reglab/statecodes huggingface dataset:
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.330 - Duplicate Service Credit

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				Credit will be denied those members who elect to receive or have received a
				monthly retirement allowance based on the same service used for pension
				purposes in another public, statutory retirement system other than Social
				Security or a military retirement allotment.
b) When it is established by receipt of
				written certification from a prior employer or another retirement system that
				an annuitant has used service credited in this System for pension purposes in
				another public, statutory retirement system, the duplicated credit will be
				removed from his or her record in this System, and his or her retirement
				allowance will be reduced accordingly. The System shall assert an offset in
				accordance with Section
				1650.595 for any
				additional benefits paid as a result of such overpayment, against future
				benefits to be paid the annuitant or his or her beneficiaries.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.335 - Unreported Regular Service Credit and Earnings

Current through Register Vol. 48, No. 28, July 12, 2024
If an employer fails to report a member's regular service
				  credit and earnings for a period of teaching and, at the time of the discovery
				  of the error, more than four fiscal years have elapsed since the fiscal year in
				  which the error occurred, the member will be required to:
a) provide sufficient documentation (e.g.,
				official school records) to establish the unreported service credit and
				earnings; and
b) pay the
				contributions required by Section 16-128(a)(i) and (iii) of the Illinois
				Pension Code to purchase optional service credit under Section 16-127(b)(2) of
				the Code.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.340 - Service Credit for Out-of-System Service and Leaves of Absence

Current through Register Vol. 48, No. 28, July 12, 2024
a) Granting
				Out-of-System Service
1) For purposes of
				granting out-of-system service as provided in Section 16-127(b)(2) of the Code,
				once the statutory minimum service requirement has been met, the member may
				purchase the portion of out-of-system service available at the time of purchase
				based on total creditable service years, provided one of the following
				conditions are met:
A) If a refund from the
				other system is available to the member, that refund must be taken prior to the
				purchase of the out-of-system service; or
B) If the member is unable to take a refund
				from the other system, the member must be ineligible for a benefit from that
				system.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.341 - Service Credit for Involuntary Layoffs

Current through Register Vol. 48, No. 28, July 12, 2024
a) An involuntary layoff occurs when a
				member's employment is terminated as result of a reduction in force due to lack
				of funding, lack of work, an elimination of position, or a material
				reorganization.
b) Involuntary
				layoffs shall not include non-renewals of employment unrelated to reasons set
				forth in subsection (a) or dismissals for cause or other performance related
				reasons.
c) To receive service
				credit for an involuntary layoff, a member must be re-employed in a contractual
				teaching position under this System or the State Universities Retirement System
				for the creditable period of the layoff or one year, whichever is
				less.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.342 - Service Credit for Paid Student Teaching Service

Current through Register Vol. 48, No. 28, July 12, 2024
For purposes of determining eligibility to receive optional
				  service credit for paid student teaching service under Section 16-127(b)(11) of
				  the Code, the member must:
a) Have
				rendered the paid student teaching service on or after August 7, 2019, the
				original effective date of
				105 ILCS
				5/24-8.5 of the School Code, authorizing school
				districts to pay salary for student teaching service;
b) Provide sufficient documentation
				acceptable to the System, for example, official school records, to establish
				the paid student teaching service credit and earnings; and
c) Pay the contributions required under
				Section 16-128 of the Code to purchase optional service credit.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.345 - Service Credit for Periods Away From Teaching Due to Pregnancy

Current through Register Vol. 48, No. 28, July 12, 2024
a) Service credit
				of up to three years shall be granted for periods beginning prior to July 1,
				1983, during which a teacher ceased covered employment due to pregnancy. The
				maximum lifetime amount of credit available for any type of leave of absence,
				including pregnancy related absences, is 3.000 years. Type of leave of absences
				include pregnancy, leave of absence, involuntary layoff, and
				adoption.
b) For purposes of
				determining eligibility to receive optional service credit under the provisions
				of
				40
				ILCS 5/16-127(b)(5)(iii), the
				following definitions shall apply:
1)
				"Pregnancy" shall mean the period beginning at the moment of conception and
				continuing through termination of the pregnancy or delivery of the
				child.
2) "Due to pregnancy" shall
				mean due to the state of being pregnant and recovery therefrom due to the
				termination of a pregnancy or due to the delivery of a child.
3) "Covered employment" means employment in a
				position requiring membership contributions to the System as a condition of
				employment.
4) "Teaching service
				creditable under this System or the State Universities Retirement System" means
				employment in a position requiring membership contributions to the System or
				the State Universities Retirement System as a condition of
				employment.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.346 - Service Credit for Periods Away From Teaching Due to Adoption

