The MNDCP can accept certain one-time (lump sum) employee deferrals while an employee is still working.

Lump sum deferrals eligible for deferral

  • Severance payments

  • Overtime pay

  • Retroactive pay

  • Compensatory pay

  • Paid time off payments (vacation or sick)

How to process

MSRS recommends that  employees work directly with their Payroll Department if they want a lump sum deferral to their MNDCP account. Their Payroll Department will determine eligibility requirements and payroll timelines.

Note:  If you remit a lump sum deferral for an actively contributing employee you must reset their
ongoing contribution amount back to their normal amount.

One-time deferral form available

If you require/prefer your employees complete a written statement, see One-Time Deferral form (pdf). Feel free to edit this form to meet your needs since the lump sum deferral agreement is between you, the employer, and your employee.