The North Dakota Public Employees Retirement System (NDPERS) is governed by specific statutes and administrative rules that dictate how retirement benefits are calculated and administered. When a member of the Teachers’ Fund for Retirement (TFFR), a component of NDPERS, separates from service before reaching the age of eligibility for retirement benefits but has accrued sufficient creditable service, they are typically entitled to a deferred retirement benefit. This benefit becomes payable at a future date, usually the age at which they would have been eligible for unreduced benefits had they continued in service. The calculation of this deferred benefit is based on the member’s final average salary and their credited service at the time of separation, projected forward with an assumed rate of return or statutory adjustment until the benefit commencement date. The statutory provisions, such as those found in North Dakota Century Code Chapter 15-39.1, outline the formula for calculating retirement annuities, which involves multiplying the member’s highest average salary over a specified period by a percentage factor that increases with years of service. For a deferred benefit, this formula is applied using the salary and service at separation, with the benefit amount then adjusted to reflect its commencement at a later date, typically through an actuarial adjustment or a statutorily defined growth factor until the age of eligibility.

The North Dakota Public Employees Retirement System (NDPERS) is governed by specific statutes and administrative rules. When a member of a covered retirement plan under NDPERS separates from service before meeting the age and service requirements for unreduced retirement benefits, they typically have options regarding their accumulated contributions. One primary option is to receive a refund of their contributions, which may include any accumulated interest. However, this refund usually results in the forfeiture of all future retirement benefits associated with those contributions. The relevant North Dakota Century Code provisions, such as Chapter 55-01, outline these procedures. The question tests the understanding of what happens to employer contributions when an employee takes a refund of their own contributions. Employer contributions are typically not refundable to the employee upon separation; they are used to fund the overall retirement system. Therefore, if an employee withdraws their accumulated contributions, they forfeit their right to any benefits derived from those contributions, and the employer’s contributions made on their behalf remain with the system.

The North Dakota Public Employees Retirement System (NDPERS) is governed by specific statutes and administrative rules. When a member separates from service, the determination of their eligibility for benefits, particularly concerning the vesting of benefits and the calculation of retirement income, is contingent upon meeting certain criteria outlined in North Dakota Century Code Chapter 15-39.1 and associated administrative rules. A critical aspect is understanding the difference between a vested benefit and a currently payable benefit. Vesting refers to the right to receive a deferred benefit at a future date, typically upon reaching a specific age, even if employment has ceased. A currently payable benefit, however, requires meeting both service and age requirements for immediate distribution. In this scenario, Ms. Evelyn Reed separated from service with 8 years of credited service. According to NDPERS rules, a member typically needs 10 years of credited service to be fully vested. Therefore, Ms. Reed has not yet met the minimum service requirement for vesting. Consequently, she is not entitled to a deferred retirement benefit from NDPERS at this time. Her contributions, however, are refundable under specific provisions, but this is distinct from a vested retirement benefit. The calculation of a retirement benefit, if she were vested and eligible, would involve her final average salary, credited service, and a multiplier factor, but without vesting, these calculations are moot for immediate or deferred benefit entitlement. The core principle here is that separation from service before meeting the vesting threshold means no future retirement benefit is guaranteed by the system, although the return of contributions might be an option.

The North Dakota Public Employees Retirement System (NDPERS) is governed by specific statutes that dictate how benefits are calculated and administered. For a member who has accrued service credit under both the North Dakota Highway Patrol pension plan and the general employee pension plan, the calculation of their retirement benefit involves a blended approach to ensure fairness and compliance with the different benefit formulas. The Highway Patrol plan typically has a more favorable benefit multiplier and earlier retirement eligibility compared to the general employee plan. When a member transitions between these plans or has service in both, the benefit is often calculated by determining the benefit that would be payable from each plan as if the member had remained in that plan for their entire credited service, and then prorating each component based on the actual service rendered in each. For instance, if a member has 10 years of service in the Highway Patrol plan and 20 years in the general employee plan, and the Highway Patrol formula yields a benefit of $X per year of service, and the general employee formula yields a benefit of $Y per year of service, the total benefit would not simply be \(10X + 20Y\). Instead, the calculation would involve determining the benefit from the Highway Patrol service using its formula and the total credited service, and then prorating that amount by the ratio of Highway Patrol service to total service. Similarly, the benefit from the general employee service would be calculated using its formula and prorated by the ratio of general employee service to total service. The final benefit is the sum of these prorated amounts. However, North Dakota law, specifically referencing the structure of NDPERS and its predecessor plans, often employs a method where the benefit is calculated based on the member’s highest average salary and a weighted average of the benefit factors, or by calculating the benefit under each plan’s rules and then summing them, adjusted for any overlapping provisions or statutory limitations. A common method for calculating benefits for individuals with service in different plans within NDPERS, particularly when there’s a transition from a specialized plan like the Highway Patrol to the general plan, is to calculate the benefit as if the entire service were under the general plan, and then add an “excess” benefit derived from the Highway Patrol service that exceeds what the general plan would provide. This is often done by calculating the benefit under the Highway Patrol formula for all service, calculating the benefit under the general employee formula for all service, and then the final benefit is the greater of the two, or a specific statutory formula that combines elements. Given the complexities and the specific legislative intent behind integrating different benefit structures, the benefit is calculated by determining the benefit earned under the Highway Patrol plan for all credited service, and then adding the benefit earned under the general employee plan for all credited service, with specific rules to prevent double-counting or to ensure the benefit reflects the aggregate service. The most accurate approach, aligning with the integration of these plans within NDPERS, is to calculate the benefit as if all service were under the general employee plan, and then add any additional benefit earned due to the Highway Patrol service that exceeds the general plan’s provisions for that same service. This ensures that the member receives the full benefit of their service in both capacities without duplication. Therefore, the calculation would involve the general employee plan’s formula applied to total service, plus the difference between the Highway Patrol plan’s benefit for that service and what the general plan would have provided.