Current through Register Vol. 48, No. 28, July 12, 2024
a) Service credit
				of up to three years shall be granted for periods beginning prior to July 1,
				1983, during which a teacher ceased covered employment for the purpose of
				adopting an infant under three years of age or caring for a newly adopted
				infant under three years of age. The maximum lifetime amount of credit
				available for any type of leave of absence, including pregnancy related
				absences, is 3.000 years. Type of leave of absences include pregnancy, leave of
				absence, involuntary layoff, and adoption.
b) For purposes of determining eligibility to
				receive optional service credit under the provisions of
				40
				ILCS 5/16-127(b)(5)(iv), the
				following definitions shall apply:
1) "Ceased
				covered employment" shall mean the submission of a resignation that terminated
				employment in a position requiring membership contributions to the System as a
				condition of employment.
2) "For
				the purpose of adopting an infant under three years of age" shall mean the
				termination of covered employment:
A) To meet
				the requirements of an adoption agency or similar entity resulting in the
				adoption of an infant who is under the age of three at the time the member
				terminates covered employment;
B)
				To formally commence judicial or administrative proceedings to adopt an infant
				who is under the age of three at the time the adoption proceedings were
				initiated; or
C) To care for an
				infant under the age of three while an adoption proceeding is ongoing which
				results in the adoption of the infant.
3) "Caring for a newly adopted infant under
				three years of age" shall mean providing care to an adopted infant of less than
				three years of age when the interruption of service begins within 180 days
				after the court order declaring the member the adoptive parent of such an
				infant.
4) "Teaching service
				creditable under this System or the State Universities Retirement System" means
				employment in a position requiring membership contributions to the System or
				the State Universities Retirement System as a condition of
				employment.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.350 - Service Credit for Unused Accumulated Sick Leave Upon Retirement

Current through Register Vol. 48, No. 28, July 12, 2024
a) To be creditable
				for retirement purposes, sick leave days must actually be available for use by
				a member in the event of illness. Service credit is not available and shall not
				be computed for sick leave days added to the record of a member for the purpose
				of increasing a member's retirement service credit. To determine if any sick
				leave days granted by an employer in excess of the member's normal annual sick
				leave allotment during a member's final years of employment are actually
				available for use and reportable to the System as service credit, the System
				shall apply the following formula:
1) from the
				date upon which the sick leave days were granted, the number of days remaining
				in the school term or the member's employment agreement, whichever is greater,
				until termination shall be determined;
2) from the resulting number of days the
				System shall subtract the number of sick leave days previously accrued by the
				member; and
3) the difference is
				the maximum number of sick leave days that may be reported in addition to those
				days previously accrued, provided that the employer will allow the member to
				use those days in the event of illness prior to termination.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.351 - Employer Contribution for Excess Sick Leave

Current through Register Vol. 48, No. 28, July 12, 2024
a) The phrase "normal annual sick leave
				allotment" shall mean the amount of annual sick leave granted by a TRS employer
				under a collective bargaining agreement, contract or employment policies,
				including any business, personal or other non-vacation leave days that may be
				used as sick leave.
b) If an
				employer grants sick leave days in excess of the normal annual sick leave
				allotment as defined in subsection (a) in the last four school years prior to
				retirement, the employer is subject to the employer contribution provided in
				Section 16-128(d-10) of the Code.
c) The employer contribution required in
				Section 16-128(d-10) shall be computed as follows:
The member's highest salary rate reported by the granting
				  employer during the four-year sick leave review period in subsection (c) x the
				  total normal cost rate (the employer's normal cost as defined in Section
				  1650.183
				  plus the member contribution required under Section 16-152 of the Code)
				  applicable to the last fiscal year of contributing service x the portion of
				  sick leave service credit attributed to sick days in excess of the normal
				  annual allotment granted by that specific employer = employer's
				  contribution.
d) If more
				than one employer in the last four school years prior to retirement grants sick
				leave days in excess of the normal annual sick leave allotment, the
				contribution from each employer will be determined from sick leave days granted
				earliest to latest.
e) An award of
				sick days as part of a retirement incentive shall not constitute a normal
				annual sick leave allotment.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.355 - Purchase of Optional Service - Required Minimum Payment

