Defined Benefit Plan

The Defined Benefit Plan is the legacy pension plan. Retirees and employees with at least 7.5 years of full-time employment with the City of Memphis (as of June 30, 2016) who participated in the City of Memphis retirement plan will remain under the Defined Benefits Plan and see NO CHANGE in pension benefits.

  • Employee contributions remain at 8% of salary
  • The City of Memphis will continue to contribute 6% of salary
  • Management includes a 457 Cash Out option at retirement

Employees with 10 or more consecutive years of full-time service with the City of Memphis (as of June 30, 2016) who participate in the City of Memphis Retirement plan are fully vested.

Employees with between 7.5 and 10 consecutive years of full-time service with the City of Memphis (as of June 30, 2016) who participate in the City of Memphis Retirement plan and continue as full-time employees for a minimum of 10 years will become fully vested. Once these employees are fully vested, they will maintain contributions made under the Defined Benefits Plan based on the number of years served by June 30, 2016.

Employees with less than 7.5 consecutive years of full-time service with the City of Memphis (as of June 30, 2016) who participate in the City of Memphis Retirement plan will receive pension contributions made until June 30, 2016 under the Defined Benefits Plan and beginning July 1, 2016 under the Hybrid Plan.

CLICK HERE to review the Defined Benefit Plan.

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