Chapter 8: Transmittal Reporting

The Reporting Process

Plan Choice Reporting - New Member Plan Choice

New members of PERS, SERS or TRS have an option to choose Plan 2 or Plan 3 if they established membership on or after:

• TRS — July 1, 2007
• SERS with no prior PERS plan 2 membership — July 1, 2007 through July 31, 2009
• All new SERS members - August 1, 2009
• PERS
  • March 1, 2002: State agency and higher education employers
  • September 1, 2002: Local government employers

Note: Potential members such as substitutes should be treated like new members; they have a plan choice if hired into an eligible position.

For SERS, new members hired before August 1, 2009 who had prior PERS Plan 2 service are eligible for a January Transfer Option.

Use MRV to Determine if the Member Has a Plan Choice

Use Member Reporting Verification (MRV) to determine if the employee has ever been a member; if the employee is a potential member; and if they have a plan choice. New members with no prior membership and potential members hired into eligible positions must choose Plan 2 or Plan 3 within the first 90 days of their eligible employment, or the employer defaults them to Plan 3.

Below is an example of a new member plan choice MRV screen. MRV displays in red text that there is "No retirement membership history found for this social security number." Therefore, this member has a plan choice in PERS, SERS, or TRS.

On this MRV screen, a member has prior retirement membership in PERS Plan 2. MRV displays in red text that the member has a January transfer option; and therefore, no plan choice upon hire into a PERS position. If hired into another retirement system, refer to the Reporting an Employee in the New Hire Pyramid.

Until a Plan Choice is Made

Report new employees in Plan 2 until you receive a completed Member Information Form (MIF) with their plan choice, and if applicable, contribution rate option and investment program; or you default them after 90 calendar days. Member and employer contributions are deducted at the Plan 2 rate until a plan choice is made or you default the member into Plan 3.

Complete the Plan Choice Record

To report the member's plan choice or default, complete the the Plan Choice Record as follows with the information taken from the signed Member Information Form (MIF), or when you default the member:

• Plan Choice Field: Report "2C," "3C" or "3D"
• Plan Choice Date: Report the date the member signed the MIF, or report the default date (90th day). This date can be the same as the begin date but can't be prior to the begin date.

If the member defaults, the Plan Choice Date is the 90th day from the first day of work. For example, if an employee begins work on October 1, then December 30th is the 90th day.

The employer's transmittal records the member's plan choice/default and assigns them permanently to Plan 2 or moves the member's data to Plan 3 if applicable. Whenever a plan choice is transmitted, the employer must also mail the original signature copy of the MIF to DRS. DRS images the form to document the member's irrevocable plan choice decision.

Refer to the Plan Choice Record for other options for completing this record based on the employee's retirement system history.

Plan Defaults

If members do not provide their plan choice within the 90 calendar day period, the employer defaults the member to:

• Plan 3
• Rate Option A
• Self-Directed Investment Program (SELF)