Current through Register Vol. 48, No. 28, July 12, 2024
The required minimum payment upon a member's outstanding
				  optional service account balance shall be $50.00 or the balance due, whichever
				  is less.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.360 - Settlement Agreements and Judgments

Current through Register Vol. 48, No. 28, July 12, 2024
a) In the event a member and employer enter
				into a settlement agreement to resolve employment issues which affect service
				and earnings credit, the following provisions shall govern the computation of
				creditable service and the reporting of creditable earnings.
b) To ensure the reportability of service and
				earnings credit in settlement agreements covering a retroactive time period,
				the settlement agreement must contain the following:
1) the time period for which the member would
				have received salary or service credit;
2) a statement the settlement is an award of
				back salary; and
3) the amount of
				salary the member would have been paid during the period covered by the
				settlement agreement had the employment issue not arisen.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.390 - Independent Contractors

Current through Register Vol. 48, No. 28, July 12, 2024
Any individual claiming to be an independent contractor
				  exempt from System membership or the post-retirement work limits governing
				  annuitants as set forth in
				  40 ILCS 5/16-118 must
				  file Form SS-8 (Determination of Employee Work Status for Purposes of Federal
				  Employment Taxes and Income Tax Withholding) with the Internal Revenue Service
				  (IRS) seeking confirmation of independent contractor status. An IRS Form SS-8
				  independent contractor determination must be filed with the System before an
				  individual can be considered to be exempt from System membership or Article 16
				  post-retirement work limits.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.391 - Optional 2.2 Upgrade of Earned and Credited Service

Current through Register Vol. 48, No. 28, July 12, 2024
a) Electing to upgrade.
1) A member's 2.2 upgrade cost becomes fixed
				on the date the member elects to upgrade and remains fixed until the expiration
				of the 60-month period commencing on the August 15 following election or full
				payment of the upgrade cost, whichever is first. The 60-month period will be
				extended due to suspension of a payroll deduction agreement as provided in
				Section
				1650.1202(d).
2) Once a member has elected to upgrade his
				or her service credit in accordance with Section 16-129.1 of the Illinois
				Pension Code [40 ILCS 5/16-129.1], the member is prohibited from electing
				another upgrade until the fixed cost period described in subsection (a)(1) for
				the upgrade election has expired.
3) After filing an upgrade election, a member
				may upgrade any optional or refunded service added to the member's service
				credit record within the period provided in subsection (a)(1) at the same
				salary rate used to determine the original upgrade cost, provided the
				additional service is purchased within the same five-year period.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart D - MEMBERSHIP AND SERVICE CREDITS › Section 1650.392 - 2.2 Upgrade of Optional Service Not Credited at Initial Upgrade

Current through Register Vol. 48, No. 28, July 12, 2024
a) This Section
				shall apply only to a member who has elected to upgrade the graduated rate
				applicable to all of the member's years of service earned and credited before
				July 1, 1998, pursuant to Section 16-129.1 of the Pension Code [40 ILCS
				5/16-129.1] and 80 Ill. Adm. Code
				1650.391
				and who has less than 20 years of service earned and credited before July 1,
				1998.
1) A member participating in a pre-July
				1, 1998 service upgrade may upgrade any optional service credit added within
				the 5-year period provided in Section 16-129.1(b)(ii) at the same salary rate
				as that of the original upgrade, provided that the added optional service
				upgrades are paid off within the 5-year period.
2) The effective period of the election shall
				begin as of the date on which the election is received by the System and shall
				end upon the expiration of a 60-month period commencing on the August 15
				following the date of election or payment in full, whichever is first. The
				60-month period will be extended due to suspension of a payroll deduction
				agreement as provided in Section
				1650.1202(d).
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.410 - Return of Contributions for Duplicate or Excess Service

Current through Register Vol. 48, No. 28, July 12, 2024
a In the event contributions to the System
				are made in error for service covered by another public employee pension system
				in Illinois, such contributions shall be returned to the member.
b If a member contributes to the System for
				optional teaching service, but is unable to claim all of this service at the
				date of retirement or death because the service is determined to be excess
				service, then the contributions for such excess service or a portion thereof
				may upon request be returned to the member or the member's beneficiaries.
1 The term "excess service" shall mean that
				period of service exceeding the amount of service allowed to be purchased under
				Section 16-127(b)(2) [40
				ILCS 5/16-127(b)(2) ].
2 The return of contributions under
				subsection (b) shall be limited to the amount attributable to the purchase of
				optional service under Section 16-127 [40
				ILCS 5/16-127 ].
3 No interest shall be payable upon the
				amount returned.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.415 - Return of Optional Increase in Retirement Annuity Contributions

