The employer contribution rate (ECR) applicable to 2015-16 school year salaries will be approximately 24% lower than the previous year’s rate, which translates into a cost savings for New York’s public schools and the taxpayers that fund them.
At its July 29 meeting, NYSTRS’ 10-member Retirement Board adopted an ECR of 13.26% for 2015-16 school year salaries. The current rate, applicable to 2014-15 salaries, is 17.53%.
The lower 2015-16 ECR is primarily due to favorable investment returns over the last several years. However, this does not mean rates will continue to decrease in the future. ECRs are dependent upon many variables, such as future investment performance and member demographic experience.
Also at the July 29 meeting, in accordance with Chapter 57 of the Laws of 2013 and the Retirement Board’s adoption of the Stable Contribution Option (SCO), the Retirement Board adopted a Stable Contribution Option (SCO) rate of 14.13% applicable to 2015-16 school year salaries. This rate is only applicable to the seven employers voluntarily participating in the SCO program and represents no change from the prior year's rate.
For additional ECR and SCO information, visit the Employer Contribution Rate page under the Employers heading at NYSTRS.org.