ARTICLE 14. STATE EMPLOYEES' RETIREMENT SYSTEM OF ILLINOIS
(40 ILCS 5/14‑101)(from Ch. 108 1/2, par. 14‑101) Sec. 14‑101. Creation of system. A retirement and benefit system is created to provide retirement annuities and other benefits for employees of the State of Illinois. The system shall be known as the "State Employees' Retirement System of Illinois". By such name all its business shall be transacted and its cash and other property held in trust for the purposes of this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑102)(from Ch. 108 1/2, par. 14‑102) Sec. 14‑102. Purpose. The purpose of the system is to provide an orderly means whereby aged or disabled employees may be retired from active service, without prejudice or hardship, and to enable the employees to accumulate reserves for themselves and their dependents for old age, disability, death and termination of employment, thus effecting economy and efficiency in the administration of the State Government. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103)(from Ch. 108 1/2, par. 14‑103) Sec. 14‑103. Terms defined. The terms used in this Article shall have the meanings ascribed to them in the Sections which succeed this Section and precede Section 14‑104, except when the context otherwise requires. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.01)(from Ch. 108 1/2, par. 14‑103.01) Sec. 14‑103.01. Retirement system or system. "Retirement system" or "system": the State Employees' Retirement System of Illinois. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.02)(from Ch. 108 1/2, par. 14‑103.02) Sec. 14‑103.02. Board of trustees or board. "Board of trustees" or "board": the board created in this Article to direct the affairs of the system. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.03)(from Ch. 108 1/2, par. 14‑103.03) Sec. 14‑103.03. Date of establishment. "Date of establishment": January 1, 1944. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.04)(from Ch. 108 1/2, par. 14‑103.04) Sec. 14‑103.04. Department. "Department": Any department, institution, board, commission, officer, court, or any agency of the State having power to certify payrolls to the State Comptroller authorizing payments of salary or wages against State appropriations, or against trust funds held by the State Treasurer, except those departments included under the term "employer" in the State Universities Retirement System. "Department" includes the Illinois Finance Authority. "Department" also includes the Illinois Comprehensive Health Insurance Board. (Source: P.A. 95‑331, eff. 8‑21‑07.)
(40 ILCS 5/14‑103.05)(from Ch. 108 1/2, par. 14‑103.05) Sec. 14‑103.05. Employee. (a) Any person employed by a Department who receives salary for personal services rendered to the Department on a warrant issued pursuant to a payroll voucher certified by a Department and drawn by the State Comptroller upon the State Treasurer, including an elected official described in subparagraph (d) of Section 14‑104, shall become an employee for purpose of membership in the Retirement System on the first day of such employment. A person entering service on or after January 1, 1972 and prior to January 1, 1984 shall become a member as a condition of employment and shall begin making contributions as of the first day of employment. A person entering service on or after January 1, 1984 shall, upon completion of 6 months of continuous service which is not interrupted by a break of more than 2 months, become a member as a condition of employment. Contributions shall begin the first of the month after completion of the qualifying period. A person employed by the Chicago Metropolitan Agency for Planning on the effective date of this amendatory Act of the 95th General Assembly who was a member of this System as an employee of the Chicago Area Transportation Study and makes an election under Section 14‑104.13 to participate in this System for his or her employment with the Chicago Metropolitan Agency for Planning. The qualifying period of 6 months of service is not applicable to: (1) a person who has been granted credit for service in a position covered by the State Universities Retirement System, the Teachers' Retirement System of the State of Illinois, the General Assembly Retirement System, or the Judges Retirement System of Illinois unless that service has been forfeited under the laws of those systems; (2) a person entering service on or after July 1, 1991 in a noncovered position; or (3) a person to whom Section 14‑108.2a or 14‑108.2b applies. (b) The term "employee" does not include the following: (1) members of the State Legislature, and persons
electing to become members of the General Assembly Retirement System pursuant to Section 2‑105;
(2) incumbents of offices normally filled by vote of
the people;
(3) except as otherwise provided in this Section,
any person appointed by the Governor with the advice and consent of the Senate unless that person elects to participate in this system;
(3.1) any person serving as a commissioner of an
ethics commission created under the State Officials and Employees Ethics Act unless that person elects to participate in this system with respect to that service as a commissioner;
(3.2) any person serving as a part‑time employee in
any of the following positions: Legislative Inspector General, Special Legislative Inspector General, employee of the Office of the Legislative Inspector General, Executive Director of the Legislative Ethics Commission, or staff of the Legislative Ethics Commission, regardless of whether he or she is in active service on or after July 8, 2004 (the effective date of Public Act 93‑685), unless that person elects to participate in this System with respect to that service; in this item (3.2), a "part‑time employee" is a person who is not required to work at least 35 hours per week;
(3.3) any person who has made an election under
Section 1‑123 and who is serving either as legal counsel in the Office of the Governor or as Chief Deputy Attorney General;
(4) except as provided in Section 14‑108.2 or
14‑108.2c, any person who is covered or eligible to be covered by the Teachers' Retirement System of the State of Illinois, the State Universities Retirement System, or the Judges Retirement System of Illinois;
(5) an employee of a municipality or any other
political subdivision of the State;
(6) any person who becomes an employee after June
30, 1979 as a public service employment program participant under the Federal Comprehensive Employment and Training Act and whose wages or fringe benefits are paid in whole or in part by funds provided under such Act;
(7) enrollees of the Illinois Young Adult
Conservation Corps program, administered by the Department of Natural Resources, authorized grantee pursuant to Title VIII of the "Comprehensive Employment and Training Act of 1973", 29 USC 993, as now or hereafter amended;
(8) enrollees and temporary staff of programs
administered by the Department of Natural Resources under the Youth Conservation Corps Act of 1970;
(9) any person who is a member of any professional
licensing or disciplinary board created under an Act administered by the Department of Professional Regulation or a successor agency or created or re‑created after the effective date of this amendatory Act of 1997, and who receives per diem compensation rather than a salary, notwithstanding that such per diem compensation is paid by warrant issued pursuant to a payroll voucher; such persons have never been included in the membership of this System, and this amendatory Act of 1987 (P.A. 84‑1472) is not intended to effect any change in the status of such persons;
(10) any person who is a member of the Illinois
Health Care Cost Containment Council, and receives per diem compensation rather than a salary, notwithstanding that such per diem compensation is paid by warrant issued pursuant to a payroll voucher; such persons have never been included in the membership of this System, and this amendatory Act of 1987 is not intended to effect any change in the status of such persons;
(11) any person who is a member of the Oil and Gas
Board created by Section 1.2 of the Illinois Oil and Gas Act, and receives per diem compensation rather than a salary, notwithstanding that such per diem compensation is paid by warrant issued pursuant to a payroll voucher; or
(12) a person employed by the State Board of Higher
Education in a position with the Illinois Century Network as of June 30, 2004, who remains continuously employed after that date by the Department of Central Management Services in a position with the Illinois Century Network and participates in the Article 15 system with respect to that employment.