Current through Register Vol. 48, No. 28, July 12, 2024
a) A member who has
				made contributions toward the optional increase in retirement annuity provided
				in 40 ILCS 5/16-129.1, and who determines such optional annuity increase is not
				in his or her best financial interest, may elect at retirement not to qualify
				for such increase in annuity and request a return of the member's optional
				increase in retirement annuity contributions from the System.
b) Upon such request, the member's optional
				increase in retirement annuity contributions will be returned to the member
				without interest.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.416 - Optional Increase in Retirement Annuity - 1% Contribution Reduction

Current through Register Vol. 48, No. 28, July 12, 2024
a) Section
				16-129.1(b) of the Pension Code [40 ILCS 5/16-129.1(b)] entitles a member who
				chooses to upgrade creditable service accrued prior to July 1, 1998 to the 2.2
				% level established by Section 16-133(a)(B)(1) of the Code to a reduction in
				the cost of the upgrade. The reduction shall equal 1% of the salary used to
				calculate the contribution required for the upgrade for each 3 years of regular
				creditable service earned after June 30, 1998. The System will calculate this
				reduction at the time of retirement, when the number of years of post-June 30,
				1998 service is known, and refund that amount to the member.
b) If a member has upgraded creditable
				service to the 2.2% level more than once (i.e., an upgrade of regular service
				credit and a subsequent purchase and upgrade of optional service credit) at
				times when different salary rates were used in determining the contribution
				required for the individual upgrades, the System will calculate the reduction
				by the following formula:
* the number of years of creditable service after June 30,
				  1998
* divided by 3 (omitting any fractional period)
* divided by the number of years of upgraded service
* multiplied by the member's total upgrade
				  contribution
EXAMPLE:
A member has 15 years of pre-July 1, 1998 service and chooses
				  to upgrade that service to the 2.2% flat formula on August 15, 1998. The cost
				  of the upgrade is determined as follows:
$50,000 (highest salary of the 4 years prior to 1998) x 1% =
				  $500 x 15 years = $7500
The $7500 cost is paid in full by August 15, 2003 as required
				  by Section 16-129.1(b) of the Code.
In early 2006, the member purchases 5 years of pre-July 1,
				  1998 optional service credit and must upgrade that past service to the 2.2%
				  level as well. The cost to upgrade the 5 years of optional service credit is
				  determined as follows:
$60,000 (highest salary of the 4 years prior to 2006) x 1% =
				  $600 x 5 years = $3000
The $3000 cost is paid in full by the retirement date.
The member retires late in 2008, having accumulated 10 years
				  of service between July 1, 1998 and the date of retirement. The reduction to be
				  refunded to the member is determined as follows:
10 years of service
/ 3 = 3% reduction (fractional period deleted)
/ 20 years of service credit upgraded = 15%
x $10,500 (total upgrade cost: $7500 + $3000)
= $1575
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.417 - Mandatory Distributions Pursuant to Section 401(a)(9) of the Internal Revenue Code

Current through Register Vol. 48, No. 28, July 12, 2024
When the System is required to make a mandatory distribution
				  pursuant to section 401(a)(9) of the Internal Revenue Code and the member is
				  eligible to receive either a single-sum benefit under
				  40 ILCS
				  5/16-136.4 or a refund under
				  40 ILCS 5/16-151, but
				  fails to make the required election, the member shall be deemed to have elected
				  a single-sum benefit under Section 16-136.4 of the Code.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.450 - Compensation Recognized As "Salary"

