Chet Culver on Social Security
For PORS, the current contribution rates are 27% for the employer and 9.35% for the employee. This act will increase the employee contribution by 0.5% a year for to 11.35% in FY 2013 and will increase the employer's rate by 2% a year to 37%. The act also calls for an annual general fund contribution (in addition to the employers' contributions) of $5,000,000 until the fund reaches a funding ratio of at least 85%.
For regular members of IPERS, contributions will increase from a total of 11.95% (with members paying 4.7% of salary and employers paying 7.25%) to a total contribution to 13.45%. Employees will continue to pay about 40% of the total; employers, 60%.
Legislative record:Bill Passed House, 53-43-6; Passed Senate, 31-16-3, March 18, 2010; signed by Governor April 23.
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