The scenario involves a public employee in North Dakota participating in a defined benefit pension plan. The key is to understand the application of North Dakota Century Code (NDCC) Chapter 55-08, which governs the State Employees’ Retirement System (ND PERS). Specifically, the question probes the treatment of a period of service purchased by an employee that falls outside their initial period of employment covered by the pension plan. According to NDCC § 55-08-07, a member may purchase credit for prior service not otherwise creditable, subject to certain conditions and limitations. When such service is purchased, the member is required to contribute to the system for that period, typically calculated based on the member’s salary during the period of service and the contribution rates in effect at the time of purchase. The employer also makes a corresponding contribution. The benefit calculation for this purchased service is then integrated into the member’s overall pension benefit, using the established formula that considers final average salary and years of service. The crucial point is that the purchase of service credit does not alter the fundamental actuarial assumptions or the benefit accrual rate for the entire service period, but rather it adds creditable service to the member’s record, thereby increasing the pension benefit. The employer’s contribution for purchased service is often a significant factor, as it aims to cover the unfunded liability associated with that additional service. The question tests the understanding that purchased service credit, while enhancing an individual’s benefit, is funded by both employee and employer contributions and is actuarially valued to ensure the long-term solvency of the pension fund, as mandated by the state’s pension laws. The calculation of the exact employer contribution for such purchased service would depend on specific actuarial valuations and the rules in place at the time of purchase, but the principle is that it represents the employer’s share of the cost to fund that additional period of creditable service.

The North Dakota Public Employees Retirement System (NDPERS) administers various retirement plans for state employees. Understanding the provisions for disability retirement is crucial for members. A member of the Teachers’ Fund for Retirement (TFFR), which is administered by NDPERS, becomes totally and permanently disabled after 10 years of credited service. The member’s accumulated contributions are $50,000, and their final average salary is $70,000. The TFFR disability retirement benefit calculation typically involves a percentage of the member’s final average salary, often adjusted by years of service. For a member with 10 years of service, the disability benefit is calculated as 2.5% of the final average salary multiplied by the member’s total credited service, including an assumed service credit for disability. Under TFFR rules, a disabled member receives an additional 10 years of service credit for the purpose of calculating the disability benefit, provided they have at least 5 years of service. Therefore, the member’s benefit is calculated based on 10 years (actual) + 10 years (assumed) = 20 years of credited service. The annual disability benefit is then \(0.025 \times \$70,000 \times 20\). This calculation results in an annual benefit of \(0.025 \times \$1,400,000 = \$35,000\). This annual benefit is paid out in monthly installments. The question asks for the monthly benefit. Therefore, the monthly benefit is \(\$35,000 / 12\). This equals approximately \( \$2,916.67\). The primary purpose of disability retirement benefits is to provide income replacement for members who can no longer work due to a qualifying disability, ensuring a degree of financial security. The specific benefit amount is determined by a formula that considers both the member’s earnings history and their service record, with provisions for assumed service credit to enhance benefits for those who become disabled before reaching standard retirement age. The calculation reflects the legislative intent to provide a meaningful benefit that is actuarially sound and addresses the needs of disabled members.

The North Dakota Public Employees Retirement System (NDPERS) administers retirement and other employee benefit plans for state employees and other public entities in North Dakota. When a participating employee terminates employment before meeting the requirements for a vested retirement benefit, they are generally entitled to a refund of their accumulated contributions. However, the specific rules regarding the treatment of these contributions, especially concerning any potential employer contributions or interest earned, are governed by North Dakota Century Code (NDCC) Chapter 23-09.1. This chapter outlines the conditions under which a refund is permissible and the amount that can be refunded. Specifically, NDCC § 23-09.1-12 addresses refunds of contributions. While employees are typically refunded their own contributions, any employer contributions that may have been made on their behalf, or any interest that has accrued on the employee’s contributions, are generally not refundable upon termination before vesting. The law specifies that upon termination of employment, a member who is not entitled to a retirement benefit is entitled to a refund of their accumulated contributions. The calculation of this refund involves the sum of all contributions made by the member, along with any interest credited to those contributions as per the plan’s provisions. However, employer contributions are not part of the refund to the terminated employee if they are not vested. Therefore, in this scenario, only the accumulated contributions made by Ms. Evangeline Dubois would be refunded.

