Annual Financial Report 1993

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The 1991 Montana Legislature enacted Senate Bill 226 which made all pension benefits subject to state taxes and provided for an annual benefit adjustment payment to be made to all benefit recipients who reside in Montana. During fiscal year 1993, eligible recipients received a one-time payment equal to 3.49% of their gross benefits for calendar year 1992.
REFUND OF CONTRIBUTIONS If an employee leaves covered employment before accumulating five years of membership service, employee contributions
... plus accrued interest earnings may be refunded to the employee. If the member returns to service and repays the withdrawn contributions plus the interest the contributions would have earned had they remained on deposit, membership service is fully restored.
FUNDING REQUIREMENTS A. MEMBER CONTRIBUTIONS Member contribution rates for fiscal year 1993 were set by statue at 7% of monthly compensation and are deducted from each member's salary and remitted by the employer. An individual account is established for each member's contributions and interest allocations until a retirement or refund request is processed.


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