Here's What's New!

As your employees get closer to retirement, do they ask you for guidance about the ASRS?  We have great news for you—help is available and it’s at their fingertips!  A common misperception members report to us is that they believe they are required to call the ASRS or visit an ASRS office in order to file a retirement application.

Do you process Online Enrollments, Ending Payroll Verifications (EPV), or Retiree Return To Work (RTW) smart forms?  If so, you may be familiar with the Secure Messages the ASRS generates when there are pending requests for those applications.  Though the reminder messages can be helpful, they can also feel like clutter for your inbox.  Here’s how you can keep those reminder messages to a minimum.

Online Enrollment

The Arizona Legislature has passed the 100th day of its 2019 regular session, but is not ready to adjourn sine die.  The ASRS is watching a number of bills which would affect the ASRS and its employers and members.  For the most up to date information, be sure to visit the ASRS Bill Tracker on the Legislation page for more details.

Did you know that the Arizona State Retirement System offers a very low-cost and professionally-managed voluntary 457(b) defined contribution plan to its employer partners?

Join us for a short Webinar to learn more!

This plan – referred to as the Supplemental Salary Deferral Program – or SSDP – is available to our employers, so that you can offer your employees an additional opportunity to save pre-tax earnings for an even better financial future. 

Did you know the ASRS provides two informal educational opportunities that you can facilitate for your employees?  Informational Sessions and ASRS participation in your Benefit Fairs are effective ways for ASRS members to learn about their benefits without having to commit to attending a long meeting.

As we enter peak season for new retirements, the ASRS wants to emphasize the importance of following the correct processing of termination pay for employees who have an agreement to use termination pay toward their service purchase.

If a member has made an irrevocable election to use termination pay, the IRS requires the employer to send the termination pay directly to the ASRS, pre-tax. Termination pay is due upon the member’s termination of employment whether the member is retiring or not.

ASRS active members and employers will see a slight increase in the total contribution rate they pay in the upcoming fiscal year beginning July 1.

The new contribution rate covering both pension and health insurance benefit will be 11.94% each for employees and employers. This is an increase from the current 11.64%.  The new contribution rate for the long term disability program will be 0.17% each for employees and employers. This is an increase from the current 0.16%

If you find yourself getting close to retirement but have a lot of questions, don’t worry – you’re just like most members! In fact, we developed our series of retirement meetings specifically to answers all of the most common questions people have while on the road to retirement. Our “Route 3” and “Route 4” meetings are specifically aimed at those who may be at the end of their career. But how do you know which meeting is right for you?

The ASRS website has many helpful resources to assist members on their road to retirement. To help streamline the member experience, we’ve created the one-page Member Tool Kit. The Member Tool Kit puts all of our digital tools, such as calculators and estimators into one place, and organizes them into Member Resources or Retirement Planning tools. 

With seven ASRS annuity options available to you, how do you decide which one is right for you? Narrowing the choices down is a good place to start. Ask yourself what you are trying to accomplish financially when you retire. Most members respond in one of three ways:

1. “I want to receive the maximum monthly amount possible and don’t need to worry about providing money for a beneficiary.”