You are required to contribute toward your retirement.

Tier 1, 2 and 3 Members

If your employer has adopted Section 370-a, your contribution rate is reduced by 5 percent or 8 percent (depending on which rate your employer provides). Since you are contributing less of your own money to the Retirement System, the annuity portion of your retirement benefit will be smaller. However, when you retire, an increased pension makes your total retirement benefit equal to the amount you would have received if you had continued to contribute at the full rate.

Tier 5 Members

As a Tier 5 member, you are required to contribute 3 percent of your reportable earnings toward your retirement benefits, even if your employer has adopted Section 370-a. If your employer has not adopted Section 370-a, any required contributions over 3 percent will be deposited into your annuity savings account to provide the annuity portion of your retirement benefit.

Tier 6 Members

As a Tier 6 member, you are required to contribute 3 percent of your reportable earnings toward your retirement benefits during fiscal year 2012-13. Beginning April 1, 2013, the contribution rate will be based on your annual wage. Future salary changes may affect your contribution rate. If your employer has not adopted Section 370-a, any required contributions over the rate, as determined by your wages, will be deposited into your annuity savings account to provide the annuity portion of your retirement benefit.