Sec. 714.
(1) This section is subject to the vesting requirements of section 715.
(2) A qualified participant's employer shall contribute to the qualified participant's account in Tier 2 an amount equal to 4% of the qualified participant's salary.
(3) A qualified participant may periodically elect to contribute up to 3% of his or her salary to his or her Tier 2 account. The qualified participant's employer shall make an additional contribution to the qualified participant's Tier 2 account in an amount equal to the contribution made by the qualified participant under this subsection.
(4) A qualified participant may make contributions in addition to contributions made under subsection (3) to his or her Tier 2 account as permitted by the state treasurer and the internal revenue code. The qualified participant's employer shall not match contributions made by the qualified participant under this subsection.
(5) A qualified participant who makes a written election under section 701a may elect to contribute up to 6% of his or her salary to his or her Tier 2 account. In lieu of employer contributions under subsection (3), the qualified participant's employer shall make an additional contribution to the qualified participant's Tier 2 account in an amount equal to the contribution made by the qualified participant under this subsection. This subsection applies for a period as determined by the department that equals the time in which a Tier 1 member was not able to make contributions to the Tier 2 plan because of the temporary restraining order issued in the case of Michigan judges assn v Treasurer of the State of Michigan, case no. 98-DT-72771-CV (Ed Mi).
(6) Beginning January 1, 2002, each qualified participant who is a plan 1 member or a plan 2 member, upon taking office and so long as he or she remains in office, shall contribute 2.0% of the qualified participant's compensation to the retirement system. The retirement system shall deposit the contribution under this subsection into the reserve for health benefits for hospital and medical-surgical and sick care benefits as provided in section 719.
History: Add. 1996, Act 523, Eff. Mar. 31, 1997 ;-- Am. 1999, Act 215, Eff. May 30, 2000 ;-- Am. 2002, Act 95, Imd. Eff. Mar. 27, 2002
Structure Michigan Compiled Laws
Chapter 38 - Civil Service and Retirement
Act 234 of 1992 - The Judges Retirement Act of 1992 (38.2101 - 38.2670)
Article VII - (38.2651...38.2670)
Section 38.2651b - Election Pursuant to MCL 38.2651 or MCL 38.2651a.
Section 38.2653 - Calculation and Submission of Cost Savings.
Section 38.2654 - Meanings of Words and Phrases; “Accumulated Balance” Defined.
Section 38.2655 - “Employer,”“former Qualified Participant,” and “Health Benefit Dependent” Defined.
Section 38.2657 - Administration of Tier 2 by State Treasurer.
Section 38.2660 - Administrative Expenses.
Section 38.2661 - Participation in Other Retirement Benefits Plan; Prohibition.
Section 38.2663 - Election to Terminate Membership in Tier 1; Credit or Charge to Tier 2 Account.
Section 38.2664 - Contributions by Employer and Participant.
Section 38.2665 - Vesting Requirements.
Section 38.2666 - Participation in Tier 2; Crediting Years of Service Accrued Under Tier 1.
Section 38.2667 - Refund Beneficiary.
Section 38.2668 - Methods of Distribution.