Retirement

Mission Square Retirement Deferred Compensation Plan
 (IRS Section 457(b) Plan)

The 457(b) Deferred Compensation Plan is offered through Mission Square Retirement. This benefit is voluntary for those employees who wish to participate and allows members to invest tax deferred earnings as personal savings for retirement. The City contributes a flat match of $10.00 per pay period when the employee contributes at least $10.00 per pay period.  IRS Deferred Compensation annual contribution limit for the 2022 calendar year is $20,500.  Multiple investment options are available with the Plan. 

Local Government Employees Retirement System (LAGERS)

Springfield Police Officers are provided an employer-funded Defined Benefit Pension Plan (Program L-11) through the Local Government Employees Retirement System (LAGERS).  Effective July 1, 2021, the City of Springfield contributes 20.10% of wages toward this benefit for Police Officers.

The LAGERS pension is a lifetime benefit beginning at retirement, continuing until death, and may include spousal payment options as well as disability and survivor benefits.  Pension calculation: 2.5% (Program multiplier) x final average salary (average of 36 highest consecutive months in the last 120 months) X years of service credit = monthly benefit.  

A LAGERS member is vested (guaranteed a benefit) after 5 years of service credit within the LAGERS system. Police Officers are eligible to retire with unreduced benefits at age 55. A vested Police Officer may elect to retire with reduced benefits as early as age 50.

Note: Officers do not participate in Social Security but those hired after 4/1/86 contribute 1.45% to Medicare.  Employees hired on or after February 1, 2010 are provided this retirement plan.