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Contribution Rates

Below are the contribution rates in effect for 2018 for the Defined Benefit and Defined Contribution plans that PERA administers. Retirement plan contribution rates are subject to change by the Minnesota Legislature.

General Plan (Coordinated Fund) – No changes are proposed for 2019

Employee Employer Employer Additional Total
6.5% 6.5% 1% 7.5%

Police and Fire – PERA’s 2018 legislative package includes a proposal to increase the Police and Fire Plan employee and employer contribution rates by 1 percent and 1.5 percent respectively, phased in over two years beginning 1/1/2019.

Employee Employer
10.8% 16.2%

Correctional Plan – No rate changes are proposed for 2019

Employee Employer
5.83% 8.75%

Defined Contribution Plan – No changes are proposed for 2019

DC Plans Employee Employer
Elected officials and Physicians 5% 5%
City Managers/Administrators 6.5% 6.5%
Volunteer or on-call firefighters 7.5% or more – made either solely from compensation paid to the covered firefighter
or through a combination of member and employer contributions.
Ambulance Service Personnel Contribution rates are set by the employer.

Historical contribution rates of the Defined Benefit Plans.

About 65% of PERA’s revenue in the past 20 years is attributed to investment earnings.

96% of the revenue PERA receives goes directly to member benefits, 3% is refunded to members, and less than 1% used for administrative costs

“We have a long history proving that our plans can be sustained and we continuously monitor the direction of the funds to ensure a positive future.” –Kathryn A. Green, PERA Board President