SB3389

Illinois SB3389 allows public school employers to offer a self-managed retirement plan as an alternative to the traditional defined benefit plan.

Illinois SB3389 amends the Illinois Pension Code to allow public school employers to offer a self-managed retirement plan as an alternative to the traditional defined benefit plan. Eligible employees can choose between the self-managed plan and the traditional plan. The self-managed plan allows employees to direct their contributions into various investment options. Employers must contribute 7.6% of the employee's salary to the self-managed plan. The bill also includes provisions for the selection of service providers, funding vehicles, and the termination of the self-managed plan.