Contributions to the SBCERA pension fund are made by you and your
employer. These contributions are held in trust by SBCERA and
invested for the long-term.
This 3-minute Quick Tip video provides a simple overview of how
SBCERA determines your contribution rate and how these
contributions fund your future benefit.
Your Contribution Rate
Current Rates
2025-2026 Contribution Rates
SBCERA employer and member contribution rates are set annually
and any changes to the rates are determined by financial
studies conducted by independent actuaries. The
SBCERA Board of
Retirement reviews and sets contribution rate increases
or decreases on the basis of these studies each fiscal year.
Learn more about the Actuarial Valuation and
Review.
Member contributions are paid through payroll deductions and are
based on your membership classification and
tier.
Note: Rates are effective July 1, 2025, for most
SBCERA employers, except at the following employers: Barstow Fire
Protection (June 22, 2025); CSAC and SCAQMD (June 23, 2025).
Tier 1 Members
Tier 1 Members pay a percentage of their earnable compensation
based on their entry age.
Your entry age is:
- Your entry age is your closest age when you began working for
your employer permanently, or
- Your entry age from another public pension system with which
you have previously established reciprocity.
If you are a Tier 1 member that has left employment and
you were rehired by an SBCERA-covered employer, your contribution
rate will be based on your entry age from your earlier employment
if:
- You are rehired within 90 days and your contributions remain
on deposit with SBCERA, or
- You redeposit your contributions within 180 days of being
rehired, or
- You are vested and left your funds on deposit with SBCERA
when you left employment.
If not, your entry age will be based on your
birthday closest to your rehire date.
Tier 2 Members
Tier 2 Members pay a uniform percentage of their pensionable
compensation, regardless of age.
How contributions work
Since contributions are taken as payroll deductions, they will be
taken from a partial paycheck if the paycheck amount is
sufficient to cover the entire contribution. No contribution will
be paid if the entire contribution cannot be taken.
You cannot increase your contributions or add to them to increase
your future benefit. Since SBCERA is a
defined benefit plan, your future lifetime retirement
benefit will be calculated according to a formula and not by how
much money you have contributed to the plan. Therefore,
increasing your contributions will not increase your future
benefit.
You will contribute to SBCERA throughout your career with
a participating SBCERA
employer. However, there are some exceptions that may
nullify your requirement to make further contributions to the
plan:
- If you are Tier 1 member with a membership date
prior to January 1, 2013, and you earn 30 years of service credit
with a participating SBCERA employer; or
- If you were an SBCERA Tier 1 member on March 7,
1973, with 30 years of total service credit including reciprocal
and/or Prior Public Agency Service (PPAS) time; or
- If you are Tier 1 member with a membership date on
or after April 9, 2002 and prior to January 1, 2013,
with 30 years of service credit including reciprocal time; or
- You change your employment status to a position excluded from
SBCERA membership.
You can view your current total accumulated refundable
contributions with SBCERA by logging into your mySBCERA account. Your accumulated
refundable contributions are also provided on your annual SBCERA
member statement, which is sent to you digitally or by mail,
approximately one month following your birthday.
Refundable and Nonrefundable Retirement Options (Tier 1
Only)
You may be able to change your retirement contribution option
during open enrollment if you are a Tier 1
Member permitted under the Public Employee Pension
Reform Act (PEPRA), and as allowed by your Memorandum of
Understanding (MOU). Please contact your Employee Benefits
Division or Human Resources Department to find out if
you’re eligible and for more information.
Refundable Retirement Contributions
If you designate your retirement
contributions as refundable, then you pay the regular
contribution rate required to meet your retirement obligation. If
you leave employment without retiring, you may withdraw or
rollover these refundable contributions plus earned interest in
one lump-sum payment from SBCERA.
Nonrefundable Retirement Contributions
If eligible, and you designate your retirement contributions as
nonrefundable, you pay a reduced contribution rate. This
reduction is determined by the Board of Retirement annually and
is subject to change. If you leave employment without retiring,
you may not withdraw or rollover these non-refundable
contributions from SBCERA.
Accessing Your Contributions
You cannot:
- Borrow from your SBCERA account.
- Withdraw your contributions while you are still employed by a
participating SBCERA employer or while under a reciprocal
agreement.
If your employment status changes (part-time or no longer
eligible for SBCERA membership):
- You will no longer pay retirement contributions or accrue
service credit.
- However, your past contributions will remain on deposit and
continue to earn interest.
You may not refund contributions unless:
If you terminate employment:
- You may take a refund of your accumulated refundable
contributions and the interest credited on them.
-
However, taking a refund will end your membership with
SBCERA and eliminate any future eligibility for a monthly
SBCERA retirement benefit.
Employer Contributions
Employer contribution percentages vary by employer and plan
membership. Employer contributions are not refundable to the
employee at any time.
Learn
more
