PERS Budget Estimate FY 20/21
Tuesday, January 14, 2020
PERS Budget Estimate for FY 20/21
To assist you in budgeting for your PERS payment due April 2021, we offer the following calculation to estimate your 2020/2021 PERS budget appropriation.
2nd Quarter 2019 PERS IROC 10 month salaries X 10/3= 10 month Annualized Salaries
2nd Quarter 2019 PERS IROC 12 month salaries X 12/3= 12 month Annualized Salaries
Equals Total Annualized Salaries
Total Annualized Salaries Times an Estimated PERS Employer Contribution Rate (Last year’s rate was 13.69%) See https://www.state.nj.us/treasury/pensions/2020-employer-billing.shtml for historical trend of rates.)
Plus, any ERIP district obligations, deferred pension payments (Chapter 19), NCGI & LTD Exp EQUALS TOTAL ESTIMATED APRIL 2021 PAYMENT
10 month quarterly salaries $300,000 X 10/3= $1,000,000
12 month quarterly salaries $120,000 X 12/3 = $480,000
= Total annualized salaries $1,480,000 X 13.69%= $202,612 + ERIP obligations + deferred pension payments (Chapter 19) +NCGI +LTD Exp (for Tier 4 & 5 salaries annualized times an estimated rate of .2747).
Current detailed billings can be found at the following link for comparison purposes: