NEW MEMBER KIT AN INTRODUCTION TO BENEFITS AND MEMBERSHIP LAST UPDATE JANUARY 2011 ALL TIERS

NEW MEMBER KIT AN INTRODUCTION TO BENEFITS AND MEMBERSHIP LAST UPDATE JANUARY 2011 ALL TIERS

Read This First In the front of this package is a "certification of rate of deduction" letter. This includes vital membership information and acts as confirmation that your NYCERS membership is now active. Below is a brief explanation of the meaning of the various fields found on your certification letter. Please note that this explanation may include fields that do not appear on your letter; do not be alarmed for your certification letter will only display the fields that relate to you. 1 2 3 4 5 6 7 8 1 2 3 4 5 6 Certification of Rate of Deduction: This is confirmation that your membership is now active and an explanation of any amounts that are deducted from your paycheck. Be sure to keep this with your most important records. Personal Information: This is the information that NYCERS has on file as your permanent contact information. If there is any error, or if you wish to change this information, you must fill out the correct corresponding form. NYCERS Form #290 is to change your address; Form #291 is to change your name. Membership Number: This is your NYCERS membership number that will remain active until you are no longer a member, or you retire and get a pension number. All correspondence will use this number as an identifier. Use this number to register on our website, www.nycers.org. Retirement Plan: Your City start date, your title, and provisions of law dictate which plan you are in. Knowing which plan you are in will help you understand the benefits you are entitled to and legislation that may affect you and how. Read more about your plan in the enclosed Summary Plan Description booklet. Contribution Rates: Normal Rate is your Basic Member Contribution. In this example it is shown as.0300 which is the same as saying 3%. If you are in a special plan or in a physically taxing title, you will have Additional Member Contributions deducted from your pay. In this example it is shown as.0185 (1.85%) and.0198 (1.98%), respectively. FICA: This determines whether Social Security deductions will affect pension contributions. NYCERS members are required to pay Social Security taxes, however Tier 1 and 2 members can reduce the amount they contribute to their 7 8 pension by what they contribute to Social Security. The following are different classes relating to Social Security deductions: A: Both pension and Social Security deductions are deducted from paycheck C: Pension contributions are reduced by Social Security deductions (T1 and T2 members only) E: Pension contributions only ITHP: Increased Take Home Pay (ITHP) is only applicable to Tier 1 and Tier 2 members. ITHP is the portion of your contribution which is made by your employer on your behalf. A:.08 percent B:.025 percent C:.02 percent D:.025 percent N:.00 percent W: Withheld Deficiency Arrears Payment: A deficit in your account may occur for various reasons; if you have just joined NYCERS it is probably due to a delay in processing your application. The Goal Amount is the total amount that must be reached to pay off any deficit in your account. Y (Yes) or N (No) represents whether the following fields apply to you: IRS 414(H): These contributions are Federal tax deferred but are taxable for state and local income tax purposes. Contribution Split: A portion of this amount may be considered employer contributions and the other considered employee contributions. This is only applicable to Additional Member Contributions and physically taxing contributions made in a Chapter 96 retirement plan (57/5 or 55/25).

Welcome Dear Member: Congratulations on becoming a member of the New York City Employees' Retirement System. We are pleased to provide you with this New Member Kit containing useful information pertaining to your membership. Throughout your membership you will receive various documents from NYCERS that will display your membership number (typically on the upper right hand side); it is important that you become familiar with this number for it will act as your personal identifier for all NYCERS-related business. To help you remember this number we have included a Member Information Card." This card is for your personal use and does not act as a form of personal identification or any other official document. Complete it and keep it in a safe place so you can always remember your membership number. In addition to the resources provided on our website, www.nycers.org, we have opened our doors to pension seminars, where experts lead you through a step-by-step tutorial of your plan provisions. Once a complete overview is given, the presentation transforms into an open forum where members are able to ask our experts individual questions. Each seminar targets a different audience, so be sure to contact your agency to find out when you may attend. All reservations are taken on a group basis through each agency s benefit coordinator or Human Resources representative. Our Call Center and Customer Service Center representatives are also available Monday through Friday, 8 a.m. to 5 p.m. NYCERS also has a 24-hour automated phone system where you can obtain a form or hear information regarding your own personal account such as your loan availability (see page 9 for more information). NYCERS is dedicated to a client-centered approach to quality service delivery. Whether it s upgrading Information Technology infrastructure, facilitating access to information, developing customer service upgrades or instituting advanced security measures, NYCERS is committed to sustaining quality service delivery for all our members, retirees and beneficiaries. Member Information Card In this kit you will find your very own NYCERS Member Information Card. We encourage you to fill it out and keep it at the office, at home, in your wallet or in your rolodex so you have this valuable information available at all times. MEMBER INFORMATION MEMBER NAME: John Smith MEMBERSHIP #: 123456 EXAMPLE CARD This card cannot be used as valid ID or proof of NYCERS Membership Please keep this card in a safe place