The North Dakota Public Employees Retirement System (NDPERS) administers retirement, health, and other employee benefits for public employees in North Dakota. A key aspect of pension plan administration involves understanding contribution requirements and their impact on benefit calculations, particularly concerning service credit. When an employee is on an approved leave of absence, such as for military service, North Dakota law, specifically as interpreted through NDPERS regulations and relevant federal USERRA provisions, generally allows for the purchase of service credit for that period. The cost to purchase this service credit is typically calculated based on the employee’s contributions and the employer’s contributions that would have been made during the period of absence, plus an actuarial adjustment or interest. For instance, if an employee, Ms. Anya Sharma, was on a qualifying military leave from July 1, 2020, to June 30, 2022, and her estimated employee contribution rate was 7% of a hypothetical salary of $60,000 annually, and the employer contribution rate was 6.5% of the same salary, the calculation for the purchase of service credit would involve these components. The total hypothetical contribution per year would be \( (0.07 + 0.065) \times \$60,000 = 0.135 \times \$60,000 = \$8,100 \). Over two years, this amounts to \( \$8,100 \times 2 = \$16,200 \). However, the actual cost to purchase service credit may be higher due to interest or actuarial adjustments, as mandated by NDPERS rules to account for the time value of money and the plan’s funding status. The specific interest rate or actuarial factor is determined by NDPERS, but for the purpose of understanding the core principle, the calculation centers on the forgone contributions. Therefore, the base cost to purchase this service credit, before any actuarial adjustments, would be the sum of the employee and employer contributions that would have been made.

The scenario involves the North Dakota Public Employees Retirement System (NDPERS) and the distribution of benefits upon the death of a vested member. Under North Dakota law, specifically related to retirement systems for public employees, a vested member who dies before commencing benefit payments typically has their accumulated contributions, plus any accumulated earnings, paid to their designated beneficiary or estate. This is a fundamental aspect of defined contribution or hybrid retirement plans where contributions are held in individual accounts. The North Dakota Century Code outlines the procedures for benefit distribution in such cases. The law specifies that if a member dies before retirement and has a designated beneficiary, the death benefit is the member’s accumulated contributions. Accumulated contributions generally include the employee’s contributions and any employer contributions that are vested and credited to the member’s account, along with any investment earnings on these amounts. The question tests the understanding of who receives the benefit and in what form, emphasizing the distinction between accumulated contributions and a lifetime annuity, which would only commence if the member had begun receiving benefits. The concept of “accumulated contributions” is key here, as it represents the total value of the member’s account at the time of death, prior to any annuity commencement.

The scenario involves the North Dakota Public Employees Retirement System (NDPERS) and the application of its rules regarding service credit for an employee who participated in a reciprocal retirement system in another state. North Dakota Century Code Section 15-39.1-11 addresses the transfer of service credit between retirement systems. Specifically, it outlines the conditions under which a member of NDPERS can receive credit for service rendered in another public retirement system with which NDPERS has a reciprocal agreement. The key principle is that such credit is typically granted when the member has made contributions to both systems and meets certain eligibility criteria, such as not having received a full retirement benefit from the prior system. The question probes the understanding of how such reciprocal agreements are honored and the specific requirements for recognizing out-of-state service within the North Dakota system, focusing on the legal framework governing these transfers to ensure actuarial soundness and equitable benefit calculations for members who have served in multiple public jurisdictions. The process involves verifying the service and contributions with the originating system and then applying North Dakota’s specific rules for integration.

The scenario involves a public employee in North Dakota who contributed to a defined benefit pension plan and also participated in a deferred compensation plan. Upon separation from service, the employee is entitled to a pension benefit calculated based on their years of service and final average salary. Additionally, the employee has a vested interest in the deferred compensation plan, which is a separate, non-qualified retirement savings plan. The question probes the interaction between these two types of retirement benefits. Specifically, it tests the understanding that while pension benefits are governed by specific public employee retirement system laws and state statutes, deferred compensation plans, often established under Internal Revenue Code Section 457, are distinct and their distribution is subject to the terms of the plan document and IRC regulations. There is no direct calculation required here, but rather an understanding of the separate legal and regulatory frameworks governing each benefit. The pension benefit is a guaranteed monthly payment, while the deferred compensation is an accumulation of contributions and earnings that can be distributed according to plan rules, often upon separation from service or a specified event. The key distinction is that the pension is a defined benefit obligation of the employer, whereas the deferred compensation is an asset set aside for the employee’s future benefit, governed by its own set of rules.

