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Employees Group Type

  • General City Employees: those employed by the City of Milwaukee other than as Protective Services employees, and those employed by participating city agencies, including any board, commission, division, department, office or agency of the city government. This group includes employees of the Wisconsin Center District (WCD), the Housing Authority of the City of Milwaukee (HACM) and the Redevelopment Authority of the City of Milwaukee (RACM); some members of Milwaukee Public Schools (MPS) and Milwaukee Area Technical College (MATC); and employees of the Milwaukee Metropolitan Sewerage District (MMSD), including members of United Water Services who previously were members while employed by MMSD. ?
  • Police Officers: those employed in the Milwaukee Police Department whose duties are to preserve peace and good order in the City of Milwaukee, and who have the power of arrest without warrant. This group includes the Chief and all other officers and police aides. Police Officers are part of the group referred to as Protective Services employees. ?
  • Firefighters: those employed in the Milwaukee Fire Department whose duties are to extinguish fires and to protect property and life. This group includes the Chief and all other Firefighters, officers and paramedics. Firefighters are part of the group referred to as Protective Services employees.
  • Elected Officials: those elected by the people to positions in the government of the City of Milwaukee.

 

January 1, 2000 Status and GPS Consent.
The Global Pension Settlement (GPS) is a settlement between the City, City agencies, employee organizations and retiree organizations that established several new benefits and improved some existing benefits. The settlement affects members who, as of January 1, 2000, were in active service as City employees; in deferred retirement status; or in payment of an ERS retirement allowance. GPS also covers those who enroll in the Employes' Retirement System on January 1, 2000 or later. On an individual basis, your eligibility for any GPS benefit depends on several factors, including your employee group; your ERS membership status as of January 1, 2000; and whether you consented to the settlement. If you were an active member of ERS on June 28, 2000, GPS benefits apply to you only if you consented to the settlement. 

 

Creditable Service.
"Creditable service" generally refers to the amount of time you have worked as an active member of the Employes' Retirement System. When used to determine a member's percentage multiplier at retirement, "creditable service" is for all intents and purposes time compensated as an employee for which credit is granted. In addition to straight time worked, it includes most paid off time, such as vacation, holidays, funeral leave and sick leave. Certain absences, including U.S. military leave, may also count toward creditable service. The amount of credit granted in a year depends on how much service was earned. An employee who is compensated for the full hourly basis of his or her position would earn one full year of service credit. An employee paid less than the full complement of hours would earn proportionately less. 

 

The annual hours basis used to determine creditable service is summarized as follows: 

Ten-month employees of MPS 1,600 Hours
Prevailing wage employees 2,000 Hours
MATC employees 2,015 Hours
All other employees 2,080 Hours

 

There are many rules affecting creditable service. Some of these are discussed in the ERS Member Handbook. Complete rules governing creditable service are outside the scope of this web page.  If you have specific questions regarding your service credit and how it impacts your benefits, call the ERS and ask to speak with a Pension Specialist.

 

Retirement Types.
Service Retirement. You are eligible to begin receiving a service retirement allowance (unreduced pension benefits) any time after reaching one of the following: 

  General City and Elected Official Firefighters Police Officers
Employed Prior to 2014 Age 60 or Age 55 with 30 years of service Age 57 or Age 52 with 25 years of service Age 57 or Age 52 with 25 years of service
    Age 49 with 22 years of service* 25 years of service (at any age)*
Employed After 2014 Age 65 or Age 60 with 30 years of service Age 57 or Age 52 with 25 years of service Age 57 or Age 52 with 25 years of service
    Age 49 with 22 years of service* 25 years of service (at any age)*

In most cases, if you have been employed long enough to meet the years of service requirement you are eligible to retire under these provisions. Contact a Pension Specialist to be sure. 
*This applies only if you consented to the Global Pension Settlement or joined ERS after December 31, 1999 

 

Early Retirement. You are eligible to begin receiving a reduced retirement allowance any time after reaching age 55 if you have at least 15 years of creditable service and you are not eligible for a service retirement. Generally, if you have been employed for 15 or more years you are eligible to retire under this provision. Contact a Pension Specialist to be sure. 

