Purpose:

The purpose of this bulletin is to notify agencies of the 2024 maximum salary limit for ORP and VDC plan members.

Affected Employees:

Tier 1 through 6 members of the ORP and VDC are affected.

Background:

In accordance with Section 415 of the Internal Revenue code, providing dollar limitations on benefits and contributions under qualified retirement plans, the annual compensation limit under Section 401(a), 404(I), 408 (k) (3) (C), and 408 (k) (6) (D) (ii) will increase to $345,000 for the 2024 calendar year for ORP and VDC Tier 1 through 6 plan participants.

Effective Dates:

Effective beginning Administration paychecks dated January 3, 2024, and Institution paychecks dated January 11, 2024.

OSC Actions:

OSC will update PayServ to reflect the Maximum Salary Limit for calendar year 2024.

PayServ will automatically stop ORP and VDC contributions when employees’ pensionable earnings reach the $345,000 limit. Contributions will resume the first paycheck of the following calendar year.

Questions:

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