(c) An individual who represents or is employed as an officer or employee of a statewide labor organization that represents members of this System may participate in the System and shall be deemed an employee, provided that (1) the individual has previously earned creditable service under this Article, (2) the individual files with the System an irrevocable election to become a participant within 6 months after the effective date of this amendatory Act of the 94th General Assembly, and (3) the individual does not receive credit for that employment under any other provisions of this Code. An employee under this subsection (c) is responsible for paying to the System both (i) employee contributions based on the actual compensation received for service with the labor organization and (ii) employer contributions based on the percentage of payroll certified by the board; all or any part of these contributions may be paid on the employee's behalf or picked up for tax purposes (if authorized under federal law) by the labor organization. A person who is an employee as defined in this subsection (c) may establish service credit for similar employment prior to becoming an employee under this subsection by paying to the System for that employment the contributions specified in this subsection, plus interest at the effective rate from the date of service to the date of payment. However, credit shall not be granted under this subsection (c) for any such prior employment for which the applicant received credit under any other provision of this Code or during which the applicant was on a leave of absence. (Source: P.A. 94‑1111, eff. 2‑27‑07; 95‑677, eff. 10‑11‑07.)
(40 ILCS 5/14‑103.06)(from Ch. 108 1/2, par. 14‑103.06) Sec. 14‑103.06. Member. "Member": Any employee included in the membership of the system; and any former employee who made contributions to the system and has not received a refund and who is not receiving a retirement annuity under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.07)(from Ch. 108 1/2, par. 14‑103.07) Sec. 14‑103.07. Annuitant. "Annuitant": A person receiving a retirement annuity under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.08)(from Ch. 108 1/2, par. 14‑103.08) Sec. 14‑103.08. Beneficiary. "Beneficiary": A person receiving an annuity or benefit under this Article other than a retirement annuity. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.09)(from Ch. 108 1/2, par. 14‑103.09) Sec. 14‑103.09. Service. "Service": Service as an employee of a Department, for which compensation is paid by the State. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.10)(from Ch. 108 1/2, par. 14‑103.10) Sec. 14‑103.10. Compensation. (a) For periods of service prior to January 1, 1978, the full rate of salary or wages payable to an employee for personal services performed if he worked the full normal working period for his position, subject to the following maximum amounts: (1) prior to July 1, 1951, $400 per month or $4,800 per year; (2) between July 1, 1951 and June 30, 1957 inclusive, $625 per month or $7,500 per year; (3) beginning July 1, 1957, no limitation. In the case of service of an employee in a position involving part‑time employment, compensation shall be determined according to the employees' earnings record. (b) For periods of service on and after January 1, 1978, all remuneration for personal services performed defined as "wages" under the Social Security Enabling Act, including that part of such remuneration which is in excess of any maximum limitation provided in such Act, and including any benefits received by an employee under a sick pay plan in effect before January 1, 1981, but excluding lump sum salary payments: (1) for vacation, (2) for accumulated unused sick leave, (3) upon discharge or dismissal, (4) for approved holidays. (c) For periods of service on or after December 16, 1978, compensation also includes any benefits, other than lump sum salary payments made at termination of employment, which an employee receives or is eligible to receive under a sick pay plan authorized by law. (d) For periods of service after September 30, 1985, compensation also includes any remuneration for personal services not included as "wages" under the Social Security Enabling Act, which is deducted for purposes of participation in a program established pursuant to Section 125 of the Internal Revenue Code or its successor laws. (Source: P.A. 87‑1265.)
(40 ILCS 5/14‑103.11)(from Ch. 108 1/2, par. 14‑103.11) Sec. 14‑103.11. Rate of Compensation. The actual rate upon which the compensation of an individual is calculated at any time as certified on a payroll. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.12)(from Ch. 108 1/2, par. 14‑103.12) Sec. 14‑103.12. Final average compensation. (a) For retirement and survivor annuities, "final average compensation" means the monthly compensation obtained by dividing the total compensation of an employee during the period of: (1) the 48 consecutive months of service within the last 120 months of service in which the total compensation was the highest, or (2) the total period of service, if less than 48 months, by the number of months of service in such period; provided that for purposes of a retirement annuity the average compensation for the last 12 months of the 48‑month period shall not exceed the final average compensation by more than 25%. (b) For death and disability benefits, in the case of a full‑time employee, "final average compensation" means the greater of (1) the rate of compensation of the employee at the date of death or disability multiplied by 1 in the case of a salaried employee, by 174 in the case of an hourly employee, and by 22 in the case of a per diem employee, or (2) for benefits commencing on or after January 1, 1991, final average compensation as determined under subsection (a). For purposes of this paragraph, full or part‑time status shall be certified by the employing agency. Final rate of compensation for a part‑time employee shall be the total compensation earned during the last full calendar month prior to the date of death or disability. (c) Notwithstanding the provisions of subsection (a), for the purpose of calculating retirement and survivor annuities of persons with at least 20 years of eligible creditable service as defined in Section 14‑110, "final average compensation" means the monthly rate of compensation received by the person on the last day of eligible creditable service (but not to exceed 115% of the average monthly compensation received by the person for the last 24 months of service, unless the person was in service as a State policeman before the effective date of this amendatory Act of 1997), or the average monthly compensation received by the person for the last 48 months of service prior to retirement, whichever is greater. (d) Notwithstanding the provisions of subsection (a), for a person who was receiving, on the date of retirement or death, a disability benefit calculated under subdivision (b)(2) of this Section, the final average compensation used to calculate the disability benefit may be used for purposes of calculating the retirement and survivor annuities. (e) In computing the final average compensation, periods of military leave shall not be considered. (f) The changes to this Section made by this amendatory Act of 1997 (redefining final average compensation for members under the alternative formula) apply to members who retire on or after January 1, 1998, without regard to whether employment terminated before the effective date of this amendatory Act of 1997. (g) For a member on leave of absence without pay who purchases service credit for such period of leave pursuant to subsection (l) of Section 14‑104, earnings are assumed to be equal to the rate of compensation in effect immediately prior to the leave. If no contributions are required to establish service credit for the period of leave, the member may elect to establish earnings credit for the leave period within 48 months after returning to work by making the employee and employer contributions required by subsection (l) of Section 14‑104, based on the rate of compensation in effect immediately prior to the leave, plus interest at the actuarially assumed rate. In determining the contributions required for establishing service credit under this subsection (g), the interest shall be calculated from the beginning of the leave of absence to the date of payment. (Source: P.A. 96‑525, eff. 8‑14‑09.)
