The following definitions are given for the terms that are used in the PERS Membership section of the Employer Handbook. For additional terms, refer to the Handbook Glossary.
Benefit Multiplier is the percentage component of the calculation used with the number of service credit years, and the average final compensation to determine a retirement benefit amount.
Comparable Compensation refers to the compensation a disability retiree receives from an employer that makes him or her eligible to return to PERS membership when all conditions are met. DRS compares the retiree's current compensation to the compensation received prior to the disability retirement to determine comparable compensation.
Compensated employment means salaries or wages earned for hours of employment.
Eligible position is one that normally requires at least five months each year in which regular compensation is earned for at least 70 hours per month in each of two consecutive years.
Judges Benefit Multiplier Program (JBM) refers to an option for eligible PERS members who are justices and judges. Members who choose or are mandated into JBM have a higher retirement contribution rate, and a higher benefit multiplier is used in their retirement benefit calculation.
Normally, as used in the definition of an eligible position, means a position that requires at least five months each year in which regular compensation is earned for at least 70 hours in each of two consecutive years. Once a position is determined to be eligible, it will continue to be eligible if it requires at least five months of 70 or more hours of compensated service during at least one year in any two-year period.
Plan 1 refers to employees who established membership in the Public Employees Retirement System before October 1, 1977.
Plan 2 refers to employees who established membership in the Public Employees Retirement System on or after October 1, 1977. Since March 1, 2002, for state and higher education employees; and September 1, 2002, for local government employees, new PERS members have up to 90 days to choose Plan 2 or Plan 3 or they will default into Plan 3. For more detailed information, refer to chapter 8, Special Reporting For Plan 3 .
Plan 3 refers to:
For more detailed information, refer to chapter 8,Special Reporting For Plan 3.
Position refers to a group of duties and responsibilities normally assigned to an employee. A position may be filled or vacant, full time or part time, seasonal, temporary or permanent.
Year, as used in the definition of an eligible position, means any 12 consecutive month period established, and applied consistently, by an employer to evaluate the eligibility of a specific position. In the case of ongoing positions, the year used by the employer must be the same for all positions. In the case of a project or temporary position, the year used may be specific to the position. The term may include, but is not limited to, a school year, calendar year or fiscal year. Employers should document the 12-month period used to define a year for a given position; e.g., January through December, September through August, April through March, etc.