What is ASRS Membership?

ASRS Membership is determined by Arizona Revised Statute A.R.S § 38-711(23)(b). You may have heard or seen it referred to as the: “20/20 criteria”
– Member: “Means all employees of an employer who are eligible for membership pursuant to A.R.S. § 38-727 and who are engaged to work at least twenty weeks in each fiscal year and at least twenty hours each week”

If an employee is hired to work twenty weeks in a fiscal year at 20 or more hours per week they must begin contributing to the ASRS on day one*.
*State employers – Please assess whether the waiting period applies and once an employee meets membership edibility, contributions can begin.

What are the employer’s responsibilities?

      • Apply the 20/20 test to determine whether an employee is eligible to participate in the ASRS.
      • The twenty weeks used for determining membership do not have to be consecutive weeks in a fiscal year.
      • The twenty hours per week are actual hours worked per week, not an average of hours worked during a pay period or any period of time.
      • If an employee is hired to work part-time, (less than “20/20"), and occasionally works 20-hour weeks, employers must track the number of 20-hour weeks worked. If the employee does work 20 weeks a 20-hour or more per week during the fiscal year, ASRS membership occurs on the 20th week and ASRS contributions begin starting with the 20th week.
      • It is important that contributions start on the 20th week, even if the 20th week occurs in the middle of a pay period. Statutory language is very specific and states. “twenty weeks in each fiscal year…”, so contributions cannot start on the 19th week (prior to meeting 20/20 criteria, or on the 21st week, when a new pay period begins. Starting contributions on the 20th week ensures the proper ASRS service credit is applied to the member’s account.
      • Once an employee meets membership eligibility, contributions continue through the end of the fiscal year (June 30) - even if 20/20 status changes due to a drop in hours or new position mid-year.
      • State employers – please review the employee’s status using the online Check Member Eligibility tool to help determine an employee’s effective membership date.
**Employees and employers must also remember to complete the online enrollment process when an employee becomes a member.

--The online Employer Manual has information about ASRS membership and can be a useful resource to employer partners. It can be found on the Employer Reference Materials page on the ASRS website.

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