Why Did My Pension Contribution Increase?
New Rates Effective July 2018
Employees may have noticed changes in pension deductions on their final paycheck for July. The SCERS Board approved new contribution rates last year that took effect for July 2018. The specific rates vary based on retirement tier and labor agreement.
Rates increased largely due to changes in actuarial assumptions the SCERS Board approved last year, which took into account longer life expectancies of our members and a more conservative investment outlook. Every three years, the SCERS Board reviews the actuarial assumptions to ensure that funding remains on track to pay for benefits that our members have earned. Employees and employers both play a significant role in meeting the funding obligation.