Thousands of Pennsylvania teachers will have to pay more in contributions starting in July.
Thousands of Pennsylvania teachers will have to pay more in contribution rates beginning in July after the board of the $62 billion Pennsylvania Public School Employees’ Retirement System (PSERS) voted Monday to recertify the employee contribution rates it originally approved at its December meeting.
At that December meeting, the board’s general investment consultant and another firm said the retirement system’s nine-year performance figure was 6.38%, which was just above the 6.36% threshold that, under state law, triggers additional contributions.
However, during a meeting in March, management informed the board of errors in the data used to perform the calculation that were found by its investment consultant. As a result, the board ordered a review of all performance data to identify any additional errors.