The New Hampshire Retirement System (NHRS) Board of Trustees this week certified employer contribution rates for fiscal years 2016-2017.
These rates are different from the rates of employees’ contributions to the pension fund. While employer contribution rates are set by the NHRS trustees, the employee contribution rates are set by the state Legislature. In this situation, employee members of the Retirement System won’t notice a difference in their paycheck because this slight increase is on the employers’ side.
Germano Martins, the public employees’ representative on the Board of Trustees, said the board is required by law to set the rates every two years to ensure that the retirement trust fund will meet its future obligations.
“These rates are based on the actuarial valuation of assets and liabilities as of June 30, 2013, the previous fiscal year,” Martins said. “These new rates will take effect on July 1, 2015, which is the beginning of 2016 fiscal year. Setting new rates is a very important action in exercising our fiduciary duties to the pension fund and its members”.
You can see the new employer contribution rates, as well as historical rates dating to the 1970s, here. The NHRS has also compiled a frequently asked questions page related to the rate increases that you can find here.