(40 ILCS 5/14‑103.13)(from Ch. 108 1/2, par. 14‑103.13) Sec. 14‑103.13. Membership service. "Membership service": Service rendered while a member of the System for which credit is allowable under this Article, and for persons entering service on or after January 1, 1984, or after July 1, 1982 in the case of an emergency or temporary employee as defined in Sections 8b.8 and 8b.9 of the Personnel Code, service rendered as an employee before becoming a member, if credit for such service is received pursuant to Section 14‑104.5. (Source: P.A. 90‑655, eff. 7‑30‑98.)
(40 ILCS 5/14‑103.14)(from Ch. 108 1/2, par. 14‑103.14) Sec. 14‑103.14. Prior service. "Prior service": Service rendered prior to January 1, 1944 for which credit is allowable under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.15)(from Ch. 108 1/2, par. 14‑103.15) Sec. 14‑103.15. Creditable service. "Creditable service": Membership service and the total service certified in prior or military service certificates, if any. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.16)(from Ch. 108 1/2, par. 14‑103.16) Sec. 14‑103.16. Military service. "Military service": Service in the United States Army, Navy, Air Force, Marines or Coast Guard or any women's auxiliary thereof for which credit is allowed under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.17)(from Ch. 108 1/2, par. 14‑103.17) Sec. 14‑103.17. Accumulated contributions. "Accumulated contributions": The sum contributed by a member including credits granted during disability. (Source: P.A. 81‑1536.)
(40 ILCS 5/14‑103.18)(from Ch. 108 1/2, par. 14‑103.18) Sec. 14‑103.18. Annuity. "Annuity": Annual payments for life, or as otherwise provided in this Article, payable in 12 equal monthly installments during the annuity payment period. The first payment shall be made for the first whole calendar month of eligibility after application and the last payment shall be made for the whole calendar month in which eligibility terminates. If an annuity to an annuitant or beneficiary, other than a survivor annuity, is less than $10 per month, the minimum payment shall be $10 per month. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.19)(from Ch. 108 1/2, par. 14‑103.19) Sec. 14‑103.19. Actuarial tables. "Actuarial tables": Tables of mathematical functions derived from mortality, disability and turn‑over rates, combined with interest discount factors as adopted by the board on recommendation of the actuary. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.20)(from Ch. 108 1/2, par. 14‑103.20) Sec. 14‑103.20. Reversionary annuity. "Reversionary annuity": A deferred annuity computed according to the actuarial tables payable to a beneficiary who survives the specified annuitant. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.21)(from Ch. 108 1/2, par. 14‑103.21) Sec. 14‑103.21. Actuarial reserves. "Actuarial reserves": An accumulation of funds in advance of benefit payments which will be sufficient with respect to each member and his beneficiaries, if any, to pay the prescribed benefits, computed according to the actuarial tables, without further contributions by or on behalf of the member. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.22)(from Ch. 108 1/2, par. 14‑103.22) Sec. 14‑103.22. Retirement. "Retirement": The acceptance of a retirement annuity. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.23)(from Ch. 108 1/2, par. 14‑103.23) Sec. 14‑103.23. Regular interest. "Regular interest": Interest at such rate determined from the actual experience of the system as may be prescribed by the board, compounded annually. Credit for regular interest each fiscal year on a member's individual contribution account shall be computed on the accumulated balance in the account at the beginning of each fiscal year. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.24)(from Ch. 108 1/2, par. 14‑103.24) Sec. 14‑103.24. State. "State": The State of Illinois. (Source: P.A. 80‑841.)
ARTICLE 14. STATE EMPLOYEES' RETIREMENT SYSTEM OF ILLINOIS
(40 ILCS 5/14‑101)(from Ch. 108 1/2, par. 14‑101) Sec. 14‑101. Creation of system. A retirement and benefit system is created to provide retirement annuities and other benefits for employees of the State of Illinois. The system shall be known as the "State Employees' Retirement System of Illinois". By such name all its business shall be transacted and its cash and other property held in trust for the purposes of this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑102)(from Ch. 108 1/2, par. 14‑102) Sec. 14‑102. Purpose. The purpose of the system is to provide an orderly means whereby aged or disabled employees may be retired from active service, without prejudice or hardship, and to enable the employees to accumulate reserves for themselves and their dependents for old age, disability, death and termination of employment, thus effecting economy and efficiency in the administration of the State Government. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103)(from Ch. 108 1/2, par. 14‑103) Sec. 14‑103. Terms defined. The terms used in this Article shall have the meanings ascribed to them in the Sections which succeed this Section and precede Section 14‑104, except when the context otherwise requires. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.01)(from Ch. 108 1/2, par. 14‑103.01) Sec. 14‑103.01. Retirement system or system. "Retirement system" or "system": the State Employees' Retirement System of Illinois. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.02)(from Ch. 108 1/2, par. 14‑103.02) Sec. 14‑103.02. Board of trustees or board. "Board of trustees" or "board": the board created in this Article to direct the affairs of the system. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.03)(from Ch. 108 1/2, par. 14‑103.03) Sec. 14‑103.03. Date of establishment. "Date of establishment": January 1, 1944. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.04)(from Ch. 108 1/2, par. 14‑103.04) Sec. 14‑103.04. Department. "Department": Any department, institution, board, commission, officer, court, or any agency of the State having power to certify payrolls to the State Comptroller authorizing payments of salary or wages against State appropriations, or against trust funds held by the State Treasurer, except those departments included under the term "employer" in the State Universities Retirement System. "Department" includes the Illinois Finance Authority. "Department" also includes the Illinois Comprehensive Health Insurance Board. (Source: P.A. 95‑331, eff. 8‑21‑07.)
