Common use of RETIREMENT AND SEVERANCE PAY Clause in Contracts

RETIREMENT AND SEVERANCE PAY. A. Upon retirement as an Indiana public elementary or secondary school teacher, a teacher may qualify for severance pay of $570 for teachers on the bachelor’s scale and $610 for teachers on the master’s scale times the number of years teaching experience for which they qualify. In order to qualify for the above rate of severance pay, a teacher must have a minimum of ten (10) years experience in the Southern ▇▇▇▇▇ Community School System. A retiring teacher must be at least 50 years of age to be eligible for severance pay. In the event that earlier retirement is necessitated because of physical or mental disability, the Board will decide each case on its own merits. B. In addition, at retirement, accumulated sick leave days will be paid the retiree at the rate of the $60 per day. Sick days earned in excess of the one hundred twenty (120) day limit will be accumulated for severance purposes only. Sick days in excess of the 120-day limit cannot be used for sick leave, but shall be combined with accumulated sick days at the time of retirement to compute severance pay. C. The Board agrees in the case of the teacher’s death, the teacher’s designated beneficiary, or the teacher’s estate if there is no designated beneficiary, will be paid severance pay at the above levels. ▇. ▇▇▇▇▇▇▇▇▇ payments shall begin in June and shall be made in June every year thereafter until the total amount of severance pay has been paid. The initial payment shall be the maximum allowed by the State to be used to determine the benefits under the teacher retirement fund. When a teacher elects to retire, the severance payments will consist of the initial payment of $2,000 and five subsequent equal annual payments. ▇. ▇▇▇ a retiring teacher to receive the initial severance payment in June following his/her retirement, the teacher must notify the Superintendent of his/her intention to retire on or before June 1 of the preceding year. The June 1 deadline for notification may be waived at the discretion of the Board in the event that retirement is necessitated due to emergency circumstances, such as a disabling physical, mental or economic condition. F. The Board agrees to continue the Corporation’s portion of the retiring teacher’s monthly life and health insurance premiums for a period of not more than five (5) years from the date of the teacher’s retirement or until the retiring teacher reaches age sixty-five (65) or would have reached age sixty-five (65). In the event of the teacher’s death during the previously defined period of eligibility, this benefit shall be continued for the remainder of the period of eligibility, as long as the designated beneficiary is under age sixty-five (65) and continues to meet insurance program requirements. G. Any teacher who passes away while in active service and who was eligible to retire shall have their severance paid to their designated beneficiary. H. Part-time teachers shall receive proportionate benefits based upon their full-time equivalency. I. The Board shall establish and maintain a qualified 401(a) Annuity Plan (hereinafter referred to as the “401(a) Plan”) for all certified employees covered under this collective bargaining agreement. The 401(a) Plan contributions will commence with the 2002-2003 contract year and continue each contract year thereafter. The maximum contribution that will be made to the 401(a) Plan by the Board will be .005 of Salary Schedule Salary. All eligible employees shall be vested in the 401(a) Plan upon the completion of ten years of service with Southern ▇▇▇▇▇ Community Schools and are 50 years of age. J. For the certified employees hired after July 1, 2001, the 401(a) Plan will replace the current Retirement and Severance Pay Plan. No provision of paragraphs A through H shall be available to employees hired after July 1, 2001. The severance and retirement for such certified employees shall be limited to the amounts contributed to the 401(a) by the Board and interest or appreciation, if any. Such employees shall be vested in the 401(a) Plan upon completion of ten years of service and upon reaching 50 years of age. K. The 401(a) Plan vendor shall: 1. Conduct compliance testing to ensure no over-funding for any teacher; 2. Fully administer the plan; 3. Provide annual enrollment and consultation services; 4. Provide statements to teachers annually; 5. Prohibit loans or early withdrawals that are not IRS compliant; and 6. Hold the School Corporation harmless from any penalties associates with plan noncompliance. The 401(a) Plan shall be valued effective the last contracted day of employment for the retiring employee. L. In addition, for those certified employees for whom payments are yet scheduled to be made under paragraphs A through E, such payments shall be made into a non-elective post-retirement 403(b) created at retirement in the name of the retiring employee. Such payments by the Board shall be made in five (5) equal annual payments.

