3.96 Introduction to Earnings for IMRF Purposes

The Illinois Pension Code provides that the IMRF Board of Trustees defines what constitutes IMRF earnings and subsequently, what earnings are to be used in the calculation of IMRF benefits.

IMRF earnings are equal to the total paid to an employee for personal services or official duties as an employee up to the limit set by the Internal Revenue Code for qualified pension plans. In 2021, this limit is $290,000.  Note: This limit does not apply to members who began participation before 1996.

This amount includes compensation, fees, allowances and other emoluments paid, for official duties. Also included is the money value of any board, lodging and other allowances provided to the member in lieu of cash.

Learn more about earnings for IMRF purposes from the topics listed below: