ICMA-RC Deferred Compensation Plan (IRS Section 457(b) Plan)
The 457(b) Plan is offered through ICMA-RC. This program is voluntary for those employees who wish to participate. Maximum $19,500 for 2020 calendar year - multiple investment options available. The City contributes a flat match of $10.00 per pay period when an employee contributes at least $10.00 per pay period.
Local Government Employees Retirement System (LAGERS)
Full time employees on the Professional, Administrative and Technical (PAT) and Crafts, Trades & Labor (CTL) pay schedules are offered a pension plan through the Local Government Employees Retirement System (LAGERS). The current Benefit Program is L-6. Effective July 1, 2020, the City of Springfield contributes 16.2% of wages toward this benefit for eligible employees.
Pension rules: fully vested in 5 years; 2% x final average salary (average of 36 highest consecutive months in the last 120 months) X years of service = monthly benefit.
Normal retirement: age 60 with 5 years service. Employees may retire as early as age 55 with reduced benefits.