Current through Register Vol. 48, No. 28, July 12, 2024
a) "Salary" means any form of creditable
				compensation received by a member in consideration of services rendered as a
				teacher, subject to all applicable limits and restrictions imposed on qualified
				plans under the Internal Revenue Code. "Salary" directly related to specific
				work performed during a school year is recognized on an accrual basis. Other
				creditable compensation is recognized on a cash basis. The System reserves the
				right to determine the year of salary recognition. The following common
				examples are for illustration only and do not limit the System's right to
				evaluate and determine other forms of creditable and non-creditable
				compensation.
b) Examples of
				creditable compensation recognized as "salary":
1) The gross amount of compensation earned or
				accruing to the member during the school year in a function requiring
				certification as a teacher.
2)
				Additional compensation earned during the school year for the performance of
				extra duties, not requiring teacher licensure, but which involve the
				supervision of students or are related to the academic program, provided the
				member has established active service credit with the System in the same school
				year.
3) The amount of back salary
				awarded to a member as a result of a settlement or judgment obtained due to a
				disputed dismissal, suspension or demotion. Court costs, attorney's fees, other
				compensatory damages and punitive damages shall not be reportable as salary.
				The back salary amount reported to the System under this Section shall be equal
				to the amount the member would have earned had the dispute not occurred,
				regardless of the actual amount paid.
4) Lump-sum payments (e.g., retirement
				incentives, bonuses, payments for unused vacation and sick days) becoming due
				and payable to the member prior to or concurrent with receipt of final paycheck
				for regular earnings or last paid day of work, whichever occurs last.
5) Contributions made by or on behalf of the
				member to qualified deferred compensation plans (sections 401(a) and 457(b) of
				the Internal Revenue Code), salary reduction plans or tax sheltered annuities
				under section 403(b) of the Internal Revenue Code.
6) Amounts that would otherwise qualify as
				salary under subsections (b)(1) through (b)(5) but are not received directly by
				the member because they are used to finance benefit options in a flexible
				benefit plan; provided, however, that to be reportable, a flexible benefit plan
				cannot include non-qualifying deferred compensation. For the System's purposes,
				a flexible benefit plan is an option offered by an employer to its employees
				covered under the System to receive an alternative form of creditable
				compensation in lieu of employer-provided insurance.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.451 - Reporting of Conditional Payments

Current through Register Vol. 48, No. 28, July 12, 2024
Payments that are conditioned upon the occurrence of a future
				  event (e.g., retirement) shall be reported in the school year paid to the
				  member. However, if the condition upon which payment is predicated does not
				  occur and the payment is repaid to the employer, an adjustment is required to
				  remove the payment from the school year in which the payment was originally
				  reported.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.460 - Calculation of Average Salary

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				The member's annual salary rate shall be used by the System when calculating
				average salary. If a member has a full year of service credit and the annual
				salary includes leave of absence earnings and substitute earnings or part-time
				noncontractual earnings, the annual salary rate for average salary purposes
				will never be less than the salary rate the leave of absence earnings is based
				upon. If a member receives less than one year of service credit in any school
				year, salary shall consist of creditable earnings.
b) The highest four consecutive school years
				of service within the last ten years of creditable service shall be deemed the
				four highest consecutive credit years posted to the member's account. Provided,
				however, if a member is credited with less than one school year, the System
				shall use partial consecutive years to establish four consecutive years of
				salary.
c) For average salary
				calculation purposes, a school year is the period July 1 to the following June
				30.
d) When a member's employer
				consolidates or annexes with another employer, the consolidation or annexation
				shall not constitute a change of employer and the average salary shall be
				computed as though all salary were earned under the same employer.
e) Where there are creditable earnings for
				less than a full year of service credit, and those earnings are used in the
				calculation of the average salary, the annual salary rate for those earning is
				considered in the calculation of any member and employer contributions under
				Sections 16-133.2, 16-133.3, 16-133.4 and 16-133.5 of the Act.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.470 - Rollover Distributions

Current through Register Vol. 48, No. 28, July 12, 2024
a) An
				eligible recipient entitled to receive a refund of contributions, lump-sum
				benefit, or other nonperiodic distribution from the System may elect, subject
				to the provisions of this Section, to have all or a portion of the distribution
				paid in a direct rollover from the System to an eligible retirement plan
				designated in writing by the eligible recipient; provided, however, that any
				portion thereof which is a required distribution pursuant to any applicable
				provision of the Internal Revenue Code is not payable in a direct rollover. A
				distribution made to correct a failed nondiscrimination test or because legal
				limits on certain contributions were exceeded cannot be rolled over.
b) If the distribution from the System is
				less than $200, it is not payable in a direct rollover.
c) If the distribution from the System is at
				least $200 but less than $500, the entire sum must either be paid in a single
				direct rollover or to the eligible recipient.
d) If the distribution is greater than $500,
				the eligible recipient may have a portion thereof paid to him or her and the
				balance paid in a direct rollover; provided, however, that the direct rollover
				must be at least $500.
e) Multiple
				direct rollovers from the System to more than one eligible retirement plan are
				not allowed.
f) An "eligible
				retirement plan" for purposes of this Section means:
1) A plan described in
				26 USC
				402(c)(8)(B), which
				includes:
A) An individual retirement account
				described in
				26 USC
				408(a);
B) An individual retirement annuity described
				in
				26 USC
				408(b) (other than an
				endowment contract);
C) A qualified
				trust under
				26 USC
				401(a);
D) An annuity plan described in
				26 USC
				403(a);
E) An eligible deferred compensation plan
				described in
				26
				USC 457(b) that is
				maintained by an eligible employer described in
				26
				USC 457(e)(1)(A);
F) An annuity contract described in
				26 USC
				403(b); and
G) Pursuant to
				26 USC
				408 A(c)(6) and (e)(1), a Roth IRA as defined
				in
				26 USC
				408 A(b).
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.480 - Rollovers to the System