FAQs for New Members Q: What are the benefits of NYCERS membership? There are plenty of benefits of membership. Read on for a brief description of some key benefits. Defined Benefit - Because the law defines NYCERS benefits you do not have to guess about the money which will be available to you at retirement. The amount is governed by formulas stated in law, not by the condition of the stock market on the day you retire. Interest - Your contributions to NYCERS continually accrue interest. (Tier 1 & 2-8.25%; Tier 3 & 4-5%). Loans - You can borrow up to 75% of your Basic Member Contributions. Depending on your plan, you may also borrow against your Additional Member Contributions. Enhance your benefit - You may be eligible to buy back previous public service rendered in New York City or New York State, military service, or transfer previous service credit from another NY public employee retirement system into NYCERS. Disability - NYCERS offers two kinds of protection, ordinary (need not have been job-related) and accidental (must have been job-related). Q:Where can I get information on my plan? Enclosed is a Summary Plan Description (SPD) booklet which describes, in detail, the benefits of membership within an individual Tier and Plan. If there have been any changes to the SPD since the last printing you will find them listed in an SPD Update. NYCERS also has a number of Tier and Plan specific brochures covering topics from Loans to Retirement. We encourage you to read these documents to further understand the various benefits NYCERS provides. You can obtain our brochures through our website, pick them up from our Customer Service Center or request them from our Call Center. Q: How do I know which Tier I am in? Your Tier is generally determined by the date you joined NYCERS. Most members joining today are in Tier 4. Below is a chart that may help you determine which Tier you are in based on your date of membership. Please remember, even if you purchased service, your membership date will not change (however, purchased service may be used in calculating future benefits). Refundability - Members who leave City service may be eligible to receive a refund of at least a portion of their accumulated contributions, plus interest. Tier 1 Oct. 1, 1920 Death Benefit - Your designated beneficiaries may receive a death benefit if you die while in active City service, as a vested member, or post-retirement. Tier 2 Tier 3 July 1, 1973 July 27, 1976 (Corrections) Vested Benefit - Vesting is the right to a future retirement benefit even if you leave City Service. To get more information on these topics, please download our helpful easy-to-read brochures from our website. Tier 4 July 27, 1976 to present (not DA Investigators or Corrections)

FAQs for New Members Tier 1 - Members who joined NYCERS prior to July 1, 1973 Tier 2 - Members who joined NYCERS between July 1, 1973 and July 26, 1976 and DA Investigators who join(ed) NYCERS after June 30, 1973 Tier 3 - Correction Officers who join(ed) NYCERS after July 26, 1976 Tier 4 - Members who join(ed) NYCERS after July 26, 1976, except Correction Officers and DA Investigators Q: Can I buy back into another Tier? No. Buying back previous service will just add to your total years of NYCERS service. It has no impact on your Tier. However, if you were in another Tier as a member of NYCERS or any other public retirement system in New York City or New York State and that membership has been terminated, you may be eligible for Membership Reinstatement which may allow you to change Tiers. Q: Why do I need to know my membership number? Your membership number acts as your personal identifier. Although it is best to have this number memorized, we know that sometimes we are overwhelmed with all the numbers we have to remember. Therefore, we have enclosed a member information card that allows you to write in your number and keep it in a safe place in case you forget it. Q: Can I choose the amount taken out of my paycheck? Once you become a member of NYCERS you will begin to have contributions deducted from your paycheck. Your Tier and Plan dictate the amount you are required to contribute, as well as the length of time during which you must contribute. Q: What happens if I decide to leave City Service? It is important that you understand the rules and regulations of your particular Plan, but in general, if you leave City Service you may: Receive a refund of your basic contributions which terminates your membership (not permitted in Tier 3 and 4 if you have more than 10 years of service). Vest your retirement which means you will receive a future benefit when you reach retirement age (for most Plans this option is available if you have five or more years of service). Receive a pension if you meet the age and service requirements of your Plan. Q: When do I qualify for retirement? In most plans, you must reach a certain age and have a certain number of years of service to qualify for retirement. Each Tier and Plan have different requirements so it is important that you refer to an SPD or a brochure that is written specifically for your plan. Q: Where can I get some more questions answered? These questions are simply a glimpse of what we think new members want to know about their NYCERS membership. We are pleased to provide you with the answers to more frequently asked questions on our web site, www.nycers.org. Our online FAQ database will sort through a variety of questions and answers that only pertain to your Tier. In addition, you are always welcome to visit our Customer Service Center or contact our Call Center to speak with our representatives.

