County boosts retirement matching to unprecedented 250%

In a recent commissioners' court meeting, officials discussed a significant change to the retirement matching contributions for county employees, proposing an increase to 250% effective January 1, 2025. Currently, the county matches employee contributions at a rate of two to one, based on a 7% deduction from their salaries. The new plan will elevate the county's contribution to two and a half to one, enhancing the retirement benefits for employees.

This adjustment, which was previously discussed and directed to be incorporated into the budget, aims to bolster the retirement savings of county employees. Under the current system, employees contribute 7% of their salaries, with the county matching that at a two to one ratio, resulting in a total annual contribution of 21%. The proposed change will increase the county's contribution, thereby increasing the overall retirement fund for employees.

It is important to note that this change will only apply to future contributions, starting in January 2025, and will not retroactively affect existing funds. Employees will continue to earn a guaranteed 7% interest on their deposits, and they will have the ability to project their retirement earnings based on the new contribution structure.

This proposed increase marks a notable first for the court, as officials indicated that such a change has not been made during their tenure. The move is expected to provide greater financial security for county employees as they plan for retirement.