The following MSRS pension plans follow most provisions of the General Employees Retirement Plan; however, there are several unique plan features to be aware of.
The State Fire Marshals Retirement Plan covers employees of the State Fire Marshal's Division employed as deputy state fire marshal fire/arson investigators. This plan began July 1, 1999.
The Fire Marshals Plan provides retirement, survivor and disability coverage. Once retired, you receive a monthly retirement benefit for life with potential post-retirement increases. Depending on the option you select at retirement, your survivor(s) may be eligible to receive a lifetime benefit upon your death.
The Fire Marshals Retirement Plan follows the same provisions as the General Employees Retirement Plan; however, unique plan features are described below.
Fire Marshals Retirement Plan - Unique Plan Features
Contribution rates are established by Minnesota law.
- Employee contribution: 8.78% of gross salary (starting 7/1/2019)
8.28% (temporary reduction starting July 1, 2023 to June 30, 2025)
- Employer contribution: 10.45% of gross salary
To become a member of the Fire Marshals Plan:
- You must file an irrevocable election with the MSRS Executive Director stating that you choose to be a member of this plan. Contact MSRS to request a Plan Selection Form.
- Form must be filed with MSRS within 90 days of your employment start date.
Age at which you can collect an unreduced (full) retirement benefit is age 55.
Monthly benefits are computed using a formula.
You receive 2% for each year of service.
You may be eligible for a disability benefit if you are unable to perform your duties and are disqualified from active duty.
The Fire Marshals Plan offers two types of disability: Job-related disability and non-job-related disability.
The Military Affairs Retirement Plan covers military affairs personnel on active duty. The plan provides retirement, survivor, and disability coverage.
Once retired, you receive a monthly retirement benefit for life with potential post-retirement increases. Depending on the option you select at retirement, your survivor(s) may be eligible to receive a lifetime benefit upon your death.
The Military Affairs Retirement Plan follows the same provisions as the General Employees Retirement Plan; however, unique plan features are described below.
Military Affairs Retirement Plan - Unique Plan Features
Contribution rates are established by Minnesota law.
- Employee Contribution: 7.60% of gross salary (starting 7/1/2018)
7.10% (temporary reduction starting July 1, 2023 to June 30, 2025
- Employer Contribution: 7.85% of employee's gross salary
To be a member of the Military Affairs Plan:
- You must file an irrevocable election with the MSRS Executive Director stating that you choose to be a member of this plan. Contact MSRS to request a Plan Selection Form.
- Form must be filed with MSRS within 90 days of your start of employment.
Age at which you can collect an unreduced (full) retirement benefit. Eligibility:
- Active duty personnel under the rank of Major General are required to retire at age 60 with the right to request an extension to age 62 (per Dept of Military Affairs).
- If hired before July 1, 1989: Rule of 90 (your age plus years of service must equal 90).
Earliest age you can retire; however, your retirement benefit will be reduced:
- Generally, age 55 (if you are not required to retire early).
- If hired before July 1, 1989: any age provided you have 30 years of service.
Plan closed to new members effective January 1, 2008. There are no active members contributing to this plan.
The Transportation Department Pilots Plan (Pilots Plan) covers pilots and chief pilots employed by the Department of Transportation (DOT). The plan was established to meet the mandatory early retirement requirements of DOT pilots.
The Pilots Plan provides retirement, survivor and disability coverage. Once retired, you receive a monthly retirement benefit for life with potential post-retirement increases. Depending on the option you select at retirement, your survivor(s) may be eligible to receive a lifetime benefit upon your death.
The Transportation Pilots Retirement Plan follows the same provisions as the General Employees Retirement Plan; however, unique plan features are described below.
Transportation Pilots Retirement - Unique Plan Features
There are currently no active members contributing to this plan. For historical purposes, here were the contribution rates:
- Employee contributions: 7.35% of gross salary
- Employer contributions: 7.475% of employee's gross salary
Age at which you can collect an unreduced (full) retirement benefit. Eligibility:
- Age 62, or if prohibited from performing the duties of a pilot or chief pilot.
