State Retirement System of Illinois  
www.srs.illinois.gov

Bruce Rauner, Governor

SERS LinksSkip to ContentSkip to State Links

Home
Calculators
Contact Us
History
Board of Trustees
Member/Retiree/Survivor Information
   Tier 1 Information   
   Tier 2 Information   
Benefit Packets
FAQ's
   Tier 1 FAQ's   
   Tier 2 FAQ's   
Glossary of Terms
Workshops/Seminars
Forms
Publications
   Tier 1 Publications   
   Tier 2 Publications   
Human Resources
Voluntary Life Insurance
QILDRO Information
Financial & Actuarial
Tier 2 Annual Salary Limitations
Legislation
Tax Information
Mission Statement
Site Map

External Links

















   SERS Tier 2 annual Salary Limitation   

Tier 2 Annual Salary Limitation
&
Annual Increase to the Monthly Pension



In accordance with state law, the Department of Insurance (DOI) is to annually determine certain annuity limitations for use in benefit determinations by the Retirement Systems and Pension Funds operating under the Illinois Pension Code. The calculations include:

  • The retirement Cost of Living Adjustment ("COLA") applicable to Tier 2 participants, and
  • The annual salary maximum applicable to Tier 2 participants.

The annual increase to be used in determining the COLA for Tier 2 is derived from the change in the Consumer Price Index-Urban ("CPI-U") for the 12 months ending with the September proceeding each November 1. State statute requires that the DOI provide these calculations to impacted Retirement Systems and pension Funds by November 1 of each year.

For the State Employees' Retirement System (SERS) the annuity COLA and the increase in the annual salary maximum equals the lesser of 3% or half the CPI-U. The following table outlines the COLA to be applied and the maximum salary for Tier 2 annuity purposes by calendar year.




Calendar Year
Prior Year CPI-U
1/2 CPI-U
Tier 2 COLA or Annuity increase
Tier 2 Annual Earnings,Salary or Wages Maximum
 
2011
 
 
3.00%
$106,800.00
2012
3.90%
1.95%
1.95%
$108,882.60
2013
2.00%
1.00%
1.00%
$109,971.43
2014
1.20%
0.60%
0.60%
$110,631.26
2015
1.70%
0.85%
0.85%
$111,571.63
2016
0.00%
0.00%
0.00%
$111,571.63
2017
1.50%
0.75%
0.75%
$112,408.42



Copyright © 2004 State Retirement System Report SERS Fraud | SRS Privacy Policy | Illinois Privacy Information | Kids Privacy | SRS Webmaster