Bill > SB563

This bill provides for a supplemental annuity for eligible benefit recipients starting July 1, 2025, affecting two different pension systems (one in Title 24 for education and another in Title 71 for state government). The supplemental annuity will provide additional monthly payments to retirees based on their retirement date, with percentage increases ranging from 10% to 20% depending on when they first retired. To be eligible, recipients must be receiving a superannuation, withdrawal, or disability annuity on July 1, 2025, have retired before July 2, 2001, and not have service credited in specific pension classes (Class T-D, Class D-4, or Class AA). The supplemental annuity will be paid automatically unless the annuitant specifically requests not to receive it, and it will be subject to the same terms and conditions as the existing option plan. The additional cost of these benefits will be funded by the Commonwealth in equal annual installments over 10 years, beginning July 1, 2025. Importantly, the supplemental annuity will not be payable to beneficiaries or survivors of members who die before July 1, 2025, and those receiving withdrawal annuities will only become eligible when they reach superannuation age.

Government Affairs

https://www.legis.state.pa.us/cfdocs/billinfo/bill_history.cfm?syear=2025&sind=0&body=S&type=B&bn=563