Take Advantage of NYCERS Online Resources at www.nycers.org Access General Information Anyone can use the public pages of our website to find: Forms and brochures FAQs Summary Plan Descriptions and Updates Online Report of Death form Summaries of recent legislation Planning Your Retirement brochures Comprehensive Annual Financial Report Annual Report Contact Information Access Your Personal Information Activate your My NYCERS account and gain access to an ever-growing range of tools and services to help you manage your account online in a safe and secure manner. With My NYCERS, you may: Apply for and pay off a loan online Apply for buy-back and use our buy-back calculator Calculate estimated benefits by using our Retirement Calculator Submit a Change of Address View your Service Summary Check your account balances Download a copy of your latest Annual Disclosure Statement

Activate Your MY NYCERS Account To activate your account, go to www.nycers.org and take the following steps: 1. From the homepage, follow the link to Register. You will need to verify your identity by providing your member number, date of birth, and the last 4 digits of your Social Security Number. 2. Create your account. Designate a user name, password, security question and security answer. 3. Create your profile. Provide an email address and telephone number(s) so that we may contact you regarding an important pension-related matter. Personal Identification Number (PIN). After you create your account, we will mail you a unique PIN. You must log in and register the PIN when you receive it.

Online Service Highlights No Account Required Report of Death Notification of a member s or retiree s death triggers a multi-step process by NYCERS to process any death benefits payable. To facilitate the reporting process, NYCERS offers a simple online form enabling the reporting of a member or pensioner s death. Anyone can notify NYCERS of the death of a member or retiree. The informant does not need to be a My NYCERS accountholder. Visiting NYCERS If you have questions about your account or any NYCERS services, set up an appointment online to visit our Customer Service Center (located at 340 Jay Street in downtown Brooklyn) and meet with a NYC- ERS representative. Simply click the Visit NYCERS button on our homepage and indicate the date and time you would like to visit. Current wait times are displayed and updated every 60 seconds. Our Customer Service Center is open Monday through Friday, 8 a.m. 5 p.m.

Online Service Highlights My NYCERS Account Required Online Loans Check your loan availability, calculate different loan amounts and their tax implications (if any), and apply for a loan online (Tier 3 and 4 only). E-payments enable you to pay off the loan online by credit/debit card or e-check (electronic debit of a checking or savings account). SAMPLE Change of Address It is crucial that you maintain a current address with NYCERS so that you receive your Annual Disclosure Statement and other important correspondence from NYCERS. A current, correct address is also required to apply for a loan. My NYCERS accountholders can log in and file a Change of Address online. SAMPLE

Online Service Highlights My NYCERS Account Required Account Balance View the total amount of your contributions (Basic and Additional, where applicable), inclusive of interest earned. SAMPLE Refund Activity If you applied for a refund of your contributions, you may check the status of your application and view the total amount to be refunded. SAMPLE

Call Center - Interactive Voice Response (IVR) System and Voice Print Technology Interactive Voice Response (IVR) System and Voice Print Technology Your Voice bcdefghijklmnopqrstuvwxy a abcdefghijklmnopqrstuvwx equals = Your Fingerprint Interactive Voice Response (IVR) is a technology that allows a computer to process voice and keypad inputs. IVR typically allows callers to service their own inquiries by following the prompts given. Among other things, the IVR system at NYCERS allows callers to request forms and hear certain personal account information (with a registered voice print). Voice Print Technology (VPT) In July 2008, NYCERS upgraded its IVR system, a 24-hour automated phone system, by introducing VPT. VPT enables secure access to members personal account information by authenticating their identity through the unique pattern of their voice. One s vocal characteristics are believed to be equally unique as one s fingerprint. That is why VPT is widely recognized as a solid information security tool, essential to conducting business transactions over the telephone. VPT does not record or store a caller s voice, but rather his or her physical vocal characteristics. The waveforms of the caller s vocal characteristics are recorded and translated into frequencies which can be shown on a spectrogram. The entire enrollment process takes less than one minute. Thereafter, an individual will only need to speak their member or pension number to gain access to all services available through the IVR system. VPT functionalities are as follows: authenticates an identity by using the caller s member or pension number detects bad addresses on file and prompts the caller to change their address provides loan information including loan availability, loan eligibility, tax consequences, loan balance and loan payoff amounts allows loan payoffs by credit charge, debit charge, or by e-check facilitates requests for the top 10 most frequently requested forms

contact us: Mail: 335 Adams Street, Suite 2300 Brooklyn, NY 11201-3724 Visit: Customer Service Center 340 Jay Street, Mezzanine Level Brooklyn, NY 11201-3724 NYCERS' Call Center: (347) 643-3000 1-877-6NYCERS TTY - (347) 643-3501 Web Site: www.nycers.org Business Hours: 8:00 AM - 5:00 PM; Monday - Friday, except holidays