Exceptions for ERS:

• New York State Correction Officers are not required to contribute after 30 years of service.

Exceptions for PFRS:

• Members enrolled in a retirement plan limiting the amount of creditable service they may accrue are not required to contribute once they reach the maximum amount of service allowed by their plan.
• If a union-negotiated collective bargaining agreement requiring an employer to offer a non-contributory 20- or 25-year plan was in effect on January 9, 2010, any new employees who joined while that agreement was in place and elected the special plan are not required to contribute.

What You Need to Do Beginning April 1

In March, we notify you when member contribution rates for the upcoming state fiscal year are available in Retirement Online.

To view contribution rates for State Fiscal Year 2025-26 (April 1, 2025–March 31, 2026):

• Sign in to Retirement Online.
• Click Access Reporting Dashboard button.
• After choosing location code, click Member Contribution Rates link.
• In As Of Date field, enter 04/01/2025.
• Click Search button.

Members whose rates have changed will sort to the top of the table. Please review carefully.

Update your payroll system to withhold the correct amount beginning April 1, and use the new contribution rates beginning with your April monthly report (or if you do not report monthly, beginning with the report that includes earnings for April).

It’s important that you apply the new rates as of April 1, 2025. If a member’s contribution rate increased and you do not increase the amount withheld from their earnings, your employee will owe arrears and need to pay deficient contributions plus interest which accrues monthly on unpaid balances.

Important: A Tier 6 member’s contribution rate is based on all employment reported to NYSLRS, not just their employment with your location. If a member’s contribution rate is higher than you expected, this could be the reason.

How Tier 6 Contribution Rates are Calculated

A new Tier 6 member’s contribution rate is based on the projected annualized wage you provided when you enrolled them. For new part-time employees, you calculate a projected annualized wage by using their part-time rate to determine what their annual wage would be if they worked full-time.

Once they have been a member for more than two full state fiscal years, their contribution rate is calculated using actual earnings from all public employment two state fiscal years prior, including:

• Regular pay;
• Holiday pay;
• Longevity pay; and
• Overtime pay (up to a certain limit).

Here's an example:

• SFY 2022–23:
  • You hired John Smith, who joined NYSLRS with a date of membership of June 1, 2022 (John is in Tier 6).
  • At enrollment, you provided us with a projected annualized wage of $42,000. Based on that, we provided you with a contribution rate of 3 percent.
  • You used this rate for 6/1/22–3/31/23.
• SFY 2023–24:
  • John Smith does not have reported earnings for SFY 2021–22.
  • John’s contribution rate is still based on the projected annualized wage of $42,000 and remains at 3 percent.
  • You used this rate for 4/1/23–3/31/24.
• SFY 2024–25:
  • John Smith has reported earnings for SFY 2022–23, but it’s not a complete fiscal year of earnings (John started on 6/1/22, partway through the fiscal year).
  • John’s contribution rate is still based on the projected annualized wage of $42,000 and remains at 3 percent.
  • You used this rate for 4/1/24–3/31/25.
• SFY 2025–26:
  • John Smith has reported earnings for the full SFY 2023–24.
  • John’s contribution rate is based on actual earnings of $46,000 and increases to 3.5 percent.
  • You would use this rate for 4/1/25–3/31/26.

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Tier 5

ERS and PFRS Tier 5 members are required to contribute 3 percent of their earnings for all their years of public service. 

Exceptions for ERS:

• New York State Correction Officers are not required to contribute after 30 years of service.
• Uniformed Court Officers and Peace Officers employed by the Unified Court System are required to contribute 4 percent of their earnings for all their years of public service.

Exceptions for PFRS: 

• Members enrolled in a retirement plan limiting the amount of creditable service they may accrue are not required to contribute once they reach the maximum amount of service allowed by their plan.
• If a union-negotiated collective bargaining agreement requiring an employer to offer a non-contributory 20- or 25-year plan was in effect on January 9, 2010, any new employees who joined while that agreement was in place and elected the special plan are not required to contribute.

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Tier 3 (Article 14)

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