MSRS coverage is a condition of employment under Minnesota State Statutes. Each defined benefit/defined contribution plan has specific eligibility provisions. In the absence of specific criteria, Minnesota Statutes, section 352.01, subdivision 2a and 2b, which defines included and excluded employees, will prevail.

There are two types of employers who deduct contributions from payroll and contribute to the MSRS on behalf of their members: State of Minnesota employers and Quasi-state employers.

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Defined Benefit vs Defined Contribution Plans


Defined Benefit Pension Plan

Most Minnesota public employees and employers are required by Minnesota law to contribute a percentage of an employee's gross salary to a defined benefit pension plan. Upon meeting requirements at retirement, the employee will receive a monthly lifetime benefit based on their average monthly salary for the highest five consecutive five-year period during the employee's career.

MSRS has eight defined benefit pension plans for State employees:
The General Employees Retirement Plan,  the Correctional Employees Retirement Plan,  the State Patrol Retirement Plan,  the Judges Plan, the Legislators Plan, the Military Affairs Plan, the State Fire Marshals Plan, and the Transportation Department Pilots Plan.

 

Defined Contribution Plans

A defined contribution plan is a type of retirement plan that bases retirement benefits on amounts contributed to the account by the employee and employer plus any potential earnings based on the investments the employee selects.

The Unclassified Retirement Plan and Minnesota Deferred Compensation 457(b) Plan are two types of defined contribution plans sponsored by MSRS.

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Mandatory Retirement Age


Retirement age is mandatory for the following two MSRS defined benefit pension plans.

Judges Plan

Mandatory retirement age is the last day of the month in which a judge attains age 70.
 

State Patrol Retirement Plan

Age 60 (including the fractional portion of one year that will enable the employee to complete the employee's next full year of allowable service) for:

  • conservation officers and crime bureau officers first employed on or after July 1, 1973 and who are members of the State Patrol Retirement Plan by reason of their employment.
  • members of the State Patrol Division and Alcohol and Gambling Enforcement Division of the Department of Public Safety who are members of the State Patrol Retirement Plan by reason of their employment. Also includes insurance fraud investigators.

Age 70 for criminal bureau officers and conservation officers who were first employed and are members of the State Patrol Retirement Plan by reason of their employment before July 1, 1973.

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Termination from a Plan


Non SEMA4 employers must provide a termination date when an employee terminates an MSRS covered position.

If this is not part of an electronic file supplied to MSRS, dates can be provided periodically by pay period or as the employee terminates service.

Notice of termination dates should be sent to the MSRS Eligibility team:
651-284-7752 or eligibility.team@msrs.us

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Demographic Changes


Employers must notify MSRS of any employee demographic information changes that are not provided via an electronic file sent to MSRS. This notification must be done as part of payroll processing.

Demographic information includes:

  • employee name
  • employee date of birth
  • employee social security number
  • employee address changes

Notice of termination dates should be sent to the MSRS Eligibility team:
651-284-7752 or eligibility.team@msrs.us