2014 Kentucky Revised Statutes CHAPTER 61 - GENERAL PROVISIONS AS TO OFFICES AND OFFICERS -- SOCIAL SECURITY FOR PUBLIC EMPLOYEES -- EMPLOYEES RETIREMENT SYSTEM 61.555 Service credit, creditable compensation, and other credits for military service.
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61.555 Service credit, creditable compensation, and other credits for military
service.
(1)
(2)
(3)
(4)
After August 1, 1998, any employee entering the Armed Forces of the United
States after he first participates in the system, who joins the Armed Forces
within three (3) months of the last day of paid employment, being on leave of
absence from service and not withdrawing his accumulated account balance,
shall be credited for retirement purposes with service credit and creditable
compensation as provided in 38 U.S.C. sec. 4318 for his period of active
military duty in the Armed Forces of the United States, not to exceed six (6)
years, if his discharge therefrom is honorable and he returns to work with an
employer participating in one (1) of the retirement systems administered by the
Kentucky Retirement Systems within two (2) years after completion of the
period of active military duty, or upon the subsequent termination of any total
disability which existed at the expiration of the two (2) years after discharge. A
member eligible for the benefit prescribed by this subsection who participates
in the hybrid cash balance plan as provided by KRS 16.583 and 61.597 shall
also have his or her member account credited with employee contributions,
employer pay credits, and interest credits, as provided by KRS 16.583 and
61.597, as though the member were employed during the member's period of
active military duty described by this subsection.
After August 1, 1998, any employee who, prior to the date he first participated
in the system, terminated his employment with an agency participating in one
(1) of the systems administered by the Kentucky Retirement Systems and
within three (3) months entered the Armed Forces of the United States and
who returns to work with an employer participating in one (1) of the retirement
systems administered by the Kentucky Retirement Systems within two (2)
years after completion of the period of active military duty, or upon the
subsequent termination of any total disability which existed at the expiration of
the two (2) years after discharge, shall be credited for retirement purposes with
service credit and creditable compensation as provided in 38 U.S.C. sec. 4318
for his period of active military duty in the Armed Forces, not to exceed six (6)
years. A member eligible for the benefit prescribed by this subsection who
participates in the hybrid cash balance plan as provided by KRS 16.583 and
61.597 shall also have his or her member account credited with employee
contributions, employer pay credits, and interest credits, as provided by KRS
16.583 and 61.597, as though the member were employed during the
member's period of active military duty described by this subsection.
Any National Guard technician involuntarily serving on active military duty
during the period between January 26, 1968, and January 1, 1970, who
completes his eight (8) years' service while on military duty during this period,
shall have that portion of his active military duty, necessary to the completion of
eight (8) years' current service, credited to his account, as current service
without having to meet the reemployment criteria.
Any employee eligible for retirement as prescribed in KRS 61.559 or any
employee upon completion of five (5) years of service shall receive current
service credit for a maximum of four (4) years for his period of active military
duty in the Armed Forces of the United States, if his discharge therefrom is
(5)
(6)
(7)
(8)
honorable and he has not been credited with the service under subsections (1)
to (3) of this section if he pays thirty-five percent (35%) of the cost of the
service based on the formula adopted by the board. The payment by the
member shall not be picked up by the employer, as described in KRS
61.560(4), and shall be deposited to his individual member's account. The
remaining sixty-five percent (65%) shall be paid by the state from funds
appropriated specifically for the purpose and these payments shall be
deposited to the respective retirement allowance accounts. If no funds are
available in the special appropriation account, the system shall not accept
employee payments until funds are available in the account.
Any employee participating in one (1) of the retirement systems administered
by Kentucky Retirement Systems eligible to purchase military service credit
under subsection (4) of this section shall receive current service credit for
active military duty as provided under subsection (4) of this section without
payment of the current employee contribution ratio if the member was taken
prisoner by a hostile power at any time during active military service.
Any employee participating in one (1) of the retirement systems administered
by Kentucky Retirement Systems age sixty-five (65) or older who has
forty-eight (48) months of service, at least twelve (12) of which are current
service, or if younger who has sixty (60) months of service, at least twelve (12)
of which are current service shall receive current service for his period of active
military duty in the Armed Forces of the United States, if his discharge
therefrom is not dishonorable and he has not been credited with the service
under subsections (1) to (4) of this section, by paying the retirement system a
delayed contribution payment. Payment may be made by lump sum or in
increments. The payment shall not be picked up by the employer as described
in KRS 16.545(4), 61.560(4), or 78.610(4) and shall be deposited in the
member's individual retirement account.
Any employee participating in one (1) of the retirement systems administered
by the Kentucky Retirement Systems age sixty-five (65) or older who has
forty-eight (48) months of service, at least twelve (12) of which are current
service, or if younger who has sixty (60) months of service, at least twelve (12)
of which are current service, shall receive one (1) month of current service for
each six (6) months of service in the National Guard or the military reserves of
the United States, by paying the retirement system a delayed contribution
payment. The service shall be treated as service earned prior to participation in
the system and shall not be included in the member's final compensation.
Payment may be made by lump sum or in increments. The payment shall not
be picked up by the employer, as described in KRS 16.545(4), 61.560(4), or
78.610(4) and shall be deposited in the member's individual retirement
account.
For members who begin participating in the systems administered by Kentucky
Retirement Systems on or after January 1, 2014, in the hybrid cash balance
plan prescribed by KRS 16.583 and 61.597, the provisions of subsections (4)
to (7) of this section shall not apply.
Effective:July 1, 2013
History: Amended 2013 Ky. Acts ch. 120, sec. 51, effective July 1, 2013. -Amended 2004 Ky. Acts ch. 36, sec. 12, effective July 13, 2004. -- Amended
2002 Ky. Acts ch. 52, sec. 6, effective July 15, 2002. -- Amended 2000 Ky. Acts
ch. 385, sec. 15, effective July 14, 2000. -- Amended 1998 Ky. Acts ch. 105,
secs. 10 and 26, effective July 15, 1998. -- Amended 1992 Ky. Acts ch. 240,
sec. 22, effective July 14, 1992. -- Amended 1990 Ky. Acts ch. 132, sec. 1,
effective July 13, 1990. -- Amended 1986 Ky. Acts ch. 179, sec. 1, effective July
15, 1986; and ch. 362, sec. 1, effective July 15, 1986. --Amended 1984 Ky. Acts
ch. 121, sec. 1, effective July 13, 1984. -- Amended 1982 Ky. Acts ch. 166,
sec. 19, effective July 15, 1982. -- Amended 1980 Ky. Acts ch. 186, sec. 7,
effective July 15, 1980. --Amended 1978 Ky. Acts ch. 311, sec. 13, effective
June 17, 1978. -- Amended 1976 Ky. Acts ch. 321, sec. 17. -- Amended 1974
Ky. Acts ch. 48, sec. 1; and ch. 302, sec. 1. -- Amended 1972 Ky. Acts ch. 116,
sec. 32; ch. 116, sec. 32; and ch. 133, sec. 1. -- Amended 1966 Ky. Acts ch. 32,
sec. 6. -- Created 1956 Ky. Acts ch. 110, sec. 10.
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