Retirement Fund Contributions

Retirement system funding is provided from three sources:

• Contributions from ACERA members (employee contributions)

• Contributions from Alameda County and Member Districts (employer contributions)

• Investment/Interest Earnings

Contribution rates for employees and the employer (County and Member Districts) are determined by a yearly actuarial study and are subject to Board approval.

Employer (County/Member District) Contribution:

The County's and Member District's contribution rates are based on the total payroll, not on individual contributions made by retirement members. Rates vary year to year and are dependent upon the level of benefits established; rate of return on investments and the cost of administering benefits. Employer contributions are only vested at retirement. Members do not receive employer contributions upon termination.

Employee (Member) Contribution:

Contributions taken are a percentage of your base pay, and certain other pay differentials. Additionally, contributions are taken in accordance with a California Supreme Court ruling (Ventura County Sheriff's Association vs. Ventura County Employees' Retirement Association {VCERA}). For a comprehensive list of pay types which are included or excluded, contact ACERA. Contributions will continue for as long as you are a member and in a retirement eligible position, with the exception of those members who qualify for 30-year membership.

Member retirement contributions are made through bi-weekly payroll deductions and are taken on a pre-tax basis. Payroll deductions for your ACERA retirement contributions begin with the second payroll period following your appointment to an ACERA retirement eligible position.

Member contributions are refundable only upon termination of employment. A member is always 100% vested in their contributions. Employer contributions are never refunded and only realized upon retirement. You may not borrow from your retirement account and there is no emergency withdrawal of employee contributions. Termination and immediate rehire for the purpose of withdrawing employee contributions and interest is not allowed and is a federal violation.

30-Year Membership

Contributions also cease for general members of a reciprocal agency on or before March 7, 1973, with 30 years of continuous service either with ACERA alone or, in accordance with the requirements for reciprocity, with ACERA and one or more other agencies, but these members cannot have withdrawn contributions from ACERA at any time during the 30-year period under consideration.

Mandatory Time Off (MTO) /Voluntary Time Off (VTO) / Family Medical Leave Act (FMLA)

Members receive full retirement service credit and salary credit while on mandatory time off (MTO), voluntary time off (VTO) and/or FMLA. Member contributions while on MTO/VTO/FMLA are provided by the employer. In the event of an active member death, the member's beneficiary receives the member's MTO/VTO/FMLA contributions made by the employer (County/Member District). A member who terminates membership and requests a refund of contributions will receive member contributions only.

Yearly Account Statements

Member account balance statements are mailed annually, generally in March/April. The account statements show the total employee contributions withheld, and payments from service purchase/redeposit contracts, if applicable, in your account. The statement also includes the interest earned and credited to your account. The interest rates indicated on the statement are the semi-annual rates that were paid on the account in June and December. This statement does not include any employer contributions, as employer contributions are only realized at retirement.

Members may request an ACERA member account balance letter at any time. All requests must be made in writing. To protect member confidentiality, no account information is given over the phone. Requested information is mailed to the member's address on file.

Frequently Asked Questions (FAQs):

• Do all employees contribute the same amount or at the same rate?
• Can I Increase My Contributions To My Retirement Account?
• Does My Retirement Account Earn Interest?
• Can I Borrow Against My Retirement Account?
• Can My Retirement Savings Be Used As Collateral For A Loan?
• Why doesnt my statement show County contributions into my account?
• Do I have to contribute throughout my employment?
• How will I know when I become a 30-year member?
• I became a member on August 3, 1972, but I left the retirement system and took my money out in 1973. I rejoined retirement in July 1975 and bought back my time, do I still have to make contributions when I have 30 years of service?

- Last Modified: 02 / 23 / 2004