Contributions

Contributions are deducted from each of your bi-weekly paychecks as a percentage of your base compensation, excluding shift differentials and overtime, and are credited to your account where they earn interest.

• Contribution Rates
• Full Membership
• Suspension of Contributions
• Limits from the IRS
• Review My Contributions

Contribution Rates

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For Tier 1 members, the contribution rate is 6%, unless you were hired prior to June 1, 1984, in which case, your contribution rate is based on your age when you became a member.

For Tier 2 members, the contribution rate is 10%.

You may also contribute up to 10% of your base compensation to the Additional Contributions program. This program is optional, but will provide a valuable savings toward your retirement. To learn more about Additional Contributions, please click here.

Full Membership

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Generally, you become a Full Member of the Plan when you complete 26 weeks (approximately 6 months) of continuous service. Full Membership provides you with eligibility to Temporary Disability, Permanent Total Disability, and Death Benefits. Once you become a Full Member, in addition to your retirement contributions, the Plan will also collect $1.00 per pay period for each of the benefits for a total of $3.00.

• If you are transferring from the City after completing 26 weeks of continuous membership with LACERS, you will become a Full Member of the Plan on the first day of the payroll period following your change in employment.


• If you are transferring from the City and have not completed 26 weeks of continuous membership with LACERS, you will become a Full Member of the Plan on the first day of the payroll period following completion in the Department of the remaining 26 weeks of continuous service.


• If you are new to the Department and have no prior City service, you will become a Full Member of the Plan after completing 26 weeks of continuous service in the Department.

Suspension of Contributions

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Your contributions will be suspended for complete payroll periods you are on a Leave of Absence without pay, which means that you will not earn Service Credit nor be eligible for Death, Disability or Permanent Disability benefits. If you want to protect your eligibility to these benefits, you can prepay for your leave. To learn more about coverage during an unpaid leave of absence, please click here or call the Disability Section at (213) 367-1680.

Your contributions will also be suspended for complete payroll periods you are on a Disability Leave or Workers’ Compensation Leave that is longer than 2 weeks; however, you will not need to prepay for coverage if you are receiving disability or workers’ compensation pay.

LIMITS FROM THE IRS

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The Internal Revenue Code may limit the compensation that can be counted towards your retirement benefit, especially if you became a member of the Plan or LACERS on or after July 1, 1996. If you are over the limit allowable under IRC Section 401(a)(17), the Plan will stop deducting contributions from your paychecks for the calendar year, but will continue to add Service Credit on your record.

If you are contributing to the Additional Annuity program when you reach the limit, your Additional contributions will also stop.