Purpose

To notify agencies that the pensionable overtime earnings limit for fiscal year 2017-18 is 15% of member’s regular annual wages as per Tier 6 legislation.

The overtime limit has remained at 15% since inception of Tier 6 and will only increase if new legislation is passed.

Affected Employees

Employees who are Tier 6 members of the Police and Fire Retirement System (Plan Type 7W)

Effective Date(s)

Institution and Administration Paychecks for fiscal year 2017-18

Background

In accordance with Chapter 18 of the Laws of 2012, overtime pay in excess of 15% of a member’s regular annual wages cannot be used in the calculation of a member’s final average salary.

OSC Actions

Once processing is complete for the final 2016-17 fiscal year paycheck, OSC will update PayServ to reflect the pensionable overtime earnings limit for 2017.

Questions

Questions regarding this bulletin may be directed to Payroll Retirement mailbox.