A participant may elect to postpone his retirement beyond his
normal retirement date. His postponed retirement benefit will be computed
in the same manner as the normal retirement benefit, using compensation
to the postponed retirement date.
Accrued benefit. A member's accrued benefit as of any applicable date will be equal to the product obtained by multiplying the normal retirement benefit determined in accordance with §
49-8, using average monthly compensation as of the date employment terminated multiplied by a fraction, the numerator of which is the years of service to the date employment terminated and the denominator of which is the total years of service the member would have earned if the member continued to work to the normal retirement date.
A. For employees hired prior to January 1, 2020, the following shall
apply to vested benefits:
(1) A participant who terminates employment with the Borough prior to
his or her normal retirement date shall have a vested benefit calculated
by multiplying the member's accrued benefit by the following
applicable percentage:
Years of Service
|
Vesting Percentage
|
---|
Less than 12
|
0%
|
12 or more
|
100%
|
(2) The participant's vested benefit shall be payable commencing
on his or her normal retirement date. If the participant has met the
service requirement for early retirement, he or she may elect to commence
to receive the vested benefit as of the first of any month on or after
his or her early retirement date.
B. For employees hired on or after January 1, 2020, the vested benefit
shall be eliminated.