Employer Contribution Rate FAQs
TRF Hybrid Plan
The current rate is 6.0 percent and will remain at 6.0 percent through June 30, 2024.
It is anticipated that the total employer contribution rate for the TRF 1996 Hybrid Plan defined benefit (DB) will be increased to 6.5 percent during the INPRS Board of Trustees meeting on April 26, 2024. The new (proposed) TRF '96 DB total employer contribution rate will take effect on July 1, 2024.
TRF My Choice Plan
The current total employer contribution rate is 6.0 percent and will remain at 6.0 percent through June 30, 2024.
It is anticipated that the total employer contribution rate for the TRF My Choice plan will be increased to 6.5 percent during the INPRS Board of Trustees meeting on April 26, 2024. The new (proposed) TRF My Choice plan contribution rate will take effect on July 1, 2024.
PERF Hybrid Plan
The current composite rate is 11.2 percent and continues through June 30, 2025. As allowed by Senate Enrolled Act 549, this rate pertains to all PERF employers for fiscal years 2024 and 2025.
PERF My Choice Plan
The breakdown of the PERF 2024 contribution rate (for state of Indiana employers) of 11.2 percent is 3.7 percent for normal cost and 7.5 percent for amortization of the unfunded liability effective July 1, 2023, through June 30, 2024. Those rates for the state of Indiana plan will be 4.2 percent and 7.0 percent respectively from July 1, 2024, through June 30, 2025.
For Local Government (political subdivisions), employers choose how much to contribute to employee accounts, from 0 percent up to the normal cost of the fund. Beginning Jan. 1, 2024, the normal cost is 4.4 percent through Dec. 31, 2024. The rate as of Jan. 1, 2025, will be 4.2 percent through Dec. 31.
In addition, political subdivisions must make a supplemental contribution toward the fund’s actuarial unfunded liability. The contribution rate is 6.8 percent through Dec. 31, 2024, and will be 7.0 percent through Dec. 31, 2025.
Please note that the breakdown of the rate can change each year.
'77 Fund
The INPRS Board of Trustees voted in October 2022, to set the 2024 rate at 19.1 percent effective Jan. 1 through Dec. 31, 2024. The board also voted on Oct. 27. 2023 to set the 2025 rate at 20.30 percent from Jan 1. through Dec. 31, 2025.
Excise, Gaming and Conservation Fund
The current employer contribution rate is 20.75 percent and will remain the same in 2024. In 2025, the rate will be 17.90 percent from Jan. 1 through Dec. 31, 2025.
LE DC Plan
The 2024 employer contribution rate is 14.2 percent as of July 1, 2023, and will remain so in 2025, from July 1, 2024, to June 30, 2025.