Current through Register Vol. 48, No. 28, July 12, 2024
a) The
				System will accept rollovers to purchase optional service credit, repay
				refunds, or pay any other employee contribution authorized by Article 16 of the
				Pension Code [40 ILCS 5 /Art. 16].
b) Members are required to establish an
				account or accounts receivable with the System prior to initiating a rollover.
				The amount of the rollover cannot exceed the amount due the System.
c) The System will accept member rollover
				contributions and/or direct rollovers of distributions as defined in
				26 USC
				402(f)(2)(A).
d) Prior to accepting a rollover, the System
				may require the member to establish that the amounts to be transferred to the
				System meet the requirements of this Section, and may also require the member
				to provide an opinion of counsel satisfactory to the System that the amounts to
				be transferred meet the requirements of this Section.
e) The System's acceptance of a rollover
				shall be subject to any applicable regulations, procedures, or other guidance
				issued by the Internal Revenue Service.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.481 - Employer Contribution Required for Salary Increases in Excess of 6% or 3%

Current through Register Vol. 48, No. 28, July 12, 2024
a) The employer
				contribution required under
				40 ILCS
				5/16-158(f) will be determined as
				follows:
1) Calculate the member's monthly
				benefit using salaries as reported, excluding that part of the member's salary
				that exceeds the member's annual full-time salary rate with the same employer
				for the preceding year by more than 20%.
2) Calculate the member's monthly benefit
				using salaries as reported, excluding that part of the member's salary that
				exceeds the member's salary with the same employer for the preceding year by
				more than 6%.
3) Subtract (a)(2)
				from (a)(1).
4) Multiply (a)(3) by
				a Monthly Benefit Factor for the member's exact age at the retirement date. The
				Monthly Benefit Factors are based on the actuarial assumptions of the System
				for life expectancy and investment return as determined by the System's
				actuaries pursuant to
				40 ILCS
				5/16-176.
5) If a member's monthly benefit is
				calculated pursuant to
				40 ILCS
				5/16-133(a), this Section will not
				apply.
6) If there is more than one
				employer during the final average salary period, each employer will pay its
				respective contribution based on salary increases granted by that employer in
				excess of 6%.
7) If the member's
				benefit is increased as a result of applying the provisions of Section 20 of
				the Retirement Systems Reciprocal Act [ 40 ILCS 5/20 ], no additional employer
				contribution will be due.
8) If the
				member's benefit is reduced as a result of applying proportional reductions
				required by 40 ILCS 5/20-124, no employer
				contribution will be assessed for any salaries attributable to any reciprocal
				employment used in the calculation.
9) If the average salary is calculated using
				salary earned through employment covered by another participating system under
				40 ILCS 5/20, no employer will be assessed for any salaries attributable to
				that employment.
10) The member's
				salary for any school year used to determine final average salary shall be
				excluded for purposes of determining the employer contribution required for
				salary increases in excess of 6% in any year in which the member's creditable
				earnings are less than 50% of the preceding year's mean salary for downstate
				teachers as determined by the survey of school district salaries provided in
				Section 2-3.103 of the School Code.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.482 - Contracts and Collective Bargaining Agreements - Loss of Exemption from Employer Contributions

