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Changes for 2020 New Hires

Posted 12/06/19 (Fri)

Members who first enroll in the NDPERS Main Retirement Plan after 2019 will experience a different benefit structure at the time they choose to retire. The changes, approved during the most recent Legislative Session, are part of the strategy to restore the Main Retirement Plan to a 100% funding level. Currently, the NDPERS Main Retirement Plan is 71.3% funded.

What are the changes for new participants in the Main Retirement Plan after 2019? As previously reported, there are two key changes for these future members at the time of their retirement.


The formula to calculate the retirement benefit (pension) for these members will feature a reduced benefit multiplier of 1.75%, which reduces their future NDPERS pension. This change also impacts members who first enroll in the NDPERS Public Safety Retirement Plan after 2019.


This new tier of employees will not be eligible to receive the Retiree Health Insurance Credit, referred to as RHIC. This is an additional monthly benefit used by current retirees to receive reimbursement for eligible insurance premiums.

The 1.14% employer contribution, previously directed toward RHIC, will be reallocated to fund the Main Retirement Plan.

These two benefit reductions do not impact current retirees, current members who have delayed their retirement, or current employees participating in the NDPERS Main Retirement Plan prior to January 1, 2020.