A member is eligible for a refund of the employee accumulated
contributions as soon as practicable after the last date the member is
considered an employee, provided that the employee has filed the required forms
and has not returned to covered employment before the date the refund is paid.
Effective July 1, 1999, a vested member's refund shall also include a portion
of the employer accumulated contributions. Refund amounts are determined as
follows:
(1) Employee accumulated
contributions. Upon receiving an eligible member's application for refund,
IPERS shall pay to the terminated member the amount of the employee accumulated
contributions currently reported to, and processed by, IPERS as of the date of
the refund. Upon reconciliation of the final employee contributions for that
member, a supplemental refund of the employee accumulated contributions will be
paid if funds remain in the member account.
(2) Employer accumulated contributions. IPERS
shall also pay to vested members, in addition to the employee accumulated
contributions, a refund of a portion of the employer accumulated contributions.
The refundable portion shall be calculated by multiplying the employer
accumulated contributions by the "service factor." The "service factor" is a
fraction, the numerator of which is the member's quarters of service and the
denominator of which is the "applicable quarters." The "applicable quarters"
shall be 120 for regular members and 88 for all special service members.
All quarters of service credit shall be included in the
numerator of the service factor. In no event will a member ever receive an
amount in excess of 100 percent of the employer accumulated contributions for
that member.
In addition to the foregoing provisions, IPERS shall calculate
the refundable portion of the employer accumulated contributions as
follows:
a. Upon reconciliation of the
final employer contributions for that member, the member's portion of the
employer accumulated contributions will be recalculated. IPERS will add the
additional quarter(s) of service to the numerator of the service factor. The
adjusted service factor will be multiplied by the sum of the original employer
accumulated contributions plus the supplemental employer accumulated
contributions. The employer accumulated contributions included in the original
refund will then be subtracted from that recalculated figure to determine the
amount of employer accumulated contributions to be included in the supplemental
refund.
b. The member's portion of
employer accumulated contributions shall be determined under rule
495-9.2 (97B)
if the member had a combination of regular service and special service, or a
combination of different types of special service.
(3) In making calculations under this rule
and rule
495-9.2 (97B), IPERS shall round to not less than six decimal places to
the right of the decimal point.