RETIREMENT AND SEVERANCE PAY. A. Upon retirement as an Indiana public elementary or secondary school teacher, a teacher may qualify for severance pay of $570 for teachers on the bachelor’s scale and $610 for teachers on the master’s scale times the number of years teaching experience for which they qualify. In order to qualify for the above rate of severance pay, a teacher must have a minimum of ten (10) years experience in the Southern ▇▇▇▇▇ Community School System. A retiring teacher must be at least 50 years of age to be eligible for severance pay. In the event that earlier retirement is necessitated because of physical or mental disability, the Board will decide each case on its own merits. B. In addition, at retirement, accumulated sick leave days will be paid the retiree at the rate of the $60 per day. Sick days earned in excess of the one hundred twenty (120) day limit will be accumulated for severance purposes only. Sick days in excess of the 120-day limit cannot be used for sick leave, but shall be combined with accumulated sick days at the time of retirement to compute severance pay.the C. The Board agrees in the case of the teacher’s death, the teacher’s designated beneficiary, or the teacher’s estate if there is no designated beneficiary, will be paid severance pay at the above levels. ▇. ▇▇▇▇▇▇▇▇▇ payments shall begin in June and shall be made in June every year thereafter until the total amount of severance pay has been paid. The initial payment shall be the maximum allowed by the State to be used to determine the benefits under the teacher retirement fund. When a teacher elects to retire, the severance payments will consist of the initial payment of $2,000 and five subsequent equal annual payments.of ▇. ▇▇▇ a retiring teacher to receive the initial severance payment in June following his/her retirement, the teacher must notify the Superintendent of his/her intention to retire on or before June 1 of the preceding year. The June 1 deadline for notification may be waived at the discretion of the Board in the event that retirement is necessitated due to emergency circumstances, such as a disabling physical, mental or economic condition. F. The Board agrees to continue the Corporation’s portion of the retiring teacher’s monthly life and health insurance premiums for a period of not more than five (5) years from the date of the teacher’s retirement or until the retiring teacher reaches age sixty-five (65) or would have reached age sixty-five (65). In the event of the teacher’s death during the previously defined period of eligibility, this benefit shall be continued for the remainder of the period of eligibility, as long as the designated beneficiary is under age sixty-five (65) and continues to meet insurance program requirements.defined G. Any teacher who passes away while in active service and who was eligible to retire shall have their severance paid to their designated beneficiary. H. Part-time teachers shall receive proportionate benefits based upon their full-time equivalency. I. The Board shall establish and maintain a qualified 401(a) Annuity Plan (hereinafter referred to as the “401(a) Plan”) for all certified employees covered under this collective bargaining agreement. The 401(a) Plan contributions will commence with the 2002-2003 contract year and continue each contract year thereafter. The maximum contribution that will be made to the 401(a) Plan by the Board will be .005 .75% of Salary Schedule Salary. All eligible employees shall be vested in the 401(a) Plan upon the completion of ten years of service with Southern ▇▇▇▇▇ Community Schools and are 50 years of age. J. For the certified employees hired after July 1, 2001, the 401(a) Plan will replace the current Retirement and Severance Pay Plan. No provision of paragraphs A through H shall be available to employees hired after July 1, 2001. The severance and retirement for such certified employees shall be limited to the amounts contributed to the 401(a) by the Board and interest or appreciation, if any. Such employees shall be vested in the 401(a) Plan upon completion of ten years of service and upon reaching 50 years of age. K. The 401(a) Plan vendor shall: 1. Conduct compliance testing to ensure no over-funding for any teacher; 2. Fully administer the plan; 3. Provide annual enrollment and consultation services; 4. Provide statements to teachers annually; 5. Prohibit loans or early withdrawals that are not IRS compliant; and 6. Hold the School Corporation harmless from any penalties associates with plan noncompliance. The 401(a) Plan shall be valued effective the last contracted day of employment for the retiring employee. L. In addition, for those certified employees for whom payments are yet scheduled to be made under paragraphs A through E, such payments shall be made into a non-elective post-post- retirement 403(b) created at retirement in the name of the retiring employee. Such payments by the Board shall be made in five (5) equal annual payments.

