General Memo 649

Documents

2014 Employer Rate Meetings: 2013 investment return, its impact on employers, recent pension-related legislation, and other forces influencing IMRF

February 28, 2014

We encourage each Authorized Agent to share this memorandum with your unit of government’s chief financial officer, other officials, and governing body members.

This preliminary information is based on unaudited investment return data and projected actuarial information. Finalized information will be available in May 2014.

The estimated 2013 investment return for IMRF is 20%. This return translates into investment income of approximately $5.4 billion after expenses. From an actuarial basis, IMRF assumed it would earn $2.239 billion.

On average, employer accounts will be credited approximately 52% residual income based on their beginning of the year employer reserve balance. These credits reflect the fact that, as a sponsor of a defined benefit plan, IMRF employers share all the risks and rewards of investment returns.

2014 Employer Rate Meetings: beyond rates and returns
Beginning on April 21, 2014, IMRF will present a series of Employer Rate Meetings throughout the state. At these meetings we will discuss the impact of year-end financial and actuarial data on IMRF as a whole and its estimated impact on individual employers.

At these meetings we will also discuss recent pension-related legislation that could impact IMRF as well as other forces influencing IMRF.

The meetings will take approximately an hour, consisting of both a formal presentation and a question and answer period. We encourage you, your chief financial officer, other officials, governing board members, and other interested parties from your employer to attend.

IMRF will also present the same information at a webinar in May. (Information on the webinar will be provided in a future Employer Digest email).

Questions?
If you have any questions, please call an IMRF Member Services Representative at 1-800-ASK-IMRF (1-800-275-4673) 7:30 a.m. to 5:30 p.m., Monday through Friday or send IMRF a Secure Electronic Message.

Dates and Locations
Advance registration is requested

Monday, April 21 Stoney Creek Inn
101 Mariners Way
East Peoria
9 am
  IMRF Regional Office
3000 Professional Drive
Springfield
2 pm
Tuesday, April 22 Gateway Center
One Gateway Drive
Collinsville
9 am
  Holiday Inn Convention Center
222 Potomac Blvd.
Mt. Vernon
2 pm
Wednesday, April 23 Hilton Garden Inn
1501 S. Neil Street
Champaign
9 am
Monday, April 28 Sports Complex
1950 N. US Hwy 45
Libertyville
2 pm
Tuesday, April 29 Clock Tower Resort & Conf
7801 E. State Street
Rockford
9 am
  Stoney Creek Inn
101 18th Street
Moline
2 pm
Wednesday, April 30 Hilton Garden Inn
18335 S. LaGrange Road
Tinley Park
10 am
  DoubleTree
1909 Spring Road
Oak Brook
2 pm

Register online by logging into your Employer Access account, clicking on "Find a Workshop," selecting Employer Rate Meeting, and clicking on "Find."

If you do not have an Employer Access account, you can register by faxing a completed registration form to 630-368-5397.

Questions?

If you have any questions, please call an IMRF Member Services Representative at 1-800-ASK-IMRF (1-800-275-4673) 7:30 a.m. to 5:30 p.m., Monday through Friday, or send IMRF a Secure Electronic Message.