The New Hampshire Retirement System (NHRS, the retirement system) has released a new Interpretive Memorandum providing guidance on how Service Credit is awarded and Earnable Compensation is calculated for members who receive compensation under an employer-sponsored salary continuance plan. The memo (IM 2016-1) is available here:
https://www.nhrs.org/docs/default-source/interpretive-memos/im-2016-1-salary-continuance.pdf

The retirement system has developed a series of memoranda on a variety of subjects relating to the interpretation of its controlling statute, RSA 100-A. These memoranda are intended to serve as a guide for participating employers in administering the enrollment of members, reporting Earnable Compensation, and remitting contributions to NHRS. In some cases, the memoranda address narrow questions and factual situations that have arisen out of employer audits or in response to specific inquiries from an employer. In other cases, the memoranda contain a broader discussion of more general areas of statutory interpretation, especially as it relates to the definition of Earnable Compensation.

All of the memoranda are available online at: www.nhrs.org/employers/statutory-interpretive-guidance

NHRS welcomes feedback from participating employers. If you have any questions, editorial comments, or suggestions for additional topics, please contact Mark F. Cavanaugh, Associate Counsel and Compliance Officer, at mark.cavanaugh@nhrs.org.