(40 ILCS 5/14‑103.05)(from Ch. 108 1/2, par. 14‑103.05) Sec. 14‑103.05. Employee. (a) Any person employed by a Department who receives salary for personal services rendered to the Department on a warrant issued pursuant to a payroll voucher certified by a Department and drawn by the State Comptroller upon the State Treasurer, including an elected official described in subparagraph (d) of Section 14‑104, shall become an employee for purpose of membership in the Retirement System on the first day of such employment. A person entering service on or after January 1, 1972 and prior to January 1, 1984 shall become a member as a condition of employment and shall begin making contributions as of the first day of employment. A person entering service on or after January 1, 1984 shall, upon completion of 6 months of continuous service which is not interrupted by a break of more than 2 months, become a member as a condition of employment. Contributions shall begin the first of the month after completion of the qualifying period. A person employed by the Chicago Metropolitan Agency for Planning on the effective date of this amendatory Act of the 95th General Assembly who was a member of this System as an employee of the Chicago Area Transportation Study and makes an election under Section 14‑104.13 to participate in this System for his or her employment with the Chicago Metropolitan Agency for Planning. The qualifying period of 6 months of service is not applicable to: (1) a person who has been granted credit for service in a position covered by the State Universities Retirement System, the Teachers' Retirement System of the State of Illinois, the General Assembly Retirement System, or the Judges Retirement System of Illinois unless that service has been forfeited under the laws of those systems; (2) a person entering service on or after July 1, 1991 in a noncovered position; or (3) a person to whom Section 14‑108.2a or 14‑108.2b applies. (b) The term "employee" does not include the following: (1) members of the State Legislature, and persons
electing to become members of the General Assembly Retirement System pursuant to Section 2‑105;
(2) incumbents of offices normally filled by vote of
the people;
(3) except as otherwise provided in this Section,
any person appointed by the Governor with the advice and consent of the Senate unless that person elects to participate in this system;
(3.1) any person serving as a commissioner of an
ethics commission created under the State Officials and Employees Ethics Act unless that person elects to participate in this system with respect to that service as a commissioner;
(3.2) any person serving as a part‑time employee in
any of the following positions: Legislative Inspector General, Special Legislative Inspector General, employee of the Office of the Legislative Inspector General, Executive Director of the Legislative Ethics Commission, or staff of the Legislative Ethics Commission, regardless of whether he or she is in active service on or after July 8, 2004 (the effective date of Public Act 93‑685), unless that person elects to participate in this System with respect to that service; in this item (3.2), a "part‑time employee" is a person who is not required to work at least 35 hours per week;
(3.3) any person who has made an election under
Section 1‑123 and who is serving either as legal counsel in the Office of the Governor or as Chief Deputy Attorney General;
(4) except as provided in Section 14‑108.2 or
14‑108.2c, any person who is covered or eligible to be covered by the Teachers' Retirement System of the State of Illinois, the State Universities Retirement System, or the Judges Retirement System of Illinois;
(5) an employee of a municipality or any other
political subdivision of the State;
(6) any person who becomes an employee after June
30, 1979 as a public service employment program participant under the Federal Comprehensive Employment and Training Act and whose wages or fringe benefits are paid in whole or in part by funds provided under such Act;
(7) enrollees of the Illinois Young Adult
Conservation Corps program, administered by the Department of Natural Resources, authorized grantee pursuant to Title VIII of the "Comprehensive Employment and Training Act of 1973", 29 USC 993, as now or hereafter amended;
(8) enrollees and temporary staff of programs
administered by the Department of Natural Resources under the Youth Conservation Corps Act of 1970;
(9) any person who is a member of any professional
licensing or disciplinary board created under an Act administered by the Department of Professional Regulation or a successor agency or created or re‑created after the effective date of this amendatory Act of 1997, and who receives per diem compensation rather than a salary, notwithstanding that such per diem compensation is paid by warrant issued pursuant to a payroll voucher; such persons have never been included in the membership of this System, and this amendatory Act of 1987 (P.A. 84‑1472) is not intended to effect any change in the status of such persons;
(10) any person who is a member of the Illinois
Health Care Cost Containment Council, and receives per diem compensation rather than a salary, notwithstanding that such per diem compensation is paid by warrant issued pursuant to a payroll voucher; such persons have never been included in the membership of this System, and this amendatory Act of 1987 is not intended to effect any change in the status of such persons;
(11) any person who is a member of the Oil and Gas
Board created by Section 1.2 of the Illinois Oil and Gas Act, and receives per diem compensation rather than a salary, notwithstanding that such per diem compensation is paid by warrant issued pursuant to a payroll voucher; or
(12) a person employed by the State Board of Higher
Education in a position with the Illinois Century Network as of June 30, 2004, who remains continuously employed after that date by the Department of Central Management Services in a position with the Illinois Century Network and participates in the Article 15 system with respect to that employment.
(c) An individual who represents or is employed as an officer or employee of a statewide labor organization that represents members of this System may participate in the System and shall be deemed an employee, provided that (1) the individual has previously earned creditable service under this Article, (2) the individual files with the System an irrevocable election to become a participant within 6 months after the effective date of this amendatory Act of the 94th General Assembly, and (3) the individual does not receive credit for that employment under any other provisions of this Code. An employee under this subsection (c) is responsible for paying to the System both (i) employee contributions based on the actual compensation received for service with the labor organization and (ii) employer contributions based on the percentage of payroll certified by the board; all or any part of these contributions may be paid on the employee's behalf or picked up for tax purposes (if authorized under federal law) by the labor organization. A person who is an employee as defined in this subsection (c) may establish service credit for similar employment prior to becoming an employee under this subsection by paying to the System for that employment the contributions specified in this subsection, plus interest at the effective rate from the date of service to the date of payment. However, credit shall not be granted under this subsection (c) for any such prior employment for which the applicant received credit under any other provision of this Code or during which the applicant was on a leave of absence. (Source: P.A. 94‑1111, eff. 2‑27‑07; 95‑677, eff. 10‑11‑07.)
