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Employers Manual
Retirement Incentive Plan for Defined Benefit Plan Members
Summary of Procedures
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Any employer who adopts the Retirement Incentive Plan must formally notify STRS Ohio on the
Employer Notification to STRS Ohio of Adoption of Retirement Incentive Plan form. -
The employer should make available the Member Information Packet to those members eligible to participate. Contact STRS Ohio for a supply of packets.
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Members who wish to participate in the plan will officially notify their employer on the
Notice to Employer of Intent to Participate in Retirement Incentive Plan form. The employer should then complete
the employer portion of the form and forward the form to STRS Ohio
before the effective date of retirement. If the member’s retirement
date changes, a new form must be completed and sent to STRS
Ohio. -
STRS Ohio will give members the opportunity to purchase any additional service credit for which they may be eligible and will provide an estimate of the member’s retirement benefits. Any additional credit must be purchased before STRS Ohio can provide the employer with the cost to purchase retirement incentive credit.
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STRS Ohio will notify members on the Notice to Member Regarding Establishment of Service Credit form of the purchase of retirement incentive credit by the employer. This form will be mailed to members at the appropriate time so the date of retirement will fall within the required 90-day period.
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Retiring members would then complete the STRS Ohio Service Retirement Application and return it to STRS Ohio at least three months before retirement. The effective date of retirement is always the first day of any month.
- Even though the number of years being purchased must be uniformly
offered, a member and employer may agree to waive a portion of the
credit. To waive credit, the Waiver of Retirement Incentive Credit form must be completed and signed by
both the member and the employer’s authorized representative. Upon
receipt of the completed form by STRS Ohio, the waiver is permanent
and irrevocable.
Signing a waiver may decrease the percentage of final average salary (FAS) used in calculating the benefit, thus decreasing the benefit amount. Only the member may request the form for waiving credit from STRS Ohio. Before the form is sent, STRS Ohio will advise the member of the effect of the waiver on retirement benefits.
