There are also employer contributions to LGERS. These contributions are not credited to a memberâs individual account. Instead, they are placed in a trust fund for the payment of lifetime benefits to all LGERS retirees. The State budget law for the 2021-23 biennium, Senate Bill 105 (â2021 Appropriations Actâ), was signed into law on November 18, 2021.
The accrued liability portion and death benefit portions of the employer rates vary based on factors, unique to each employer, such as:
- age
- past service liability
- number of employees
- payroll
LGERS Employer Contribution Rates are posted on our website. The table is ordered by five-digit employer code, but is also searchable (by employer name) within a browser, or by downloading the PDF and using âEditâ->âFindâ in Adobe. The specific rate(s) paid by each employing unit will include the âbase rateâ from the table above, and other adjustments that are specific to the unit.
Each month, employers must submit to the Retirement Systems Division the required reports and contributions based on each memberâs salary.
All reporting and funds must be transmitted electronically in ORBIT by 5:00 pm on the 5th business day of the month.
***Effective Jan. 1, 2025***
State law requires contributions and reporting be submitted together on or before the 5th business day of the month in order to be considered complete and avoid a penalty.
Employers must report and submit monthly member and employer contributions, which are based on each memberâs salary, to the Retirement Systems Division through the ORBIT employer reporting process. By submitting your required LGERS employer monthly information to the Retirement Systems Division, you are certifying the accuracy of the information.
If contributions are received on or after the fifth state government working day of the month, a penalty of one percent of the contributions due, with a minimum of $25 per month, must be paid by the employer due to delinquent employee and employer contributions. The LGERS Board of Trustees may waive one penalty per employer every five years if the Board determines that the employer consistently demonstrated good-faith efforts to comply with the deadline.
If an employer fails to submit required payments to LGERS within 90 days of the date due, the Retirement Systems Division may collect delinquent payments by intercepting state appropriations allocated to the delinquent employer. Upon notification from the Retirement Systems Division of the employerâs failure to submit payment, the Office of State Budget and Management must withhold the amount due to the Retirement Systems Division from any state appropriations for the employer and transmit the amount to the Retirement Systems Division.
In addition, if LGERS prevails in a civil action against an employer to collect monies owed, the Retirement Systems Division may attach or garnish the employerâs credit card receipts or other third-party payments.
Click here for the Schedule for Submitting Contribution Summary Instructions
Employers must submit detail data, summary information and contributions through ORBIT each month through one of the following methods:
- Enter Report: Through the secure ORBIT Employer website, you can enter the data.
- Submit Report: Through the secure ORBIT Employer website, you can upload the data file to the Retirement Systems Division for processing.
- FTP (File Transfer Protocol): If you do not wish to use ORBIT, you must send the monthly data file to the Retirement Systems Division for processing.
Detailed information about all of these methods and all reporting requirements is here.
In accordance with Rule .0401, Chapter 2B, Title 20, of the North Carolina Administrative Code, the Retirement Systems Division cannot make refunds of employer contributions in cases of erroneous employee deductions, except those which are corrected by the employing unit on a subsequent payroll within the calendar year in which the errors occur. The only exception to this rule is that an error occurring in December may be corrected (without loss of the employer contribution) by submission of a revised payroll for the correct amount before January 31 of the following year.
Employers of law enforcement officers must also contribute on a monthly basis to the NC Supplemental Retirement Income NC 401(k) Plan. An additional five percent of each law enforcement officerâs compensation must be submitted each month.
If you have any questions, or need help with monthly contributions reporting, please contact the Employer Reporting Unit by email at OER@nctreasurer.com or by phone 919-814-4590.
This page was last modified on 07/16/2024