(40 ILCS 5/14‑103.06)(from Ch. 108 1/2, par. 14‑103.06) Sec. 14‑103.06. Member. "Member": Any employee included in the membership of the system; and any former employee who made contributions to the system and has not received a refund and who is not receiving a retirement annuity under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.07)(from Ch. 108 1/2, par. 14‑103.07) Sec. 14‑103.07. Annuitant. "Annuitant": A person receiving a retirement annuity under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.08)(from Ch. 108 1/2, par. 14‑103.08) Sec. 14‑103.08. Beneficiary. "Beneficiary": A person receiving an annuity or benefit under this Article other than a retirement annuity. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.09)(from Ch. 108 1/2, par. 14‑103.09) Sec. 14‑103.09. Service. "Service": Service as an employee of a Department, for which compensation is paid by the State. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.10)(from Ch. 108 1/2, par. 14‑103.10) Sec. 14‑103.10. Compensation. (a) For periods of service prior to January 1, 1978, the full rate of salary or wages payable to an employee for personal services performed if he worked the full normal working period for his position, subject to the following maximum amounts: (1) prior to July 1, 1951, $400 per month or $4,800 per year; (2) between July 1, 1951 and June 30, 1957 inclusive, $625 per month or $7,500 per year; (3) beginning July 1, 1957, no limitation. In the case of service of an employee in a position involving part‑time employment, compensation shall be determined according to the employees' earnings record. (b) For periods of service on and after January 1, 1978, all remuneration for personal services performed defined as "wages" under the Social Security Enabling Act, including that part of such remuneration which is in excess of any maximum limitation provided in such Act, and including any benefits received by an employee under a sick pay plan in effect before January 1, 1981, but excluding lump sum salary payments: (1) for vacation, (2) for accumulated unused sick leave, (3) upon discharge or dismissal, (4) for approved holidays. (c) For periods of service on or after December 16, 1978, compensation also includes any benefits, other than lump sum salary payments made at termination of employment, which an employee receives or is eligible to receive under a sick pay plan authorized by law. (d) For periods of service after September 30, 1985, compensation also includes any remuneration for personal services not included as "wages" under the Social Security Enabling Act, which is deducted for purposes of participation in a program established pursuant to Section 125 of the Internal Revenue Code or its successor laws. (Source: P.A. 87‑1265.)
(40 ILCS 5/14‑103.11)(from Ch. 108 1/2, par. 14‑103.11) Sec. 14‑103.11. Rate of Compensation. The actual rate upon which the compensation of an individual is calculated at any time as certified on a payroll. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.12)(from Ch. 108 1/2, par. 14‑103.12) Sec. 14‑103.12. Final average compensation. (a) For retirement and survivor annuities, "final average compensation" means the monthly compensation obtained by dividing the total compensation of an employee during the period of: (1) the 48 consecutive months of service within the last 120 months of service in which the total compensation was the highest, or (2) the total period of service, if less than 48 months, by the number of months of service in such period; provided that for purposes of a retirement annuity the average compensation for the last 12 months of the 48‑month period shall not exceed the final average compensation by more than 25%. (b) For death and disability benefits, in the case of a full‑time employee, "final average compensation" means the greater of (1) the rate of compensation of the employee at the date of death or disability multiplied by 1 in the case of a salaried employee, by 174 in the case of an hourly employee, and by 22 in the case of a per diem employee, or (2) for benefits commencing on or after January 1, 1991, final average compensation as determined under subsection (a). For purposes of this paragraph, full or part‑time status shall be certified by the employing agency. Final rate of compensation for a part‑time employee shall be the total compensation earned during the last full calendar month prior to the date of death or disability. (c) Notwithstanding the provisions of subsection (a), for the purpose of calculating retirement and survivor annuities of persons with at least 20 years of eligible creditable service as defined in Section 14‑110, "final average compensation" means the monthly rate of compensation received by the person on the last day of eligible creditable service (but not to exceed 115% of the average monthly compensation received by the person for the last 24 months of service, unless the person was in service as a State policeman before the effective date of this amendatory Act of 1997), or the average monthly compensation received by the person for the last 48 months of service prior to retirement, whichever is greater. (d) Notwithstanding the provisions of subsection (a), for a person who was receiving, on the date of retirement or death, a disability benefit calculated under subdivision (b)(2) of this Section, the final average compensation used to calculate the disability benefit may be used for purposes of calculating the retirement and survivor annuities. (e) In computing the final average compensation, periods of military leave shall not be considered. (f) The changes to this Section made by this amendatory Act of 1997 (redefining final average compensation for members under the alternative formula) apply to members who retire on or after January 1, 1998, without regard to whether employment terminated before the effective date of this amendatory Act of 1997. (g) For a member on leave of absence without pay who purchases service credit for such period of leave pursuant to subsection (l) of Section 14‑104, earnings are assumed to be equal to the rate of compensation in effect immediately prior to the leave. If no contributions are required to establish service credit for the period of leave, the member may elect to establish earnings credit for the leave period within 48 months after returning to work by making the employee and employer contributions required by subsection (l) of Section 14‑104, based on the rate of compensation in effect immediately prior to the leave, plus interest at the actuarially assumed rate. In determining the contributions required for establishing service credit under this subsection (g), the interest shall be calculated from the beginning of the leave of absence to the date of payment. (Source: P.A. 96‑525, eff. 8‑14‑09.)
(40 ILCS 5/14‑103.13)(from Ch. 108 1/2, par. 14‑103.13) Sec. 14‑103.13. Membership service. "Membership service": Service rendered while a member of the System for which credit is allowable under this Article, and for persons entering service on or after January 1, 1984, or after July 1, 1982 in the case of an emergency or temporary employee as defined in Sections 8b.8 and 8b.9 of the Personnel Code, service rendered as an employee before becoming a member, if credit for such service is received pursuant to Section 14‑104.5. (Source: P.A. 90‑655, eff. 7‑30‑98.)
(40 ILCS 5/14‑103.14)(from Ch. 108 1/2, par. 14‑103.14) Sec. 14‑103.14. Prior service. "Prior service": Service rendered prior to January 1, 1944 for which credit is allowable under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.15)(from Ch. 108 1/2, par. 14‑103.15) Sec. 14‑103.15. Creditable service. "Creditable service": Membership service and the total service certified in prior or military service certificates, if any. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.16)(from Ch. 108 1/2, par. 14‑103.16) Sec. 14‑103.16. Military service. "Military service": Service in the United States Army, Navy, Air Force, Marines or Coast Guard or any women's auxiliary thereof for which credit is allowed under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.17)(from Ch. 108 1/2, par. 14‑103.17) Sec. 14‑103.17. Accumulated contributions. "Accumulated contributions": The sum contributed by a member including credits granted during disability. (Source: P.A. 81‑1536.)
