22 Pa. Code § 213.24 - Contributions for the purchase of credit for creditable school and nonschool service
(a)
Source of contributions. As provided in sections 8303 and 8304
of the Retirement Code (relating to eligibility points for retention and
reinstatement of service credits; and creditable nonschool service), creditable
school and nonschool service shall be purchased entirely by the member, except
in the following cases:
(1) In the case of
former uncredited school service, when an employer has failed to credit service
through administrative error, the employer is required to pay its share of the
contributions for the service, although the active member is responsible for
the member's share.
(2) In the case
of service rendered by an active member to a county board of school directors,
now designated an intermediate unit, the member is only responsible for the
purchase of the member's share for the previous service rendered to the county
board of directors.
(3) Except for
sabbatical leaves of absence, in the case of approved leaves of absence, the
employee is required to pay for the purchase of creditable nonschool service,
both the member's share and the employer's share if it is purchased after the
leave of absence has expired. If the employer reports the leaves currently
based on the employee's salary as if the employee had been in full-time
employment during the leave period, the employee is only required to pay the
employee share, whereupon the employer has a corresponding liability based on
normal contribution rate.
(b)
Contributions for purchase of
nonintervening military service. The amount due for the purchase of
nonintervening military service shall be calculated as follows: The average of
the first 3 years' salaries subsequent to the military service, multiplied by
the sum of the member's basic contribution rate and the normal contribution
rate as determined by section 8328 of the Retirement Code (relating to
actuarial cost method), relating to Commonwealth and district shares, and
multiplied by the number of years or fractional years of military service. All
amounts certified by the Board for the purchase of the service shall be in
accordance with methods approved by the actuary. Nonintervening military
service may not be purchased unless the active member has received at least 3
years of salary and completed at least 3 years of subsequent credited school
service as either a Class T-C or Class T-D member.
(c)
Contributions for purchase of
intervening military service. An active member eligible to purchase
credit for intervening military service shall pay the amount due in accordance
with the following formula: The member's basic contribution rate at the time of
entry into the active military service multiplied by the member's then
compensation and by years of the military service together with statutory
interest during all periods of subsequent school and State service to the date
of purchase, if all the amounts due shall be in accordance with methods
certified and approved by the actuary.
(d)
Contributions for purchase of
other creditable nonschool service. An active member shall pay the
amount due for creditable nonschool service in accordance with the following
formula: The member's basic contribution rate plus the normal contribution
rate, applied to the member's first year salary of credited school service
subsequent to the creditable nonschool service sought to be purchased,
multiplied by the number of years or fractional parts of a year of the service
purchased, together with statutory interest during all subsequent years of
school or State service to the date of purchase. This formula for purchase does
not apply in the case of purchase of creditable nonschool service rendered to a
county board of school directors. In this event, the member shall only pay the
amount due based on the member's basic contribution rate exclusive of the
normal contribution rate.
(e)
Retirement Code reference: Section 8324 of the Retirement Code
(relating to contributions for purchase of credit for creditable nonschool
service).
Notes
The provisions of this § 213.24 amended under the Public School Employees' Retirement Code, 24 Pa.C.S. §§ 8502(h) and 8507(d).
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