The North Dakota Public Employees Retirement System (NDPERS) offers various retirement plans. When a member separates from service before meeting the minimum age requirement for unreduced benefits but has accrued sufficient service credit, they may be eligible for a deferred retirement benefit. This benefit commences at a later date, typically when the member reaches the age at which they would have qualified for unreduced benefits had they remained in service. The calculation of this deferred benefit is based on the member’s credited service and average salary at the time of separation, adjusted for any actuarial reductions applicable if the benefit is taken before the normal retirement age. For instance, if a member has 25 years of service and a final average salary of \$60,000, and the plan’s benefit formula is 2% per year of service, the annual benefit at normal retirement age would be \(25 \times 0.02 \times \$60,000 = \$30,000\). If this member separates at age 50 and the normal retirement age is 65, they would receive this \$30,000 annually starting at age 65. The North Dakota Century Code, specifically provisions related to NDPERS, governs these eligibility and calculation rules. Understanding the distinction between immediate retirement, early retirement with reduced benefits, and deferred retirement is crucial for members planning their post-employment income. The deferred benefit is designed to provide a retirement income stream without the immediate financial strain of early payout, while also acknowledging the member’s earned service credit.

The North Dakota Public Employees Retirement System (NDPERS) is governed by specific statutes that dictate the rules for benefit calculations. For a member who has elected a single-life annuity option and subsequently passes away before receiving any payments, the benefit is handled according to the provisions of North Dakota Century Code (NDCC) Chapter 44-03.1. Specifically, NDCC § 44-03.1-14 addresses the disposition of accumulated contributions upon death. If a member dies before retirement and has not designated a beneficiary for their accumulated contributions, or if the designated beneficiary is also deceased, the accumulated contributions are paid to their estate. The question asks about the disposition of accumulated contributions for a member who elected a single-life annuity, died before receiving any payments, and had no designated beneficiary. In this scenario, the accumulated contributions, which represent the member’s own contributions plus any accumulated interest, are payable to the member’s estate. This ensures that the funds contributed by the member are returned to their legal heirs.

The scenario describes a situation involving a governmental retirement plan in North Dakota that is subject to specific federal and state regulations. The core issue is whether a particular benefit, described as a “supplemental death benefit,” qualifies as a pension benefit under the North Dakota Public Employees Retirement System (NDPERS) statutes, specifically concerning its treatment for purposes of calculating service retirement benefits. NDPERS is governed by North Dakota Century Code (NDCC) Chapter 54-52.3. This chapter outlines the benefits provided to public employees, including retirement, disability, and survivor benefits. The definition of “pension benefit” generally refers to the periodic payments made to a retiree based on their service and compensation. Supplemental benefits, while part of an overall compensation package, may or may not be integrated into the base pension calculation depending on their nature and the specific plan design and governing statutes. In this case, the supplemental death benefit is described as a lump-sum payment upon death, not a periodic payment during retirement. The question asks about its impact on the calculation of a *service retirement benefit*. Service retirement benefits are typically calculated based on factors such as years of service, final average salary, and a multiplier. A supplemental death benefit, being a distinct benefit payable under different circumstances (death rather than retirement), would generally not be included in the calculation of a service retirement benefit unless explicitly stated in the statute or plan documents. The NDCC defines “retirement benefit” as the monthly amount paid to a member who has retired. Supplemental death benefits are typically separate provisions. Therefore, a supplemental death benefit would not be considered part of the pension benefit for the purpose of calculating a service retirement benefit. The calculation for a service retirement benefit would involve the member’s creditable service and average salary, not a death benefit.

The North Dakota Public Employees Retirement System (NDPERS) offers various retirement plans, including defined benefit and defined contribution options. For a member to be eligible for a retirement benefit under a defined benefit plan, they must meet specific service and age requirements as outlined in North Dakota Century Code Chapter 55-01.1. A key concept is “vesting,” which refers to the employee’s non-forfeitable right to receive retirement benefits. Vesting typically requires a certain number of years of credited service. If a member leaves covered employment before meeting the vesting requirements, they are generally entitled to a refund of their accumulated contributions, but without any employer contributions or earnings on those contributions. The calculation of a retirement benefit for a defined benefit plan involves factors such as final average salary, years of credited service, and a benefit multiplier, all defined by statute. The scenario presented involves an employee who has accrued significant service but is considering leaving employment before reaching the standard retirement age. The question probes the understanding of the conditions under which an employee can claim a benefit, specifically focusing on the interplay of credited service and age requirements for eligibility under a defined benefit structure, as distinct from simply withdrawing contributions. Eligibility for a pension benefit, as opposed to a refund of contributions, necessitates meeting the statutory criteria for retirement, which often includes both a minimum age and a minimum period of credited service. In North Dakota, for many NDPERS plans, this typically means reaching a certain age and having a specified number of years of credited service to qualify for an unreduced pension. Leaving employment before meeting these criteria usually results in a refund of employee contributions, but not the commencement of a pension benefit.