 

Deferred Retirement. If you separate from City employment with at least four years of creditable service before you are eligible for service retirement, you can begin receiving a monthly retirement allowance at age 60. Deferred retirement allowances are calculated with the same formula used to calculate service retirement allowances. 

 

Final Average Salary.
This is the member's average annual earnable compensation, which is used to compute the retirement allowance. Final average salary does not include overtime earnings, but may include certain special payments. This amount is calculated differently for General City employees and Protective Services employees. For Firefighters and Police Officers, your final average salary is your 12 months of highest salary, not counting overtime pay. For Firefighters, final average salary includes longevity pay. For Police Officers, it includes certification pay and either longevity in rank pay or variable shift assignment pay. For General City employees generally, your final average salary is the sum of your three highest years of pensionable earnings, divided by three. 

 

NOTE: This calculator only works with WHOLE dollar amounts. Do not enter a decimal point.

 

Survivorship Options.
Under these options, your maximum retirement allowance will be reduced in order to guarantee that after you die, a monthly allowance continues to your named survivor. The amount of your reduction is determined by your age at retirement, the age of your named survivor and the option you elect. 

 

Lump Sum Bonuses.
As a result of the Global Pension Settlement, some members are eligible for lump sum bonuses at retirement. There are two common bonuses that are described here. 

 

GPS 5% Lump Sum Bonus 
If you were an ERS member on January 1, 2000 who consented to the Global Pension Settlement, you are entitled to receive the GPS 5% Lump Sum Bonus. This one-time benefit will become payable when you begin a service, early, deferred or disability retirement. If you die prior to retirement with a PSO in effect that names your spouse as survivor, or if you die a duty death and leave a surviving spouse, this GPS benefit will be payable to that spouse.

 

8.6% Lump Sum Bonus 
Under the Global Pension Settlement, the Fire and Police Survivorship Fund was dissolved as of January 1, 2000. If on that date, you were an active fund member (meaning that you were contributing to the fund) and you consented to the settlement, you MAY be eligible for an additional two years of service credit OR the 8.6% Lump Sum Bonus; a one-time benefit payable at service retirement. In most, but not all cases, police officers receive the additional two years of service credit and firefighters receive the 8.6% bonus. This lump sum benefit will be calculated by multiplying your maximum annual service retirement allowance by 8.6%, then multiplying the resulting amount by a factor that is based on your age at retirement. These are the same factors used to calculate the GPS 5% Lump Sum Bonus.

 

Imputed Service Credit for Firemen and Policemen. 
Certain ERS members who were active Firemen or Policemen as of January 1, 2000 will receive additional service credit.
For those who retire or die in active service as policemen, and who either have at least 25 years of creditable fire or police service or have reached age 57, the imputed service credit is 1.5 years.   For those who retire or die in active service as firemen, the imputed service credit is:

  • if at least 20 years of creditable fire or police service: 1.5 years.
  • if less than 20 years of creditable fire or police service: (1.5 times creditable fire or police service) divided by 20.

 

GPS Benefits Related to Fire and Police Survivorship Fund Dissolution.
Under the Global Pension Settlement, the Fire and Police Survivorship Fund was dissolved as of January 1, 2000.   If on that date, you were an active fund member (meaning that you were contributing to the fund) and you consented to the settlement, you MAY be eligible for an additional two years of service credit OR the 8.6% Lump Sum Bonus (see "Lump Sum Bonuses").  In most, but not all cases, firefighters receive the 8.6% bonus and police officers receive the additional two years of service credit.  This additional service credit will be included in the calculation of your GPS 5% Lump Sum Bonus, but will not count for purposes of the 90% limit on the amount of your service retirement allowance, or for eligibility for benefits.

 

Please note: If you are eligible for the 2 Years Imputed Service Credit, you are not also eligible for the 8.6% Lump Sum Bonus.

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