Eligible Hoosier taxpayers to receive a tax refund thanks to surplus reserves
On December 15, 2021, Governor Eric J. Holcomb announced an estimated 4.3 million taxpayers will receive a $125 refund after they file their 2021 taxes.
“Despite a pandemic, Indiana exceeded all expectations and closed the state fiscal year with an unprecedented amount in reserves,” said Gov. Holcomb. “We have an obligation to put this money back in the hands of taxpayers instead of leaving it in the hands of government.”
An estimated $545 million will be returned to Hoosiers after taxpayers file their 2021 state taxes. The Governor is working with leaders of the General Assembly on legislation that will streamline the process and make an additional 910,000 taxpayers eligible for the credit. The typical taxpayer liability is approximately $1000. This payment represents a 12% – 13% one-time tax cut.
Once legislation passes, the Department of Revenue (DOR) will begin processing payments for taxpayers.
The form of taxpayer payments will be based on how the 2021 return was filed. Taxpayers who apply for an extension will receive the payment after filing their return.
DOR expects to complete refunds for taxpayers filing by April 18, 2022, by May 1, 2022. Once the details are finalized, DOR will provide additional information in 2022.
Source: Office of Governor Eric J. Holcomb
2021 INPRS Annual Report
INPRS’s most recent Comprehensive Annual Financial Report (Annual Report) is now available. Check out our financial performance, investment returns, membership data, and more for the fiscal year ended June 30, 2021.
Learn more about INPRS’s achievements, investment holdings, pension funds, and other interesting INPRS-related resources by reading our latest 2021 INPRS Annual Report. Interested in historical data, view prior Annual Reports, here.
Hello from INPRS staff member: Ben Obianozie
At INPRS, we have some incredible team members who make it an amazing institution to work at each day. From our investment analysts to our frontline representatives, our employees work hard to make members feel they are the highest priority and confident that their funds are secured.
One such employee that embodies INPRS's mission and vision is Senior Service Desk Analyst, Ben Obianozie. Read Ben's story and find out why his role helps support staff and members in realizing their retirement dreams.
"Hi, I'm Ben Obianozie. I've been with INPRS for nearly four years and currently serve as a Senior Service Desk Analyst. My family is Nigerian and are from the Igbo Tribe. I'm the oldest of four children, and I love basketball, football, video games, movies, and sneaker collecting."
When asked how his position directly impacts INPRS and its members, Ben stated, "By working with the service desk, I am able to assist the people [INPRS staff] who assist our members. We take care of our users' issues and requests. We're the IT group that keeps the ball rolling!"
Josh Jayne, Ben's supervisor, knows firsthand the importance Ben's role as a Service Desk Analyst is to the Service Desk team in assisting with INPRS's successful operations. "Ben has been a crucial piece to the Service Desk by processing requests, collaborating and defining processes. His technical knowledge helps us troubleshoot and resolve issues. He is a subject matter expert for systems that are essential for Advocate Teams to address member inquiries. Ben has had a great impact on members by keeping our team working and the technology running smoothly."
Rates approved by INPRS Board
The INPRS Board of Trustees approved employer contribution rates for several of INPRS’s plans during the Oct. 29, 2021, board meeting.
Total Contribution Rates Effective 1/1/2023 (Calendar Year 2023 [CY23])
| 2022 | 2023 (new) | |
|---|---|---|
| '77 Fund | 17.50% | See Below |
EG&C | 20.75% | 20.75% |
There were no changes to the approved total contribution rates from the prior valuation as seen with the EG&C membership plan. The '77 Fund rate was not yet approved. The Board deferred voting on the '77 Fund rate until no later than June 30, 2022.
Appropriation Requests
No appropriation requests were voted on at the board meetings because they were already set in the Fiscal Year 2022 to Fiscal Year 2023 budget passed by the General Assembly in early 2021. The amounts of those appropriations can be found by visiting, HEA 1001-2021.
FY 2022 | FY 2023 | |
|---|---|---|
| JRS | 17,563,696 | 18,046,703 |
| PARF | 4,044,194 | 4,155,409 |
| LE DB | 182,512 | 182,512 |
| LPSPR | 155,000,000 | 152,500,000 |
JRS amount above includes an assumed $7,153,000 of court and docket fees. The final amount may differ slightly, but it's been fairly consistent year over year. The Local Public Safety Pension Relief Fund (LPSPR) amount excludes its lottery revenue allocations ($30M).
Supplemental Reserve Accounts
The INPRS Board approved the following surcharge rates for the supplemental reserve accounts, starting Jan. 1, 2022:
2021 | 2022 (new) | |
|---|---|---|
EG&C | 0.85% | 0.94% |
All surcharge rates increased from 2021. This is driven in the short term by changes in economic assumptions from the asset-liability study. There are also slower, long-term demographic factors that increase the rates over time.
How to use your tax refund to build up your emergency fund
See what the CFPB suggests to kick-start your savings. Discover fast and easy ways to use your tax refund to increase your savings.
During tax season, there’s a lot to think about. Do you have the right forms? Where did you put those receipts? Did you do the math right? But there’s one more thing you should be thinking about: how you can use your tax refund to ramp up your emergency funds or reach other savings goals.
It may not seem like it but even a little extra cash in your pockets can be more than enough to start or increase your emergency savings funds. Find out how you can save money fast from the Consumer Financial Protection Bureau, read here.
Source: Consumer Financial Protection Bureau
The Consumer Financial Protection Bureau is an agency of the United States government responsible for consumer protection in the financial sector. As part of their mission, CFPB provides advice on how to use your tax refund to build your emergency fund. While INPRS does not adopt or endorse any of the recommendations made by the CFPB, we thought it possible you might find this information helpful.
Everyday wellness: Post-pandemic mega trends likely to stick
Even during immense loss, there were positives that came from staying at home all year. A cleaner environment, more time with families, for better or worse, more self-awareness and purposeful self-care of our mental health and well-being with a global reset on what matters.
There were also a lot of adaptations we all had to make. Home transformations and digital acceleration happened, while supply chains stumbled, and lifestyles changed for many good and bad. 2020 exposed many things such as systemic inequalities, wealth gaps, lack of American manufacturing, loss of employment and access to healthcare, and climate change. Virtual connections, e-commerce, working from home and virtual learning advanced.
Learn about the trends that are quickly becoming a part of everyday life and find out what that means for our societal and personal wellness. Read more from Voya, our record-keeping partners, here.
Source: Voya Financial
PARF members' Annual Member Statement (AMS) update
Members of the Prosecuting Attorneys’ Retirement Fund (PARF) who received the 2020-2021 Annual Member Statement (AMS) may have noticed an error that misstated the early retirement reduction as 0.1% instead of the correct 0.25%.
INPRS apologizes for any inconvenience this may have caused you. Future AMS statements will reflect the correct information.