Current through Register Vol. 48, No. 28, July 12, 2024
A contract or collective bargaining agreement shall lose its
				  exemption from employer contributions under
				  40 ILCS
				  5/16-128 (d-10), 16-158(f), and/or 16-158(f-1) upon
				  the following:
a) An increase in an
				existing salary or sick leave retirement incentive or the addition of a new
				salary or sick leave retirement incentive.
b) A renegotiated increase in salary
				(excluding employer payment of the .40% of salary toward the cost of the early
				retirement without discount option under
				40 ILCS
				5/16-152(a)(4) ) or sick leave unless
				specifically provided for in a salary reopener provision in the contract or
				collective bargaining agreement or as permitted in Section
				1650.483(c).
c) Failure to follow the retirement incentive
				age, service, notification or payment provisions contained in the contract,
				collective bargaining agreement or policy.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.483 - Employer Contributions for Salary Increases in Excess of 6% or 3% and Excess Sick Leave - Exemption from Contributions

Current through Register Vol. 48, No. 28, July 12, 2024
a) The exemptions from employer contributions
				provided under 40 ILCS 5/16-128 (d-10) and
				40 ILCS
				5/16-158(f) for those members who
				notify their employer of the intent to retire under the terms of an exempt
				contract or collective bargaining agreement but do not receive the retirement
				incentives until after the expiration of the contract or collective bargaining
				agreement shall cease no later than three school years after the expiration of
				the contract or collective bargaining agreement or June 30, 2011, whichever is
				earlier.
b) The exemptions from
				employer contributions provided under
				40 ILCS
				5/16-158 (f-1) for those members who notify their
				employer of the intent to retire under the terms of an exempt contract or
				collective bargaining agreement but do not receive the retirement incentives
				until after the expiration of the contract or collective bargaining agreement
				shall cease no later than four consecutive school years after the expiration of
				the contract or collective bargaining agreement.
c) If a contract or collective bargaining
				agreement terminates or is amended during the school year, for the purpose of
				calculating the employer contribution:
1) If
				the contract or collective bargaining agreement expires July 1 through December
				31, the System will consider the expiration date to be the last day of the
				prior fiscal year.
2) If the
				contract or collective bargaining agreement expires January 1 through June 29,
				the System will consider the expiration date to be the last day of the current
				fiscal year.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.484 - Members Not Covered by Collective Bargaining Agreements or Employment Contracts

Current through Register Vol. 48, No. 28, July 12, 2024
a) For
				members not covered by collective bargaining agreements or employment
				contracts, the System will accept employment policies as evidence of a
				contractual agreement under which salary increases paid and sick leave granted
				shall be exempt from employer contributions under
				40 ILCS
				5/16-128 (d-10) and 16-158(f), provided those policies
				were in effect prior to June 1, 2005.
b) Employees operating under employment
				policies will be deemed to be employed under a one school year contract for
				exemption from employer contribution purposes under
				40 ILCS
				5/16-128 (d-10) and 16-158(f) unless the salary
				increases and/or granting of sick leave under the policy are governed by
				provisions in the employer's collective bargaining agreement, in which case the
				employer exemption shall end at the same time the exemption ends for that
				collective bargaining agreement.
c)
				For members not covered by collective bargaining agreements or contracts, the
				System will accept employment policies in effect prior to June 4, 2018 as
				evidence of a contractual agreement under which salary increases paid shall be
				exempt from employer contributions under
				40 ILCS
				5/16-158 (f-1).
d) Payments made to employees operating under
				an employment policy in effect prior to June 4, 2018 will be exempt from the
				provisions of 40 ILCS 5/16-158 (f-1) if notice
				was provided as required by the employment policy prior to June 4, 2018 and
				payments are made pursuant to the term of the policy prior to June 30,
				2022.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.485 - Employer Contributions for Salary Increases in Excess of 6% or 3% - Receipt of Bill

Current through Register Vol. 48, No. 28, July 12, 2024
For purposes of determining the 30 day period to dispute the
				  amount of a bill for an employer contribution for salary increases in excess of
				  6% or 3% and the 90 day interest grace period provided in
				  40 ILCS
				  5/16-158(f) and 16 -158(f-1), an
				  employer shall be deemed to have received a bill for employer contributions on
				  the first day of the month following the bill date indicated on the
				  bill.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart E - CONTRIBUTION CREDITS AND PAYMENTS › Section 1650.486 - Employer Payment of Member's Optional Service, Refund and/or Upgrade Contribution Balance