The North Dakota Public Employees Retirement System (NDPERS) administers retirement, health, and other employee benefits for state employees. A key aspect of its operation involves understanding the interplay between state law and federal regulations, particularly regarding retirement plan administration and fiduciary responsibilities. When a public employee in North Dakota separates from service, the determination of their eligibility for retirement benefits, including the calculation of benefit amounts, is governed by specific provisions within North Dakota Century Code Chapter 54-52. This chapter outlines the definitions of service credit, compensation, and the actuarial factors used for benefit calculations. Furthermore, the fiduciary duties of the NDPERS board are informed by both state statutes and federal ERISA principles, even though ERISA primarily applies to private sector plans, certain aspects of fiduciary conduct and prudent investment management are considered best practices and can be implicitly or explicitly referenced in state governance. The question focuses on the core responsibility of NDPERS in managing assets and ensuring the long-term solvency of the retirement system, which directly relates to its fiduciary obligations. The prudent management of assets, diversification, and investment strategies are all critical components of fulfilling these duties, aiming to maximize returns while managing risk appropriately for the benefit of current and future retirees. This involves adhering to investment policies and guidelines established by the board, which are themselves subject to legal and regulatory oversight. The concept of acting with the care, skill, prudence, and diligence that a prudent person acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character and with like aims is central to fiduciary responsibility.

The scenario involves a potential violation of the North Dakota Public Employees Retirement System (NDPERS) rules regarding concurrent employment and benefit accrual. Under NDPERS, if a retired member returns to covered employment with a participating employer, they are generally required to either rejoin the system or, if they are a retiree receiving benefits, their benefits may be suspended or adjusted based on the nature of the re-employment and the specific rules in place at the time of their retirement and re-employment. North Dakota Century Code (NDCC) Chapter 55-12 governs the Public Employees Retirement System. Specifically, NDCC § 55-12-07 addresses members returning to covered employment after retirement. This statute outlines that if a retired member is employed by a participating employer in a position that would otherwise be covered employment, they must notify NDPERS. The statute further details that if the re-employment is on a full-time basis, the member typically must rejoin the system, and their retirement benefits may be recalculated or suspended. If the re-employment is part-time and does not exceed certain thresholds or is for a defined period, benefits might continue, but reporting is still mandatory. In this case, Ms. Anya Sharma, a retiree from the North Dakota Department of Transportation, is working part-time for the City of Bismarck, another NDPERS participating employer, and has not reported this employment to NDPERS. This failure to report is a critical oversight. NDPERS policy and state law require such reporting to ensure correct benefit administration and prevent improper benefit payments. The potential consequences for failing to report concurrent employment can include benefit suspension, repayment of overpaid benefits, and interest. Therefore, the most appropriate action for Ms. Sharma to take is to immediately report her part-time employment to NDPERS to comply with state statutes and prevent further complications.

The North Dakota Public Employees Retirement System (NDPERS) offers various retirement plans. For a member who began contributing on January 1, 2010, and is participating in the defined benefit plan, the calculation of their retirement benefit is based on a formula that considers their years of service and average monthly salary. The formula typically involves a multiplier applied to the average monthly salary over a specified period of highest earnings. For instance, if a member retires with 30 years of service and their highest average monthly salary over a period (e.g., the highest consecutive 36 months) is \$5,000, and the plan’s benefit multiplier is 2.5%, the annual pension would be calculated as: (30 years * \$5,000/month * 12 months/year) * 0.025. However, the question focuses on the *eligibility* for early retirement under specific North Dakota statutes, not the benefit calculation itself. Under North Dakota Century Code (NDCC) Chapter 55-07, a member of the Teachers’ Fund for Retirement (TFFR) or the Public Employees Retirement System (PERS) may be eligible for early retirement if they have attained at least age 60 and completed 10 years of service, or if they have completed 25 years of service regardless of age. The scenario describes an individual who began service in 2010 and is now in 2024, giving them 14 years of service. This individual has not yet attained age 60. Therefore, the only path to early retirement eligibility based on the provided service years is by meeting the 25-year service requirement. Since they only have 14 years of service, they do not meet this criterion. The question asks about the earliest *possible* date of eligibility for early retirement, which would be when they meet one of the statutory conditions. To reach 25 years of service, they would need an additional 11 years from their start date of January 1, 2010. Therefore, 2010 + 11 years = 2021. By January 1, 2021, they would have completed 11 years of service. The question states they began in 2010. To have 25 years of service, they need to complete service until January 1, 2035 (2010 + 25 years). At that point, they would be eligible for early retirement regardless of age. If they were to wait until age 60, and assuming they were born on July 1, 1970, they would turn 60 on July 1, 2030. By July 1, 2030, they would have 20 years of service (from Jan 1, 2010 to July 1, 2030). Thus, they would need to reach 25 years of service. The earliest date they could be eligible for early retirement is when they have accumulated 25 years of service, which would be January 1, 2035. This assumes they continue to be an active contributing member.

