For Immediate Release: August 13, 2024
Contact: Marty Karlon, Director of Communications & Legislative Affairs, (603) 410-3594; public_relations@nhrs.org
CONCORD, NH – The Board of Trustees of the New Hampshire Retirement System (NHRS, the retirement system) certified employer contribution rates for fiscal years (FY) 2026 and 2027 at its meeting on August 13, 2024.
For the second consecutive two-year rate cycle, total employer contribution rates for all four membership classifications – Employee, Teacher, Police, and Fire – will decrease as a percentage of covered payroll. The decrease is largely the result of strong investment performance over the five-year period ending June 30, 2023, actual member experience from July 1, 2021, through June 30, 2023, and relatively minor adjustments to demographic and economic actuarial assumptions adopted by the Board in June. Because the member payroll increases annually, the total dollar amount paid to NHRS by employers is expected to increase slightly.
The Board’s certification of the 2026-27 employer contribution rates – mandated under state law (RSA 100-A:16, III) – formalized the draft rates that were developed by Gabriel, Roeder, Smith & Company (GRS), the retirement system’s consulting actuary, in the biennial actuarial valuation for the year ending June 30, 2023. The new rates will take effect on July 1, 2025, which marks the start of FY 2026.
The Board historically certified employer contribution rates at its September meeting but has moved the rate certification earlier to assist employers that begin the budget development process in the summer.
The New Hampshire Constitution (Part I, Article 36-a) requires NHRS Trustees to set actuarially sound employer contribution rates and requires employers to annually pay those rates in full. Employer rates are calculated every two years to reflect the cost of benefits as they accrue as well as pay down existing unfunded liabilities.
Employer contribution rates for the State of New Hampshire and for political subdivision employers are available here.
Political subdivision rates (printable copy):
State of New Hampshire rates (printable copy):
In addition, NHRS has prepared answers to frequently asked questions on the new employer rates. The FAQ is available here.
About NHRS
NHRS provides retirement, disability, and death benefits to its eligible members and their beneficiaries. The State of New Hampshire and nearly 460 local government employers participate in NHRS for their employees, teachers, firefighters, and police officers. NHRS has approximately 48,500 active members and 43,500 benefit recipients. NHRS administers a defined benefit plan qualified as a tax-exempt entity under sections 401(a) and 501(a) of the Internal Revenue Code.
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