Current through Register Vol. 48, No. 28, July 12, 2024
Once per school year, an employer may make a payment toward a
				  member's 2.2 upgrade, optional service and/or refund balance. The employer
				  contribution under this option may be picked up pursuant to section 414(h)(2)
				  of the Internal Revenue Code of 1986, as amended (
				  26 USC
				  414(h)(2) ), or paid on an
				  after-tax basis as certified by the employer. The employer shall certify to the
				  System whether the payment being made is done so on a tax-deferred or after-tax
				  basis by completing and returning the appropriate form with the payment.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart F - ANNUITANTS AND BENEFICIARIES › Section 1650.511 - Separation from Service

Current through Register Vol. 48, No. 28, July 12, 2024
a) Under
				the provisions of section 401(a) of the Internal Revenue Code (
				26 USC
				401(a) ), a member must
				"separate from service" to be eligible to receive a retirement benefit from the
				System.
b) To meet the "separation
				from service" requirement of the Internal Revenue Code, an annuitant cannot
				return to work with his or her last employer in a certified position unless:
1) Re-employment was not discussed nor
				arranged until 30 days after the annuitant's date of retirement.
2) The annuitant is not employed by the
				annuitant's last employer prior to 30 days after the annuitant's last day of
				contributing service. However, as provided in Section 16-118(a)(1) of the
				Pension Code [40 ILCS
				5/16-118(a)(1) ], an annuitant may
				not accept employment as a teacher during the school year in which the member
				terminated service.
3) The
				annuitant is employed no more than the limit provided in Section 16-118(a)(2)
				of the Pension Code in the school year following the school year in which the
				member terminated service.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart F - ANNUITANTS AND BENEFICIARIES › Section 1650.512 - Verification of Compliance with Post-Retirement Employment Limitations

Current through Register Vol. 48, No. 28, July 12, 2024
a) Section 16-118
				of the Pension Code [40 ILCS 5/16-118 ]
				sets forth the amount of time an annuitant is allowed to be employed as a
				teacher by employers specified in
				40 ILCS
				5/16-106.
b) To ensure compliance with the
				post-retirement employment limitations established in Section 16-118, upon
				demand of the System, annuitants are required to furnish the following:
1) A certification signed by the annuitant
				verifying that post-retirement employment limitations were not exceeded and
				acknowledging that the filing of a false certification is a Class 3 felony
				under Section 1-135 of the Pension Code.
2) Copies of the annuitant's federal income
				tax returns.
3) Other
				substantiating documentation, such as employment records, timesheets,
				etc.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart F - ANNUITANTS AND BENEFICIARIES › Section 1650.520 - Suspension of Benefits

Current through Register Vol. 48, No. 28, July 12, 2024
a) Monthly
				benefit payments may be suspended when four monthly warrants remain uncashed.
				The System shall notify the benefit recipient in writing of the suspension. To
				remove the suspension of benefits, the System may require the recipient to
				provide a valid depository agreement authorizing funds to be electronically
				deposited into the recipient's bank account in lieu of paper
				warrants.
b) Recipients of a
				non-occupational disability benefit, occupational disability benefit,
				disability retirement annuity, or monthly survivor benefit who fail to return
				documentation of continued eligibility within the specified time period shall
				have their monthly benefit payment suspended. Upon receipt of the required
				documentation and upon determination of continued eligibility, these and
				subsequent payments shall be made.
Illinois Administrative Code › Title 80 - PUBLIC OFFICIALS AND EMPLOYEES › Part 1650 - THE ADMINISTRATION AND OPERATION OF THE TEACHERS' RETIREMENT SYSTEM › Subpart F - ANNUITANTS AND BENEFICIARIES › Section 1650.530 - Power of Attorney

Current through Register Vol. 48, No. 28, July 12, 2024
a) Any
				annuitant or beneficiary receiving a monthly benefit through payment to his or
				her attorney-in-fact acting under a power of attorney shall be required to
				notify the System in writing that such power of attorney is in full force and
				effect, when reasonably requested to do so by the System. In default of such
				notice, payment to the attorney-in-fact shall be suspended until notice is
				received, whereupon payments will be resumed from the date of the last
				payment.
b) A member information
				and beneficiary designation (nomination of beneficiary) form may be signed by
				an attorney-in-fact, provided the attorney-in-fact is given specific power to
				execute a nomination of beneficiary form on behalf of the member or
				annuitant.
c) If a member or
				annuitant is not capable of signing the form, he or she may make a mark on the
				signature line if the mark is witnessed by two individuals who will not receive
				any benefit under the member information and beneficiary designation.