Contribution Rates and Appropriation Amounts Approved by INPRS Board: Small Funds Plan Members
By Dimitri Kyser - February 7, 2024
Updated 2/11/25:
The INPRS Board of Trustees approved employer contribution rates for several of INPRS’s plans during the Oct. 25, 2024, Board of Trustees meeting.
Total Contribution Rates Effective 1/1/2025 (Calendar Year 2026 [CY26])
| Fund | 2025 | 2026 (new) |
|---|---|---|
'77 Fund | 20.30% | 20.30% |
EG&C | 17.90% | 17.90% |
Appropriation Requests
These are the amounts that INPRS will request as part of the budgetary session in early 2025. The General Assembly will have the final word on how much is to be approved for each fund; these are the amounts to be requested.
| Fund | FY 2026 | FY 2027 |
|---|---|---|
JRS | $28,879,892 | $29,645,209 |
PARF | $5,128,038 | $5,263,931 |
LE DB | $6,113 | $6,113 |
LPSPR | $140,000,000 | $130,000,000 |
The JRS amount above includes an assumed $7,153,189 of court and docket fees. Although the actual amount may vary by a few dollars, it has been remarkably consistent year over year.
The distributions of LPSPRF (Pension Relief) are lower than in the prior biennium due to the falling expected benefit payment forecasts.
Supplemental Reserve Accounts
The INPRS Board approved the following surcharge rates for the supplemental reserve accounts effective Jan. 1 of each year.
| Fund | 2024 | 2025 | 2026 (new) |
|---|---|---|---|
EG&C | 1.00% | 1.00% | 1.10% |
The surcharge rate increase is capped at 0.1% of payroll per year per IC 5-10.5-4-8(c), which was part of HEA 1004-2024. The 2025 rates were approved in the April 2024 meeting, and the 2026 rates were approved at the October 2024 meeting.
- 2024
Updated 4/29/24: On Friday, April 26, 2024, the INPRS Board of Trustees voted to make the following employer rate changes effective January 1, 2025, as a result of the changes in House Enrolled Act (HEA) 1004 from the 2024 Indiana General Assembly legislative session.
Supplemental Reserve Accounts
The INPRS Board of Trustees approved the following surcharge rates effective January 1, 2025.
Fund 202320242025 (new) EG&C1.00%1.00%1.10% HEA 1004 made several changes to the supplemental reserve accounts and surcharge rates. It set new targets for the supplemental reserve account funding. HEA 1004 also removed the 1% cap on surcharge rates but instituted a limitation on how much they could increase (0.1% per year). As a result of these changes, all of the surcharge rates will increase 0.1%, and the INPRS Board made them all effective on January 1, 2025.
The INPRS Board of Trustees approved employer contribution rates for several of INPRS’s plans during the Oct. 27, 2023, Board of Trustees Meeting.
Total Contribution Rates Effective 1/1/2024 (Calendar Year 2024 [CY24])
Fund 20242025 (new)'77 Fund19.10%20.30%EG&C20.75%17.90%The ’77 rate increased largely due to liability losses driven by faster-than-expected salary growth, demographic experience, and asset losses. The EG&C rate decreased because the fund reached 95% funded, which according to the INPRS Funding Policy, allows the contribution rate to begin to decrease towards the Actuarially Determined Contribution.
Appropriation Requests
No appropriation requests were voted on at the board meetings because they were already set in the FY24 – FY25 budget passed by the General Assembly in early 2023. As a reminder, here are the amounts of those appropriations (from HEA 1001-2023).
Fund FY 2024FY 2025JRS
21,666,793
22,240,963
PARF
4,397,795
4,514,337
LE DB
745
745
LPSPR
152,500,000
152,500,000
JRS amount above includes an assumed $7,153,000 of court and docket fees. It may turn out to be a few dollars different when it really comes in, but it’s been fairly consistent year over year.
Supplemental Reserve Accounts
The INPRS Board approved the following surcharge rates for the supplemental reserve accounts starting Jan. 1, 2024.
Fund 20232024EG&C1.00%1.00%There were no changes at this time.