- If hired before July 1, 1989: Rule of 90 (your age plus years of service must equal 90).
Earliest age you can retire; however, your retirement benefit will be reduced:
- Generally, age 55.
- If hired before July 1, 1989: any age provided you have 30 years of service.
Age 65, per Commissioner of Transportation policy
- Must be under age 62 to apply for disability benefit. After age 62, it's considered a retirement benefit.
- FAA must determine you are ineligible to obtain a pilot's medical certification.
- If under age 62 at time of disability, will receive 75% of pilot's salary for five year or until age 62, whichever is first. Salary is paid by the MNDOT.
Certain current and former Fairview employees are eligible to receive a monthly retirement benefit from Minnesota State Retirement System (MSRS) because they were employed by the University of Minnesota when acquired by Fairview. Eligible employees include:
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University of Minnesota Hospital & Clinics (UMHC) employees employed prior to January 1, 1997
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University of Minnesota Physicians (UMP) employees employed prior to January 1, 1998
Prior to the privatization, these U of M employees were Minnesota public employees and contributed to the General Employees Retirement Plan (General Plan) administered by MSRS. Employees are eligible for a monthly pension benefit when they reach retirement age.
Fairview employees are covered by the General Employees Retirement Plan; however, unique plan features are described below.
Fairview - Unique Plan Features
While former UMHC / UMP employees may be eligible for a pension plan under the General Plan, state law provides a higher (enhanced) augmentation so that employees are able to maintain the value of their pension plan following privatization.
Think of augmentation like compounding interest that increases the value of your benefit every month that you wait to start collecting your benefit. When you apply for your pension, MSRS will calculate your benefit based on your current age and then increase (or augment) at the compounding annual rates in the table below.
Enhanced augmentation schedule
Important! The 2018 Omnibus Retirement Bill removed deferred augmentation as a benefit for all public pension plans. As a result, the UMHC/UMP enhanced augmentation will gradually be phased out. Additional augmentation will not accrue after December 31, 2024. You will remain entitled to any augmentation accrued up to that point.
| Year | Augmentation up to age 55 | Augmentation age 55 & older |
| 1997-2018 | 5.50% | 7.50% |
| 2019 | 4.50% | 4.50% |
| 2020 | 3.75% | 3.75% |
| 2021 | 3.00% | 3.00% |
| 2022 | 2.25% | 2.25% |
| 2023 | 1.50% | 1.50% |
| 2024 | 0.75% | 0.75% |
| 2025 | No additional augmentation will accrue after 12/31/2024 | |
Eligibility for enhanced augmentation:
- Transferred from the UMHC to Fairview Health Services on Jan 1, 1997; or from UMP to Fairview Health Services on Jan 1, 1998.
- If under age 62, must terminate employment with Fairview before eligible to collect a pension with enhanced augmentation.
- Do not need to remain an employee of Fairview to be eligible for enhanced augmentation.
Subsequent public employment
Former UMHC / UMP employees who accepts a position covered by a Minnesota public pension plan will receive no less than the value of their enhanced augmentation pension upon retirement.
Vesting is the amount of time you need to work in public employment in order to qualify for a pension plan benefit. Former UMHC / UMP employees are vested with any amount of covered service. They do not require three years of service, which is the normal vesting period for those hired before July 1, 2010.
Normal (full) and early retirement age is the same as all other employees covered by the General Plan with the following exception: Former UMHC / UMP employees who started covered employment before July 1, 1989 are eligible for Rule of 90 (your age plus years of service equals 90). Time spent employed with Fairview counts toward Rule of 90 credit. Private employment with any other employer does not count toward Rule of 90 credit.
Retirement benefits are calculated under the law in effect on a member's last working day as a public employee. Your benefit calculation is based on the high-five salary, length of service, and benefit formula you qualified for at that time, plus the enhanced augmentation that has accrued on your account since then.
Last working date as public employee:
- Former UMHC employees - December 31, 1996
- Former UMP employees - December 31, 1997