12
Retirement System— Questions and Answers
1. Q. Who of the State employees will
become members of the Retirement
System?
A. Membership is compulsory for any
employee in the State service on July
1, 1946 or who enters the State ser
vice thereafter except the following
who are excluded:
(a) An employee whose position nor
mally requires less than 600 hours
of service per year;
(b) An employee enrolled as full
time student; also inmates of state
institutions;
(c) An employee who is an inde
pendent contractor;
(d) An employee holding an elective
office or an appointive office with
a fixed term. (Such an employee
may become a member by giving
the Retirement Board' w ritten no
tice of his desire to become a mem
ber.)
Membership. is not compulsory for
the following:
An employee who has already com
menced to purchase a retirement
annuity and its adequacy and ac
ceptability1 are determined by the
employer a n d t h e- Retirement
Board. Agreements for employer
contributions may be made.
1. A. Q. It seems to me as unfair to be
compelled to contribute to the Re
tirement Fund?
A. Yes, that is one way to look at it.
However, if a bank or other savings
institution promised to match every
dollar you deposited with them would
you refuse such an offer?
2. Q. Are temporary employees eligible
' for .membership?
A. Yes, if their position normally re
quires over 600 hours of service per
•year. .
3. Q. Is a person who receives a pension
from another governmental agency
for service previously rendered, but
who is now employed by the State,
eligible for membership? ...
A. Yes, the pension he receives from
another governmental agency is for
service before becoming a State em
ployee. Any retirement allowance he
may receive from the State will be
for service rendered to the State.
4. Q. When do the present State em
ployees become members?
A. July 1, 1946.
5. Q. Are persons who will not hold
civil service status eligible for mem
bership?
A. Yes, the retirement law does not dif
ferentiate between the classified or
unclassified service, regular or con
ditional employees, or any other civil
service or non-civil service status.
6. Q. From what source will the Retire
ment System receive its income?
A. The income is made up of contribu
tions from members of the System,
from the employers, and from reve
nue from invested funds.
7. Q. W hat contributions will be made
by the members and how are they
. . made?
A. The members will contribute on the
rates recently published and adopted
by the Retirement Board. Employees
rates contain no loading for disability
benefits, as this cost is . provided in
employers rate. Rates are designed to
provide the disability retirement al
lowance or a total service retirement
allowance as provided in the law.
The . contributions will be deducted
on Departmental payrolls and sent
by Departmental Accounting offi
cers to the Retirement Board together
with the amount of each employee’s
contribution and the employer’s con
tribution.
8. Q. W hy are the rates higher for
women than for men at the same age?
A. Life insurance statistics gathered
over more than 100 years prove that