Yorktown projects mixed changes in retirement rates, health premiums to affect next year’s budget
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Summary
Officials said the Employees' Retirement System rate for classified staff will rise to about 17.1% while the Teachers' Retirement System rate will fall to about 8.24%, and that health insurance premiums and Medicare Part B reimbursements for retirees will increase.
The district presented changes to employee benefit costs that will affect next year’s budget.
Unidentified presenter said the Employees' Retirement System rate for classified civil service employees is projected to increase from approximately 15.8% to about 17.1%, while the Teachers' Retirement System rate that covers teachers and administrators is expected to decline from roughly 9.59% to about 8.24%, a change the presenter called a source of "meaningful savings."
The presenter also said Social Security (FICA) wage‑base maxima are increasing (from $176,000 to over $184,000), workers' compensation costs are up about 3.2%, and health insurance premiums for employees are increasing about 5%. The presenter added that Medicare Part B reimbursements for qualifying retirees will rise from $185 per month to over $202 per month.
Officials said union welfare benefits vary with employee counts and the presentation included variance slides based on a rollover of current staff; potential staffing changes were not yet included.
