Your projected invoice for your employer contributions for the following fiscal year becomes available in September every year.
Please do not send payment when you receive your projected invoice. Your projected invoice is provided to help you budget next year.
The projected invoice you received in September of 2023 provides the approximate employer contribution payment that will be due February 1, 2025, as well as the discounted amount due if you pay by December 15, 2024. Your invoice of the final amount due will be provided in November 2024.
If you have the Billing security role, we will notify you when your projected invoice is available in Retirement Online. Only employees with the Billing security role are able to access the projected invoice.
How to View Your Projected Invoice
To view your projected invoice, sign in to your Retirement Online account. From your Account Homepage, click the “Access Billing Dashboard” button. After choosing your location code and retirement system (ERS or PFRS), click the “Projected Invoice” link.
How Projected Invoices and Rates are Calculated
Projected invoices are provided 16 months before payment is due. Employee earnings may change from year to year, so NYSLRS’ actuaries need to anticipate what your employees may earn. First, they estimate the percentage that earnings will increase or decrease from one fiscal year to the next for members of each tier. These are called projection factors. Then, they multiply earnings from the last fiscal year by the projection factors to determine your employees’ expected earnings.
The projection factors below were used to calculate the projected invoice you received in September 2023, for the approximate amount of your employer contribution payment that will be due February 1, 2025.
|Retirement System and Tier
Rates are based on the projected cost of maintaining the Common Retirement Fund — which pays for pension benefits for your employees — broken down by tier, plan and option. The projection of your payment due February 1, 2025 was calculated using the 2025 final contribution rates for the Employees’ Retirement System and the Police and Fire Retirement System.
Amortizations and Graded Payments
The Contribution Stabilization Program (CSP) and Alternate Contribution Stabilization Program are optional programs that allow employers to pay a portion of their annual pension contributions when due and to pay the remainder over time with interest. The programs established a graded contribution rate system. Each year, the System graded rate will increase or decrease depending on the difference between the System average rate and the previous graded rate. Under the CSP, the rate moves by up to 1 percent. Under the Alternate Program, the rate moves by up to 0.5 percent.
When the Retirement System’s average contribution rates are higher than an employer’s graded rate, employers who have elected to participate in the CSP or the Alternate Program are eligible to amortize a portion of their invoice. In these circumstances, your projected invoice provides the maximum amount you may amortize. Your projection also shows the repayment installment on any previously amortized amounts.
When the Retirement System’s average contribution rate drops below the employer’s graded rate, employers who have opted into one of these programs are required to pay an additional graded payment to offset future increases in their graded rate. If you are going to be required to make a graded payment when you pay your annual invoice, it will be listed under the Adjustments section of your projected invoice as an “Employer Graded Payment.”
If you are thinking about participating in the CSP, please read about how the Contribution Stabilization Program works. If you want to participate in the program for the first time, you must complete an authorization form, which will be available with your annual invoice.
Understanding Projected Invoice Terms
Adjustments and Installments: On your projected invoice, adjustments represent costs other than regular pension contributions — such as charges or credits associated with other fiscal years. Installments include amortization payments, past service costs and deficiency contributions. The installment amount shown on the projected invoice may change when the final calculation is made.
Divide-by Factor: This represents the 45 days of interest that you will save if you pay next year’s annual invoice by December 15, 2024, instead of February 1, 2025. The amount changes with the interest rate.
Group Term Life Insurance (GTLI): This provides ordinary death benefits for your employees. It is separate from the regular pension contributions because it is excluded from the calculation of the projected amount that may be amortized.
Options: These are “extra” benefits (beyond those offered in the standard plans) that employers can choose to provide to employees. For example, options 41-j for ERS, and 341-j for PFRS refer to Sections 41(j) and 341(j) of the Retirement and Social Security Law (RSSL), which allow members to receive additional service credit for their unused, unpaid sick leave at retirement.
If You Need Help
If you have questions about your projected invoice or for help accessing Retirement Online, such as password resets, call 866-805-0990 and press 1 to access the employer menu, then follow the prompts.
You can also use our help desk form and select “Employer Billing” or “Retirement Online Troubleshooting” from the dropdown menu.