HomeMy WebLinkAboutHandouts_Pension Public Safety_Tab 07_08/02/2010 Village of Tequesta Public Safety Officers' Pension Trust Fund
(Effective 07/01/2010)
Average Final Compensation: The final average salary consists of the highest 5 highest years of earnings,
each year consisting of 12 consecutive months, paid in the last 10 years of service. Earnings include base
pay, bonuses, career service annual award, holiday pay, incentives, ove�time, sick leave payout, sick leave
buyback, and straight time, but exclude car allowance, clothing allowance, and shoe/boot allowance.
Credited Service: Members receive credit for years and fractional parts of years of service, adjusted
for any breaks in service. Members can also receive credit for up to 5 years of military service after
returning to employment within 1 year following discharge.
Buyback: In the first 6 months of employment, participants may purchase up to 5 years of
prior qualifying military service credit by paying the full actuarial cost within 6 months of the request.
Purchased service credit counts for all purposes except vesting. Members can restore prior service credit in
the Village by repaying any refunded contributions with interest.
Vesting: A member becomes vested with 6 years of service.
Normal Retirement: Members can retire at age 55 with 6 years service or age 52 with 25 years service.
Early Retirement: Members age 50 with 6 years service can retire early and receive a benefit
actuarially reduced to the early date, but in no case shall the reduction exceed 3% per year.
Vested Deferred: Benefits for vested deferred members commence on the early or normal retirement
date.
Benefit Formula: Members receive 3% credit for the first 6 years of service; 3.5% credit for the next 4
years of service; 4% credit for the next 5 years of service; 3% for the next 6 years of service; 2% for the next
4 years of service; and 3% for all service thereafter, not to exceed 100% of the final average compensation.
Duty Disability: A disabled member receives the greater of the accrued benefit or 42% of the
average monthly compensation as of the disability retirement date.
Non-duty Disability: A vested member receives the greater of the accrued benefit or 25% of the final
average salary.
Duty Death: The spouse or children receive a lifetime benefit equal to 50% of the average final
compensation.
Non-Duty Death: The spouse of a vested member receives the actuarial equivalent of the accrued
benefit payable at the otherwise normal retirement date.
Account Balances: Members contribute 5% of pensionable earnings.
Refunds: A non-vested participant receives a refund of contributions without interest upon termination.
Commencement: Members may retire on the normal retirement date or the first day of any month
thereafter. Benefits become payable on retirement. Disability benefits are payable on the first of the month,
pro-rated to the day the Board approves the benefit.
Optional Forms Payment: The normal form of benefit payment is Ten Years Certain and Life. Optional
forms of benefit payment include a Life Annuity, Joint and 100% Survivor, Joint and 75% Survivor, Joint and
66-2/3 % Survivor, and Joint and 50°lo Survivor. A member may change the joint annuitant following
retirement and receive an actuarially equivalent benefit by paying any costs associated with the change.
Supplemental Benefits: Members receive an additional benefit of $20 per year of service up to a
maximum benefit of $600.
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DROP Plan: Members in the first 27 years eligible for normal retirement can DROP for up to 60
months, but no member in the DROP can serve more than 30 years. DROP Accounts earn the actual net
investment return for the plan assets each September 30.
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