16.560 Member account.

462 words·~2 min read·/ky/chapter-16/16-560

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)The member account shall be the account to which:

(a)All members' contributions, or contributions picked up by the employer after

August 1, 1982, and interest allowances as provided in KRS 16.505 to 16.652

shall be credited, except as provided by KRS 61.702(2)(b); and

(b)For members who begin participating in the system on or after January 1,

2014, the employer pay credit and interest credited on such amounts as

provided by KRS 16.583 shall be credited.

Only funds from this account shall be used to return accumulated contributions or

accumulated account balances of a member when required by reason of any

provision of KRS 16.505 to 16.652. Prior to the member's retirement, death, or

refund in accordance with KRS 61.625, no funds shall be made available from the

member's account.

(2)Each member's contribution or contribution picked up by the employer shall be

credited to the individual account of the contributing member, except as provided

by KRS 61.702(2)(b).

(a)Each member shall have his individual account credited with interest on June

30 of each fiscal year.

(b)For members who begin participating before September 1, 2008, interest shall

be credited to their individual account at a rate determined by the board but

not less than two and one-half percent (2.5%) per annum on the accumulated

account balance of the member on June 30 of the preceding fiscal year.

(c)For members who begin participating on or after September 1, 2008, but prior

to January 1, 2014, interest shall be credited to their individual account at a

rate of two and one-half percent (2.5%) per annum on the accumulated

account balance of the member on June 30 of the preceding fiscal year.

(d)For members who begin participating on or after January 1, 2014, in the

hybrid cash balance plan, interest shall be credited to their individual account

in accordance with KRS 16.583.

(e)The amounts of interest credited to a member's account under this subsection

and KRS 16.583 and the employer pay credit as provided by KRS 16.583 shall

be transferred from the retirement allowance account.

(a)Upon the retirement of a member who began participating in the system prior

to January 1, 2014, his or her accumulated account balance shall be

transferred from the member's account to the retirement allowance account.

(b)Upon the retirement of a member who began participating in the system on or

after January 1, 2014, who elects to annuitize his or her accumulated account

balance as prescribed by KRS 16.583(7)(a) or (b), the member's accumulated

account balance shall be transferred to the retirement allowance account.

(5)Included as a part of such member's account shall be his accumulated account

balance in the Kentucky Employees Retirement System, if any, transferred to this

system.