Reminder: Florida Retirement System 2012 Legislative Changes
Further to the announcement posted in eStatements on April 30, 2012, this is a reminder that the 2012 Florida Legislature enacted House Bill 5005 which established the FRS employer contribution rates and the State Community College Optional Retirement Program (SCCORP) employer contribution rates for the 2012-2013 plan year. Governor Scott signed HB 5005 into law on April 20, 2012. All changes will be effective July 1, 2012.
FRS Pension and Investment Plan
Employees will continue to contribute 3% of gross compensation and FRS employers will contribute a percentage of the total gross compensation regardless of which FRS plan is selected. The employer contribution rate increased slightly for 2012-2013 and the new rates can be viewed at FRS Important Notice on 2012 Legislation. Although the contribution rates are the same for members under both plans, the 2012 Legislation requires that the amount allocated to the FRS Investment Plan members’ accounts be reduced for salaries reported on or after July 1, 2012. The new allocation rates for the FRS Investment Plan can be viewed at FRS Important Notice on 2012 Legislation.
State Community College Optional Retirement Program (SCCORP)
The required employee contribution rate remains at 3%. The 2012 Legislation requires that the employer contribution for SCCORP decrease from 7.43% to 5.15%. More information can be found at FRS Important Notice on 2012 Legislation.
To view additional changes and get answers to frequently asked questions regarding 2012 Legislation please visit: www.myfrs.com.
For any other questions, please contact Tracy Reynolds at email@example.com.