(40 ILCS 5/14‑103.18)(from Ch. 108 1/2, par. 14‑103.18) Sec. 14‑103.18. Annuity. "Annuity": Annual payments for life, or as otherwise provided in this Article, payable in 12 equal monthly installments during the annuity payment period. The first payment shall be made for the first whole calendar month of eligibility after application and the last payment shall be made for the whole calendar month in which eligibility terminates. If an annuity to an annuitant or beneficiary, other than a survivor annuity, is less than $10 per month, the minimum payment shall be $10 per month. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.19)(from Ch. 108 1/2, par. 14‑103.19) Sec. 14‑103.19. Actuarial tables. "Actuarial tables": Tables of mathematical functions derived from mortality, disability and turn‑over rates, combined with interest discount factors as adopted by the board on recommendation of the actuary. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.20)(from Ch. 108 1/2, par. 14‑103.20) Sec. 14‑103.20. Reversionary annuity. "Reversionary annuity": A deferred annuity computed according to the actuarial tables payable to a beneficiary who survives the specified annuitant. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.21)(from Ch. 108 1/2, par. 14‑103.21) Sec. 14‑103.21. Actuarial reserves. "Actuarial reserves": An accumulation of funds in advance of benefit payments which will be sufficient with respect to each member and his beneficiaries, if any, to pay the prescribed benefits, computed according to the actuarial tables, without further contributions by or on behalf of the member. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.22)(from Ch. 108 1/2, par. 14‑103.22) Sec. 14‑103.22. Retirement. "Retirement": The acceptance of a retirement annuity. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.23)(from Ch. 108 1/2, par. 14‑103.23) Sec. 14‑103.23. Regular interest. "Regular interest": Interest at such rate determined from the actual experience of the system as may be prescribed by the board, compounded annually. Credit for regular interest each fiscal year on a member's individual contribution account shall be computed on the accumulated balance in the account at the beginning of each fiscal year. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.24)(from Ch. 108 1/2, par. 14‑103.24) Sec. 14‑103.24. State. "State": The State of Illinois. (Source: P.A. 80‑841.) {"@context":"https://schema.org","@graph":[{"@type":"WebPage","@id":"https://statutes.laws.com/test/","url":"https://statutes.laws.com/test/","name":"State Codes and Statutes - Statutes","isPartOf":{"@id":"https://statutes.laws.com/#website"},"datePublished":"2015-03-10T03:31:37+00:00","dateModified":"2019-12-27T23:25:16+00:00","breadcrumb":{"@id":"https://statutes.laws.com/test/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https://statutes.laws.com/test/"]}]},{"@type":"BreadcrumbList","@id":"https://statutes.laws.com/test/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://statutes.laws.com/"},{"@type":"ListItem","position":2,"name":"State Codes and Statutes"}]},{"@type":"WebSite","@id":"https://statutes.laws.com/#website","url":"https://statutes.laws.com/","name":"Statutes","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://statutes.laws.com/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"}]}
ARTICLE 14. STATE EMPLOYEES' RETIREMENT SYSTEM OF ILLINOIS
(40 ILCS 5/14‑101)(from Ch. 108 1/2, par. 14‑101) Sec. 14‑101. Creation of system. A retirement and benefit system is created to provide retirement annuities and other benefits for employees of the State of Illinois. The system shall be known as the "State Employees' Retirement System of Illinois". By such name all its business shall be transacted and its cash and other property held in trust for the purposes of this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑102)(from Ch. 108 1/2, par. 14‑102) Sec. 14‑102. Purpose. The purpose of the system is to provide an orderly means whereby aged or disabled employees may be retired from active service, without prejudice or hardship, and to enable the employees to accumulate reserves for themselves and their dependents for old age, disability, death and termination of employment, thus effecting economy and efficiency in the administration of the State Government. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103)(from Ch. 108 1/2, par. 14‑103) Sec. 14‑103. Terms defined. The terms used in this Article shall have the meanings ascribed to them in the Sections which succeed this Section and precede Section 14‑104, except when the context otherwise requires. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.01)(from Ch. 108 1/2, par. 14‑103.01) Sec. 14‑103.01. Retirement system or system. "Retirement system" or "system": the State Employees' Retirement System of Illinois. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.02)(from Ch. 108 1/2, par. 14‑103.02) Sec. 14‑103.02. Board of trustees or board. "Board of trustees" or "board": the board created in this Article to direct the affairs of the system. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.03)(from Ch. 108 1/2, par. 14‑103.03) Sec. 14‑103.03. Date of establishment. "Date of establishment": January 1, 1944. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.04)(from Ch. 108 1/2, par. 14‑103.04) Sec. 14‑103.04. Department. "Department": Any department, institution, board, commission, officer, court, or any agency of the State having power to certify payrolls to the State Comptroller authorizing payments of salary or wages against State appropriations, or against trust funds held by the State Treasurer, except those departments included under the term "employer" in the State Universities Retirement System. "Department" includes the Illinois Finance Authority. "Department" also includes the Illinois Comprehensive Health Insurance Board. (Source: P.A. 95‑331, eff. 8‑21‑07.)
