Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Board hears educational briefing on member-account interest; DRS replaced 5.5% quarterly crediting with 2.75% daily accrual in 2022
Summary
Staff explained that the Department of Retirement Systems changed member-account interest crediting: through 6/30/2022 accounts earned 5.5% compounded quarterly; effective 7/1/2022 DRS moved to the long-term interest assumption (2.75% at that time) compounded daily following court guidance. The board received the briefing; no action requested.
The board on Sept. 24 received an educational briefing explaining a 2022 change in how accumulated contribution accounts are credited with interest. The Department of Retirement Systems moved from a 5.5% annual rate with quarterly compounding to a daily-accrual model using the plan's long-term interest assumption (2.75% at the time), following court rulings and internal rulemaking.
Jacob White summarized the legal and administrative history. Prior to July 1, 2022, DRS gave 5.5% annual…
Already have an account? Log in
Subscribe to keep reading
Unlock the rest of this article — and every article on Citizen Portal.
- Unlimited articles
- AI-powered breakdowns of topics, speakers, decisions, and budgets
- Instant alerts when your location has a new meeting
- Follow topics and more locations
- 1,000 AI Insights / month, plus AI Chat