The North Dakota Public Employees Retirement System (NDPERS) administers retirement, health, and other benefits for public employees in North Dakota. Understanding the nuances of plan design and eligibility is crucial. In this scenario, the key is to determine which of the provided benefit structures aligns with the principles of defined contribution plans as generally understood and as applied within the context of public sector retirement systems, particularly those that might offer alternative or supplemental options alongside traditional defined benefit plans. A defined contribution plan, such as a 401(k) or 403(b) type arrangement, involves individual accounts where contributions are made by the employee and potentially the employer, with the retirement benefit being dependent on the total contributions and investment performance. This contrasts with defined benefit plans, which promise a specific benefit amount based on factors like salary history and years of service. Evaluating the options, one must identify the plan that most closely reflects the accumulation of individual contributions and investment growth as the primary determinant of the retirement payout, without a pre-guaranteed benefit formula. The correct option describes a plan where the ultimate benefit is directly tied to the sum of contributions and their investment earnings, a hallmark of defined contribution arrangements.

The North Dakota Public Employees Retirement System (NDPERS) is governed by specific statutes that dictate how retirement benefits are calculated. For a member retiring with 30 years of service and an average monthly salary of \$6,500, and assuming a benefit multiplier of 2.0% per year of service, the annual retirement benefit is calculated as follows: First, determine the total percentage of salary based on years of service and the benefit multiplier: Total percentage = Years of Service × Benefit Multiplier Total percentage = 30 years × 2.0% per year = 60% Next, calculate the annual salary: Annual Salary = Average Monthly Salary × 12 months Annual Salary = \$6,500/month × 12 months = \$78,000 Finally, calculate the annual retirement benefit: Annual Retirement Benefit = Annual Salary × Total Percentage Annual Retirement Benefit = \$78,000 × 60% = \$46,800 This calculation is based on the general principles of defined benefit pension plans as administered by NDPERS, where the benefit is a function of service credit and final average salary, adjusted by a statutory multiplier. The specific rules for calculating the final average salary (e.g., the look-back period for salary averaging) and the exact benefit multiplier are defined by North Dakota Century Code, particularly within chapters related to public employee retirement. Understanding these statutory provisions is crucial for accurately determining retirement income for public employees in North Dakota. The calculation demonstrates how the earned service credit, when applied to the average compensation, translates into a predictable stream of retirement income, adhering to the defined benefit structure designed to provide financial security post-employment for North Dakota public servants. The process ensures a systematic approach to pension benefit determination, reflecting the legislative intent to reward long-term public service with a commensurate retirement income.

The scenario involves a potential violation of the North Dakota Public Employees Retirement System (NDPERS) rules regarding concurrent employment and benefit accrual. North Dakota Century Code (NDCC) Section 15-39.1-11 governs the crediting of service for members of the Teachers’ Fund for Retirement. This section specifies that service credit is generally granted for periods of active employment for which contributions are made. However, NDCC Section 15-39.1-11(3) states that a member shall not receive credit for service rendered by a person who is an elected official or a full-time employee of a state agency or political subdivision of the state, if that person is also receiving a salary or wages from that same employer for the same period of service. This provision is intended to prevent double-dipping or receiving credit for service that is essentially the same employment. In this case, while Ms. Albright was an active contributing member of NDPERS through her primary employment as a district manager, her concurrent employment as a part-time elected official for the same political subdivision, for which she also received compensation, would likely be viewed as service rendered to the same employer for overlapping periods. Therefore, NDPERS would be prohibited from crediting the service from her elected position under the provisions of NDCC 15-39.1-11(3). The explanation of the calculation is conceptual: the question tests the understanding of the statutory prohibition against crediting service for concurrent employment with the same employer, not a numerical calculation. The outcome is that the service from the elected position cannot be credited.

The North Dakota Public Employees Retirement System (NDPERS) administers retirement, health, and other benefits for public employees in North Dakota. When a participating employer ceases to be a qualified employer under NDPERS statutes, the disposition of assets within the retirement plan is governed by specific provisions. According to North Dakota Century Code (NDCC) Chapter 55-04.1, specifically concerning the dissolution or termination of a participating employer’s status, the assets held within the retirement fund for the benefit of its employees are to be handled in a manner that preserves the accrued benefits of the members. The law mandates that upon such an event, the assets attributable to the employees of that former employer are to be transferred to another qualified retirement system or plan, or if that is not feasible, distributed in accordance with specific statutory guidelines to ensure that members receive their vested benefits. The objective is to prevent the forfeiture of earned benefits and to maintain the integrity of the retirement system. The primary mechanism for this is the transfer of funds to a successor plan that meets similar standards, thereby ensuring continuity of retirement security for the affected employees.

