The vast majority of veteran teachers in the New York City schools are under the Tier IV pension plan and there is an assumption that all the Tier IV teachers get the same benefits and that is correct. However, the employee contribution rate and vesting periods change, based upon when one enters the system. Depending on when you join the system determines the amount an employee pays into their pension and how long it takes to be vested. The table below lists the membership date, vesting.and contribution rate.
Membership......Vesting........Vesting...........Contribution
....Date............Pension.........Health.................Rate
< 4/1/2001......5 years.......5 years........3% first 10 years
< 3/1/2008......5 years.......10 years......3% first 10 years
>3/1/2008......5 years........10 years......4.85% first 10 years.
............................................................1.85% for 27 years.
>12/10/2009..10 years.......15 years.....4.85% first 27 years
...........................................................1.85% thereafter.
White all the Tier IV members are under the same pension plan and get the same benefits, depending on one's membership date. The vesting period and contribution rate are different as the later one joins the pension system, the higher the contribution rate and the longer the vesting period is. If you want to know how much a pension you would get, based upon your three year final average salary and years in the system, see my postHere.
Note: Some Tier IV teachers who joined the system before March 1, 2008 could voluntarily join the 25/55 program and pay 4.85% for the first 10 years and 1.85% for the first 25 years. Then pay nothing beyond 25 years.