school employee is employed at the time the participant contributions are made shall make whatever employer defined contributions would have been made under this section had the employee making the participant contributions after being reemployed from USERRA leave continued to be employed in the employee's school position instead of performing USERRA leave. The employer defined contributions shall be placed in the participant's individual investment account as otherwise provided by this part.
(c) Limitations on contributions.--
No contributions shall be allowed that would cause a violation of the limitations related to contributions applicable to governmental plans contained in IRC § 415 or in other provisions of law. In the event that any disallowed contributions are made, any employer defined contributions in excess of the limitations and investment earnings thereon shall be refunded to the employer by the board.