The scenario describes a situation involving a governmental unit in North Dakota that has established a defined benefit pension plan for its employees. The key issue is how the state’s pension funding statutes, particularly those related to actuarial valuations and the reporting of unfunded liabilities, apply to this specific type of plan. North Dakota Century Code (NDCC) Chapter 24-03.1 governs the funding of public employee retirement plans. This chapter mandates regular actuarial valuations to determine the plan’s funded status and the required contributions. The statutes also require specific disclosures regarding any unfunded actuarial accrued liability. In this case, the plan’s actuarial valuation report indicated an unfunded liability. The question then pertains to the legal obligation of the governmental unit to address this unfunded liability in accordance with North Dakota law. Specifically, NDCC Section 24-03.1-04 outlines the requirements for the political subdivision to develop and implement a plan to amortize the unfunded liability over a period not to exceed thirty years. This involves determining the annual contribution necessary to meet this amortization schedule, in addition to the normal cost of the pension. The governmental unit’s failure to adequately fund the plan, as evidenced by the growing unfunded liability and the lack of a defined amortization schedule, would constitute a violation of its statutory obligations under North Dakota pension funding law. Therefore, the governmental unit is legally obligated to make contributions that are sufficient to amortize the unfunded actuarial accrued liability over the statutorily permitted period, typically thirty years, and to report this progress.

The North Dakota Public Employees Retirement System (NDPERS) administers retirement benefits for state employees. When a member terminates employment before meeting the minimum age and service requirements for a deferred retirement benefit, they are generally entitled to a refund of their accumulated contributions, including any mandatory employee contributions and any voluntary contributions made by the member. This refund is typically paid without interest, as per state law and plan provisions. The relevant statute governing such refunds is found within North Dakota Century Code, specifically concerning the disbursement of contributions upon separation from service. The calculation of the refund amount involves summing the member’s contributions. For instance, if a member contributed \$5,000 annually for 5 years, and made an additional voluntary contribution of \$10,000, their total contributions would be \$5,000 * 5 + \$10,000 = \$35,000. This amount would be refunded. The key principle is that the refund represents the member’s own contributions, not the employer’s contributions or any investment earnings that may have accrued to the fund as a whole. The law distinguishes between a refund of contributions and the commencement of a retirement benefit, which requires meeting specific eligibility criteria. Therefore, the refund is limited to the deposited contributions.

The scenario involves the North Dakota Public Employees Retirement System (NDPERS) and the application of its rules regarding the purchase of service credit. Specifically, it tests the understanding of the conditions under which a member can purchase service credit for periods of employment that occurred prior to their participation in a retirement plan, and the associated cost calculation. In North Dakota, NDPERS allows for the purchase of prior service credit under specific circumstances, often requiring the member to be an active participant and to pay the actuarial cost of that service. The actuarial cost is determined by calculating the present value of the future benefit attributable to that service, based on the member’s age, salary, and the plan’s assumptions regarding interest rates and mortality. The calculation involves determining the projected benefit for the prior service period using the applicable benefit formula and then discounting that future benefit back to the present value using the actuarial present value factor for the member’s age at the time of purchase. For a member who was previously employed by the State of North Dakota but was not a participant in NDPERS during that specific prior employment period, and is now an active participant, they can purchase this service. The cost is the actuarial cost as determined by the system’s actuary. This cost represents the amount needed today to fund the future pension benefit earned during that prior service. The calculation of this actuarial cost is complex and relies on actuarial assumptions, but the principle is that the member pays the full cost of the benefit they are purchasing. The explanation of the calculation involves understanding that the cost is not simply a salary contribution from the past period, but rather the present value of the future pension benefit that service credit will provide.

The scenario describes a situation where a former employee of a North Dakota state agency, who participated in the North Dakota Public Employees Retirement System (NDPERS), is seeking to understand their options regarding their accrued retirement benefits upon leaving employment before reaching normal retirement age. The core issue revolves around the portability and withdrawal of these benefits. North Dakota law, specifically under Chapter 55-01.1 of the North Dakota Century Code, governs the rights and options of public employees regarding their retirement savings. For a member who leaves service before becoming eligible for retirement benefits but has completed at least five years of service, they are generally entitled to a refund of their accumulated contributions, plus any interest earned. This refund is a key provision allowing for the withdrawal of vested benefits. However, this withdrawal often comes with a forfeiture of future retirement rights and potential future employer contributions. The question tests the understanding of this specific withdrawal right for a vested member who has separated from service prior to meeting retirement age criteria. The calculation, in this context, is not a numerical one but rather a conceptual determination of the available benefit option based on the employee’s service history and status within the NDPERS system. The employee has completed 12 years of service, which clearly meets the vesting requirement (typically five years for NDPERS). Therefore, the employee is entitled to a refund of their contributions.