RETIREMENT AND SEVERANCE PAY. A. Upon retirement as an Indiana public elementary or secondary school teacher, a teacher may qualify for severance pay of $570 for teachers on the bachelor’s scale and $610 for teachers on the master’s scale times the number of years teaching experience for which they qualify. In order to qualify for the above rate of severance pay, a teacher must have a minimum of ten (10) years experience in the Southern ▇▇▇▇▇ Community School System. A retiring teacher must be at least 50 years of age to be eligible for severance pay. In the event that earlier retirement is necessitated because of physical or mental disability, the Board will decide each case on its own merits. B. In addition, at retirement, accumulated sick leave days will be paid the retiree at the rate of the $60 65 per day. Sick days earned in excess of the one hundred twenty (120) day limit will be accumulated for severance purposes only. Sick days in excess of the 120-day limit cannot be used for sick leave, but shall be combined with accumulated sick days at the time of retirement to compute severance pay. C. The Board agrees in the case of the teacher’s death, the teacher’s designated beneficiary, or the teacher’s estate if there is no designated beneficiary, will be paid severance pay at the above levels. ▇. ▇▇▇▇▇▇▇▇▇ payments shall begin in June and shall be made in June every year thereafter until the total amount of severance pay has been paid. The initial payment shall be the maximum allowed by the State to be used to determine the benefits under the teacher retirement fund. When a teacher elects to retire, the severance payments will consist of the initial payment of $2,000 and five three subsequent equal annual payments. ▇. ▇▇▇ a retiring teacher to receive the initial severance payment in June following his/her retirement, the teacher must notify the Superintendent of his/her intention to retire on or before June 1 March 1st of the preceding yearyear of retirement. The June March 1 deadline for notification may be waived at the discretion of the Board in the event that retirement is necessitated due to emergency circumstances, such as a disabling physical, mental or economic condition. F. The Board agrees to continue the Corporation’s portion of the retiring teacher’s monthly life and health insurance premiums for a period of not more than five (5) years from the date of the teacher’s retirement or until the retiring teacher reaches age sixty-five (65) or would have reached age sixty-five (65). In the event of the teacher’s death during the previously defined period of eligibility, this benefit shall be continued for the remainder of the period of eligibility, as long as the designated beneficiary is under age sixty-five (65) and continues to meet insurance program requirements. For the 2016 calendar year, the annual amount paid by the corporation toward health insurance for retirees shall not exceed the amounts listed below for various plans: $11,380 Family Network Deductible Plan $11,188 Family High Deductible Plan A $10,899 Family High Deductible Plan B $5,402 Single Network Deductible Plan $5,330 Single High Deductible Plan A $5,220 Single High Deductible Plan B Also, for the 2016 calendar year, the annual amount paid toward life insurance shall not exceed $893. Following the five-year period after retirement, the teacher may continue in the group health plan at their own expense until age sixty-five (65) and if the teacher continues to meet insurance program requirements. The amount of the Corporation’s monthly contribution to the life and health insurance premiums shall be fixed at the dollar amount last paid by the Corporation prior to the teacher’s retirement. It should be noted that in the case of life insurance premiums, the teacher shall pay one dollar ($1.00) in the month preceding the beginning of each new year. For the retiring teacher, this benefit is taxable under the present Internal Revenue Code. In the event that the Corporation’s contribution would equal or exceed the total amount of the monthly premium, the amount of the monthly premium is to be paid by the corporation, except at the beginning of the plan year. The exception defined here would require the teacher to contribute one dollar ($1.00) in the month preceding the effective date of the new plan year. The retiring teacher under this benefit would be required to make payment of any difference between the monthly premium amount and the corporation’s share of the premium. The teacher shall be responsible for making sure that the said payments are delivered to the Treasurer on or before the due dates specified by the Treasurer. G. Any teacher who passes away while in active service and who was eligible to retire shall have their severance paid to their designated beneficiary. H. Part-time teachers shall receive proportionate benefits based upon their full-time equivalency. I. The Board shall establish and maintain a qualified 401(a) Annuity Plan (hereinafter referred to as the “401(a) Plan”) for all certified employees covered under this collective bargaining agreement. The 401(a) Plan contributions will commence with the 2002-2003 contract year and continue each contract year thereafter. The maximum contribution that will be made to the 401(a) Plan by the Board will be .005 .75% of Salary Schedule Salary. All eligible employees shall be vested in the 401(a) Plan upon the completion of ten years of service with Southern ▇▇▇▇▇ Community Schools and are 50 years of age.. The 401(a) Plan replaces the current Retirement and Severance Pay Plan. The Retirement and Severance Plan so described above in paragraph A through H will remain in effect until such time as a certified employee receives a greater return from the value of the new 401(a) Plan than he or she would receive under the Retirement and Severance Pay Plan, except for employees described in the following paragraph. The value of the Board contributions and the appreciation, or the amount of the board’s total contributions, whichever is more, of the 401(a) Plan will be counted as an offset to the amount that the certified employee would have received had he or she retired under the current Retirement and Severance Pay Plan, specified in sections A through H. J. For the certified employees hired after July 1, 2001, the 401(a) Plan will replace the current Retirement and Severance Pay Plan. No provision of paragraphs A through H shall be available to employees hired after July 1, 2001. The severance and retirement for such certified employees shall be limited to the amounts contributed to the 401(a) by the Board and interest or appreciation, if any. Such employees shall be vested in the 401(a) Plan upon completion of ten years of service and upon reaching 50 years of age. K. The 401(a) Plan vendor shall: 1. Conduct compliance testing to ensure no over-funding for any teacher; 2. Fully administer the plan; 3. Provide annual enrollment and consultation services; 4. Provide statements to teachers annually; 5. Prohibit loans or early withdrawals that are not IRS compliant; and 6. Hold the School Corporation harmless from any penalties associates with plan noncompliance. The 401(a) Plan shall be valued effective the last contracted day of employment for the retiring employee. L. In addition, for those certified employees for whom payments are yet scheduled to be made under paragraphs A through E, such payments shall be made into a non-elective post-retirement 403(b) created at retirement in the name of the retiring employee. Such payments by the Board shall be made in five (5) equal annual payments.