Gov't reprieves from PERS increase

Lauderdale County and Meridian (Miss.) elected officials breathed a sigh of temporary relief after a mandatory increase in employer’s contribution to the state retirement system was postponed until July 2024. It was scheduled to go into effect on Oct. 1. The Public Employees’ Retirement System (PERS) Board of Trustees voted in December to an increase of 5% employers would pay into the retirement fund to 22.4%. The initial move would have cost state and local governments more than $300M annually. Now, at least, governments have time to plan budgets that include the PERS increase. An estimate from the PERS 5-year strategic plan showed the retirement system is on track to have just 67.6% of its obligations funded by 2047. A healthy system should be around 80%. (Meridian Star 02/20/23) Local officials breath easier as PERS increase postponed | Local News | meridianstar.com

While the increase is postponed, it will still go into effect after the July 2024 deadline. Local officials will have to keep the increase in mind as they make plans for the future.