The North Dakota Public Employees Retirement System (NDPERS) administers retirement, health, and other benefits for public employees in North Dakota. The primary legislation governing these benefits is found within North Dakota Century Code (NDCC) Title 55, particularly chapters related to retirement and public employment. When a public employee in North Dakota separates from covered employment, their eligibility for benefits, including any vested benefits, is determined by specific provisions within NDCC. For a member who has accumulated at least five years of service credit with NDPERS and is at least age 65, they are considered to have a vested and matured retirement benefit. If the separation occurs before meeting both age and service credit requirements for a matured benefit, the member may still have a vested right to a deferred retirement benefit, payable when the age and service credit requirements are met. However, if the member withdraws their accumulated contributions, they forfeit all rights to any future retirement benefits from NDPERS, unless they are later rehired and meet certain re-enrollment requirements. In this scenario, Ms. Anya Sharma has 12 years of service credit and is 58 years old. She has separated from her position as a North Dakota state employee. Since she has more than five years of service credit, she is vested. However, she has not yet reached the age of 65, which is the age requirement for a matured retirement benefit. Therefore, her benefit is a deferred retirement benefit, payable when she reaches age 65, assuming she does not withdraw her contributions. The question asks about the status of her benefit. She has vested rights to a deferred retirement benefit.

The scenario involves a state employee in North Dakota who is vested in the North Dakota Public Employees Retirement System (NDPERS). The employee has elected to receive their retirement benefit as a single life annuity with a guaranteed period of 120 months. This means that payments will be made for the employee’s lifetime, and if the employee dies before receiving 120 payments, the remaining payments within that 120-month period will be paid to a designated beneficiary. The question asks about the nature of the benefit payable to the beneficiary if the employee passes away after receiving 45 payments but before the 120-month guarantee period concludes. In North Dakota, under NDPERS provisions, a guaranteed annuity option ensures a minimum number of payments. If the retiree dies before this minimum is reached, the remaining guaranteed payments are distributed to the named beneficiary. The employee has received 45 payments. The guarantee period is 120 months. Therefore, the number of remaining guaranteed payments is \(120 – 45 = 75\). These 75 payments would be made to the designated beneficiary. The benefit payable to the beneficiary is the continuation of the annuity payments for the remaining guaranteed period, not a lump sum or a recalculation of the benefit based on the beneficiary’s life expectancy alone, unless the annuity option specifically included a joint and survivor feature. The single life annuity with a guarantee is distinct from a joint and survivor annuity. The latter would continue payments for the life of the beneficiary, whereas the former continues payments for a set period regardless of the beneficiary’s lifespan, as long as the original retiree did not outlive the guarantee period themselves. Therefore, the beneficiary is entitled to the monthly annuity payment for the remaining 75 months of the guarantee.

The scenario involves the North Dakota Public Employees Retirement System (NDPERS). A crucial aspect of NDPERS administration, particularly concerning member accounts and benefit calculations, is the determination of the “member’s account balance” for purposes of withdrawal or rollover. This balance is not simply the sum of contributions. It is calculated by taking the total contributions made by the member, plus any contributions made by the employer on behalf of the member, and then adding or subtracting the accumulated investment gains or losses on these contributions. The specific gains or losses are determined by the performance of the investment options chosen by the member, as managed by NDPERS. For a member who has contributed for 15 years and made contributions totaling $85,000, with employer contributions of $70,000, and whose investments have yielded a net gain of $45,000 over the period, the member’s account balance is the sum of member contributions, employer contributions, and the net investment gain. Calculation: Member Contributions = $85,000 Employer Contributions = $70,000 Net Investment Gain = $45,000 Member’s Account Balance = Member Contributions + Employer Contributions + Net Investment Gain Member’s Account Balance = $85,000 + $70,000 + $45,000 = $200,000 Therefore, the member’s account balance is $200,000. This balance represents the total value of the member’s retirement account at a specific point in time, reflecting all contributions and investment performance. Understanding this calculation is vital for members when considering retirement options, such as lump-sum distributions or rollovers, as it directly impacts the amount available. The North Dakota Century Code, particularly provisions related to NDPERS, outlines the methodology for calculating these balances and the rights of members regarding their accumulated funds.

The scenario involves the North Dakota Public Employees Retirement System (NDPERS). A key aspect of defined benefit plans, such as those often administered by state systems like NDPERS, is the concept of vesting. Vesting refers to the employee’s right to receive pension benefits upon leaving the employer, even if they depart before reaching retirement age. In North Dakota, for NDPERS members, the typical vesting period for a defined benefit pension is five years of credited service. Credited service is generally accumulated based on periods of employment for which contributions are made. If an employee leaves employment before completing five years of credited service, they are typically entitled to a refund of their own contributions plus any accumulated interest, but they do not retain a right to a future pension benefit from that service. Therefore, an individual who has served for three years and contributed to the plan has not met the statutory vesting requirement for a deferred pension benefit under NDPERS. Their entitlement upon termination would be the return of their contributions with interest.