Purchasing a Stipend under H.B. 4644
(P.A. 96-0961)

If the State of Illinois does not fund the stipend for an elected office, the employer cannot report it. Thus, the stipend is not included in the salary used to calculate an IMRF pension.

Public Act 96-0961 allows elected county officials who were entitled to a state stipend between July 1, 2009, and June 30, 2010, but did not receive it (or did not receive all of it), to apply to IMRF to receive credit for the full rate of earnings normally associated with the stipend. This new law was effective July 2, 2010. Eligible members have six months after that date to apply by submitting IMRF Form 6.94, "Elected County Official Stipend Purchase."

Some elected officials, such as coroners, some supervisor of assessments and township assessors, treasurers, sheriffs, circuit clerks and auditors received a lesser amount or no stipend at all for Fiscal Year 2010.

If an Original ECO member plans to retire in 2010 or 2011, he or she may wish to consider opting out of ECO to freeze their final rate of earnings. An ECO member has until December 31, 2010, to terminate ECO and freeze his or her final earnings rate to include the FY 2010 stipend.

Purchasing the balance of a stipend and/or opting out of ECO is an important decision that can have financial implications for the member. Elected officials seeking more information should call 1-800-ASK-IMRF and ask to speak with a Representative who is trained in stipend and ECO issues.

Read more in Special Memorandum 319.