The Escambia County School Board memebers have received the attached comparative analysis of the house and senate proposals for FRS reforms.
Many people are watching this issue closely, as the quality of their retirement rides on what is decided in this legislative session.
HB1405 leaves much of the law unchanged, except that this house version closes the DROP program to new enrollees beginning July 1, 2011. (Senate Bill keeps DROP open to new entrants through July 1, 2016)
Employee contribution rates--House version stipulates everyone pays 3%.
Senate Version stipulates the following:
Effective July 1, 2011 each member, except members in DROP, shall contribute 2% of the first $25,000 of compensation, 4% compensation above $25,000 to $50,000, and 6% for compensation above $50,000 to their retirement account. State Legislators, Governor, and Cabinet Members pay 3%, 5%, and 7% for the same incomes.
Everyone who is a participant in FRS needs to know what is pending in the legislature and should look at this chart
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2 comments:
let us hope and pray it is the house and not the senate version that passes.
many folks really are depending on the drop program to be there for their retirement, hopefully the legislators will find a way to save this very worthy program
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