Tenn. Code § 8-3431

Current through Acts 2023-2024, ch. 1069

Section 8-3431 - Determination of percentage of pay to be paid by employees

After the time mentioned in § 8-3452, the percentage rate of contributions payable by a member shall depend on his membership class and shall be as follows:

(1) Class A: three per cent (3%) of his base earnings per annum plus five per cent (5%) of his excess earnings per annum.

(2) Class B: seven per cent (7%) of earned compensation, provided, that on July 1, 1967, or within four (4) months thereafter any class B member may elect to make additional contributions at the rate of seven per cent (7%) on that part of his earned compensation in excess of the maximum rate thereof, such contributions to be made on such compensation earned subsequent to July 1, 1967; and provided, further, that any member who has made such election or any member retiring between June 1, 1967 and June 30, 1967, may also elect to make an additional payment in a lump sum equal to the total of the contributions at seven per cent (7%) of that part of his earned compensation in the period from October 1, 1957 to June 30, 1967, which was in excess of the maximum rate thereof, plus interest from the date such compensation was received to the date such additional payment is made at the regular rate per annum compounded annually, such election and payment to be made on or before October 31, 1967.

(3) Class C: eleven and seventy-three hundredths per cent (11.73%).

However, any fireman or policeman employed by political subdivisions covered under the Tennessee state retirement system and any commissioned members of the enforcement and field service division of the game and fish commission shall contribute at a rate of his earned compensation to be determined by the retirement board after actuarial investigation, and such rate shall be set at a percentage which is based directly upon the actuarial investigation and recommendation.

Notwithstanding the foregoing, any class A member on the effective date of this section who received compensation in excess of three thousand, six hundred dollars (3,600) per annum for the period July 1, 1955 to said effective date may within one (1) year thereafter make additional contributions on the part of such earned compensation in excess of three thousand, six hundred dollars ($3,600) for such period. Furthermore, any class A member who has made the contributions provided for in the preceding sentence, may, upon his service retirement make additional contributions on the part of his compensation in excess of three thousand, six hundred dollars ($3,600) per annum received prior to July 1, 1955, not in excess of three (3) years less the period elapsing after the effective date, or his attainment age of sixty-five (65), if later and before his retirement date. Such additional contributions shall be computed at the rate of seven per cent (7%) of the part of compensation in excess of three thousand, six hundred dollars ($3,600) per annum accumulated at regular interest from the beginning of the period for which made to the date of payment. The earned compensation for the period for which such additional contributions are made shall include the compensation in excess of three thousand, six hundred dollars ($3,600) per annum upon which such contributions were made.

Until such time as this section becomes effective as provided in § 8-3452, § 8-3431 of the Tennessee Code as enacted by chapter 6 of the Public Acts of 1955, prior to amendment, shall remain in full force and effect.

T.C.A. § 8-3431

Acts 1947, ch. 231, § 15; C. Supp. 1950, § 1034.79 (Williams, § 1034.51); Acts 1957, ch. 373, § 19; 1961, ch. 341, § 2; 1963, ch. 363, § 3; 1967, ch. 347, § 6; 1968 (Adj. S.), ch. 514, § 2; 1968 (Adj. S.), ch. 632, § 2.