(40 ILCS 5/14‑103.05)(from Ch. 108 1/2, par. 14‑103.05) Sec. 14‑103.05. Employee. (a) Any person employed by a Department who receives salary for personal services rendered to the Department on a warrant issued pursuant to a payroll voucher certified by a Department and drawn by the State Comptroller upon the State Treasurer, including an elected official described in subparagraph (d) of Section 14‑104, shall become an employee for purpose of membership in the Retirement System on the first day of such employment. A person entering service on or after January 1, 1972 and prior to January 1, 1984 shall become a member as a condition of employment and shall begin making contributions as of the first day of employment. A person entering service on or after January 1, 1984 shall, upon completion of 6 months of continuous service which is not interrupted by a break of more than 2 months, become a member as a condition of employment. Contributions shall begin the first of the month after completion of the qualifying period. A person employed by the Chicago Metropolitan Agency for Planning on the effective date of this amendatory Act of the 95th General Assembly who was a member of this System as an employee of the Chicago Area Transportation Study and makes an election under Section 14‑104.13 to participate in this System for his or her employment with the Chicago Metropolitan Agency for Planning. The qualifying period of 6 months of service is not applicable to: (1) a person who has been granted credit for service in a position covered by the State Universities Retirement System, the Teachers' Retirement System of the State of Illinois, the General Assembly Retirement System, or the Judges Retirement System of Illinois unless that service has been forfeited under the laws of those systems; (2) a person entering service on or after July 1, 1991 in a noncovered position; or (3) a person to whom Section 14‑108.2a or 14‑108.2b applies. (b) The term "employee" does not include the following: (1) members of the State Legislature, and persons
electing to become members of the General Assembly Retirement System pursuant to Section 2‑105;
(2) incumbents of offices normally filled by vote of
the people;
(3) except as otherwise provided in this Section,
any person appointed by the Governor with the advice and consent of the Senate unless that person elects to participate in this system;
(3.1) any person serving as a commissioner of an
ethics commission created under the State Officials and Employees Ethics Act unless that person elects to participate in this system with respect to that service as a commissioner;
(3.2) any person serving as a part‑time employee in
any of the following positions: Legislative Inspector General, Special Legislative Inspector General, employee of the Office of the Legislative Inspector General, Executive Director of the Legislative Ethics Commission, or staff of the Legislative Ethics Commission, regardless of whether he or she is in active service on or after July 8, 2004 (the effective date of Public Act 93‑685), unless that person elects to participate in this System with respect to that service; in this item (3.2), a "part‑time employee" is a person who is not required to work at least 35 hours per week;
(3.3) any person who has made an election under
Section 1‑123 and who is serving either as legal counsel in the Office of the Governor or as Chief Deputy Attorney General;
(4) except as provided in Section 14‑108.2 or
14‑108.2c, any person who is covered or eligible to be covered by the Teachers' Retirement System of the State of Illinois, the State Universities Retirement System, or the Judges Retirement System of Illinois;
(5) an employee of a municipality or any other
political subdivision of the State;
(6) any person who becomes an employee after June
30, 1979 as a public service employment program participant under the Federal Comprehensive Employment and Training Act and whose wages or fringe benefits are paid in whole or in part by funds provided under such Act;
(7) enrollees of the Illinois Young Adult
Conservation Corps program, administered by the Department of Natural Resources, authorized grantee pursuant to Title VIII of the "Comprehensive Employment and Training Act of 1973", 29 USC 993, as now or hereafter amended;
(8) enrollees and temporary staff of programs
administered by the Department of Natural Resources under the Youth Conservation Corps Act of 1970;
(9) any person who is a member of any professional
licensing or disciplinary board created under an Act administered by the Department of Professional Regulation or a successor agency or created or re‑created after the effective date of this amendatory Act of 1997, and who receives per diem compensation rather than a salary, notwithstanding that such per diem compensation is paid by warrant issued pursuant to a payroll voucher; such persons have never been included in the membership of this System, and this amendatory Act of 1987 (P.A. 84‑1472) is not intended to effect any change in the status of such persons;
(10) any person who is a member of the Illinois
Health Care Cost Containment Council, and receives per diem compensation rather than a salary, notwithstanding that such per diem compensation is paid by warrant issued pursuant to a payroll voucher; such persons have never been included in the membership of this System, and this amendatory Act of 1987 is not intended to effect any change in the status of such persons;
(11) any person who is a member of the Oil and Gas
Board created by Section 1.2 of the Illinois Oil and Gas Act, and receives per diem compensation rather than a salary, notwithstanding that such per diem compensation is paid by warrant issued pursuant to a payroll voucher; or
(12) a person employed by the State Board of Higher
Education in a position with the Illinois Century Network as of June 30, 2004, who remains continuously employed after that date by the Department of Central Management Services in a position with the Illinois Century Network and participates in the Article 15 system with respect to that employment.
(c) An individual who represents or is employed as an officer or employee of a statewide labor organization that represents members of this System may participate in the System and shall be deemed an employee, provided that (1) the individual has previously earned creditable service under this Article, (2) the individual files with the System an irrevocable election to become a participant within 6 months after the effective date of this amendatory Act of the 94th General Assembly, and (3) the individual does not receive credit for that employment under any other provisions of this Code. An employee under this subsection (c) is responsible for paying to the System both (i) employee contributions based on the actual compensation received for service with the labor organization and (ii) employer contributions based on the percentage of payroll certified by the board; all or any part of these contributions may be paid on the employee's behalf or picked up for tax purposes (if authorized under federal law) by the labor organization. A person who is an employee as defined in this subsection (c) may establish service credit for similar employment prior to becoming an employee under this subsection by paying to the System for that employment the contributions specified in this subsection, plus interest at the effective rate from the date of service to the date of payment. However, credit shall not be granted under this subsection (c) for any such prior employment for which the applicant received credit under any other provision of this Code or during which the applicant was on a leave of absence. (Source: P.A. 94‑1111, eff. 2‑27‑07; 95‑677, eff. 10‑11‑07.)
(40 ILCS 5/14‑103.06)(from Ch. 108 1/2, par. 14‑103.06) Sec. 14‑103.06. Member. "Member": Any employee included in the membership of the system; and any former employee who made contributions to the system and has not received a refund and who is not receiving a retirement annuity under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.07)(from Ch. 108 1/2, par. 14‑103.07) Sec. 14‑103.07. Annuitant. "Annuitant": A person receiving a retirement annuity under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.08)(from Ch. 108 1/2, par. 14‑103.08) Sec. 14‑103.08. Beneficiary. "Beneficiary": A person receiving an annuity or benefit under this Article other than a retirement annuity. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.09)(from Ch. 108 1/2, par. 14‑103.09) Sec. 14‑103.09. Service. "Service": Service as an employee of a Department, for which compensation is paid by the State. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.10)(from Ch. 108 1/2, par. 14‑103.10) Sec. 14‑103.10. Compensation. (a) For periods of service prior to January 1, 1978, the full rate of salary or wages payable to an employee for personal services performed if he worked the full normal working period for his position, subject to the following maximum amounts: (1) prior to July 1, 1951, $400 per month or $4,800 per year; (2) between July 1, 1951 and June 30, 1957 inclusive, $625 per month or $7,500 per year; (3) beginning July 1, 1957, no limitation. In the case of service of an employee in a position involving part‑time employment, compensation shall be determined according to the employees' earnings record. (b) For periods of service on and after January 1, 1978, all remuneration for personal services performed defined as "wages" under the Social Security Enabling Act, including that part of such remuneration which is in excess of any maximum limitation provided in such Act, and including any benefits received by an employee under a sick pay plan in effect before January 1, 1981, but excluding lump sum salary payments: (1) for vacation, (2) for accumulated unused sick leave, (3) upon discharge or dismissal, (4) for approved holidays. (c) For periods of service on or after December 16, 1978, compensation also includes any benefits, other than lump sum salary payments made at termination of employment, which an employee receives or is eligible to receive under a sick pay plan authorized by law. (d) For periods of service after September 30, 1985, compensation also includes any remuneration for personal services not included as "wages" under the Social Security Enabling Act, which is deducted for purposes of participation in a program established pursuant to Section 125 of the Internal Revenue Code or its successor laws. (Source: P.A. 87‑1265.)
(40 ILCS 5/14‑103.11)(from Ch. 108 1/2, par. 14‑103.11) Sec. 14‑103.11. Rate of Compensation. The actual rate upon which the compensation of an individual is calculated at any time as certified on a payroll. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.12)(from Ch. 108 1/2, par. 14‑103.12) Sec. 14‑103.12. Final average compensation. (a) For retirement and survivor annuities, "final average compensation" means the monthly compensation obtained by dividing the total compensation of an employee during the period of: (1) the 48 consecutive months of service within the last 120 months of service in which the total compensation was the highest, or (2) the total period of service, if less than 48 months, by the number of months of service in such period; provided that for purposes of a retirement annuity the average compensation for the last 12 months of the 48‑month period shall not exceed the final average compensation by more than 25%. (b) For death and disability benefits, in the case of a full‑time employee, "final average compensation" means the greater of (1) the rate of compensation of the employee at the date of death or disability multiplied by 1 in the case of a salaried employee, by 174 in the case of an hourly employee, and by 22 in the case of a per diem employee, or (2) for benefits commencing on or after January 1, 1991, final average compensation as determined under subsection (a). For purposes of this paragraph, full or part‑time status shall be certified by the employing agency. Final rate of compensation for a part‑time employee shall be the total compensation earned during the last full calendar month prior to the date of death or disability. (c) Notwithstanding the provisions of subsection (a), for the purpose of calculating retirement and survivor annuities of persons with at least 20 years of eligible creditable service as defined in Section 14‑110, "final average compensation" means the monthly rate of compensation received by the person on the last day of eligible creditable service (but not to exceed 115% of the average monthly compensation received by the person for the last 24 months of service, unless the person was in service as a State policeman before the effective date of this amendatory Act of 1997), or the average monthly compensation received by the person for the last 48 months of service prior to retirement, whichever is greater. (d) Notwithstanding the provisions of subsection (a), for a person who was receiving, on the date of retirement or death, a disability benefit calculated under subdivision (b)(2) of this Section, the final average compensation used to calculate the disability benefit may be used for purposes of calculating the retirement and survivor annuities. (e) In computing the final average compensation, periods of military leave shall not be considered. (f) The changes to this Section made by this amendatory Act of 1997 (redefining final average compensation for members under the alternative formula) apply to members who retire on or after January 1, 1998, without regard to whether employment terminated before the effective date of this amendatory Act of 1997. (g) For a member on leave of absence without pay who purchases service credit for such period of leave pursuant to subsection (l) of Section 14‑104, earnings are assumed to be equal to the rate of compensation in effect immediately prior to the leave. If no contributions are required to establish service credit for the period of leave, the member may elect to establish earnings credit for the leave period within 48 months after returning to work by making the employee and employer contributions required by subsection (l) of Section 14‑104, based on the rate of compensation in effect immediately prior to the leave, plus interest at the actuarially assumed rate. In determining the contributions required for establishing service credit under this subsection (g), the interest shall be calculated from the beginning of the leave of absence to the date of payment. (Source: P.A. 96‑525, eff. 8‑14‑09.)
(40 ILCS 5/14‑103.13)(from Ch. 108 1/2, par. 14‑103.13) Sec. 14‑103.13. Membership service. "Membership service": Service rendered while a member of the System for which credit is allowable under this Article, and for persons entering service on or after January 1, 1984, or after July 1, 1982 in the case of an emergency or temporary employee as defined in Sections 8b.8 and 8b.9 of the Personnel Code, service rendered as an employee before becoming a member, if credit for such service is received pursuant to Section 14‑104.5. (Source: P.A. 90‑655, eff. 7‑30‑98.)
(40 ILCS 5/14‑103.14)(from Ch. 108 1/2, par. 14‑103.14) Sec. 14‑103.14. Prior service. "Prior service": Service rendered prior to January 1, 1944 for which credit is allowable under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.15)(from Ch. 108 1/2, par. 14‑103.15) Sec. 14‑103.15. Creditable service. "Creditable service": Membership service and the total service certified in prior or military service certificates, if any. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.16)(from Ch. 108 1/2, par. 14‑103.16) Sec. 14‑103.16. Military service. "Military service": Service in the United States Army, Navy, Air Force, Marines or Coast Guard or any women's auxiliary thereof for which credit is allowed under this Article. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.17)(from Ch. 108 1/2, par. 14‑103.17) Sec. 14‑103.17. Accumulated contributions. "Accumulated contributions": The sum contributed by a member including credits granted during disability. (Source: P.A. 81‑1536.)
(40 ILCS 5/14‑103.18)(from Ch. 108 1/2, par. 14‑103.18) Sec. 14‑103.18. Annuity. "Annuity": Annual payments for life, or as otherwise provided in this Article, payable in 12 equal monthly installments during the annuity payment period. The first payment shall be made for the first whole calendar month of eligibility after application and the last payment shall be made for the whole calendar month in which eligibility terminates. If an annuity to an annuitant or beneficiary, other than a survivor annuity, is less than $10 per month, the minimum payment shall be $10 per month. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.19)(from Ch. 108 1/2, par. 14‑103.19) Sec. 14‑103.19. Actuarial tables. "Actuarial tables": Tables of mathematical functions derived from mortality, disability and turn‑over rates, combined with interest discount factors as adopted by the board on recommendation of the actuary. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.20)(from Ch. 108 1/2, par. 14‑103.20) Sec. 14‑103.20. Reversionary annuity. "Reversionary annuity": A deferred annuity computed according to the actuarial tables payable to a beneficiary who survives the specified annuitant. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.21)(from Ch. 108 1/2, par. 14‑103.21) Sec. 14‑103.21. Actuarial reserves. "Actuarial reserves": An accumulation of funds in advance of benefit payments which will be sufficient with respect to each member and his beneficiaries, if any, to pay the prescribed benefits, computed according to the actuarial tables, without further contributions by or on behalf of the member. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.22)(from Ch. 108 1/2, par. 14‑103.22) Sec. 14‑103.22. Retirement. "Retirement": The acceptance of a retirement annuity. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.23)(from Ch. 108 1/2, par. 14‑103.23) Sec. 14‑103.23. Regular interest. "Regular interest": Interest at such rate determined from the actual experience of the system as may be prescribed by the board, compounded annually. Credit for regular interest each fiscal year on a member's individual contribution account shall be computed on the accumulated balance in the account at the beginning of each fiscal year. (Source: P.A. 80‑841.)
(40 ILCS 5/14‑103.24)(from Ch. 108 1/2, par. 14‑103.24) Sec. 14‑103.24. State. "State": The State of Illinois. (Source: P.A. 80‑841.)
