At its June 22, 2023 meeting, the Employee Trust Funds Board approved Wisconsin Retirement System contribution rates for 2024, including rates for Wis. Stat. § 40.65 protective occupation duty disability and the Wisconsin Sick Leave Credit Conversion programs (state employers only). These rates are based on current benefit levels and recommendations from the Board’s independent consulting actuary.
Contribution rates effective for salaries and wages paid beginning January 1, 2024 are available online at WRS Employer Rates Current/Future Rates Inquiry.
| WRS Employment Category | Contribution Rate Change (Employer and participant rates combined) |
|---|---|
| General, Teachers, and Educational Support Personnel; Executive, Elected, and Judges | Increase 0.20% |
| Protective with Social Security | Increase 1.20% |
| Protective without Social Security | Increase 1.10% |
Employers who have either elected to increase prior service coverage or pay off their unfunded liability balances may also experience a change in their prior service rates.
Factors Impacting WRS Rates
There are many factors that affect WRS contribution rates, such as investment performance, legislative adjustments to benefit levels, demographics, etc.
Increased rates for 2024 are a result of recent investment returns, although positive investment returns prior to 2023 have helped to lessen the impact on the 2024 contribution rates. For more information about the 2024 rates, the actuarial valuation report and presentation are available in the board meeting materials.
Under Section 40.05 of the Wisconsin statutes, contribution rates are split evenly between the employer normal cost and the participant normal cost for both General Participants, and Executive and Elected Officials. For protective occupations, the participant normal cost is set equal to the participant normal cost for General Participants.
The annual actuarial valuation incorporates current economic and demographic data into the existing financial condition of the WRS in order to set new contribution rates for the system. It is normal for contribution rates to fluctuate somewhat from year to year, based on investment earnings, wage inflation, and demographic trends. In addition, the change in contribution rates may vary between employment categories, depending on varying demographic trends within those groups. Benefits being paid to current annuitants are not affected by these rate changes.
Duty Disability Rates
Duty Disability contribution rates are based on an experience rated tier schedule. Annually, an actuarial adjustment rate is applied to every tier in the schedule. Based on the actuarial valuation, duty disability rates for 2024 will remain the same as 2023 rates.
Contact
For more information regarding the 2024 contribution rates or the Internet contribution rate calculator, please contact the Employer Communication Center at 1-877-533-5020.
WRS-Required Contributions
Employee
(Must be Paid by Employee Unless There is a Collective Bargaining Agreement in Force)
- 6.90% General, Teachers and Educational Support Personnel; Judges, Elected Officials and State Executive Positions Designated in Wis. Stat. § 20.923 (4), (8), or (9) – (increased 0.10%)
- 6.90% Protective with Social Security – (increased 0.10%)
- 6.90% Protective without Social Security – (increased 0.10%)
Employer
(Must be Paid by Employer)
- 6.90% General, Teachers and Educational Support Personnel; Judges, Elected Officials and State Executive Positions Designated in Wis. Stat. § 20.923 (4), (8), or (9) – (increased 0.10%)
- 14.30% Protective with Social Security – (increased 1.10%)
- 19.10% Protective without Social Security – (increased 1.00%)
WRS Unfunded Actuarial Liability
(Must be Paid by Employer)
Same rate as 2023, unless employer elected to provide increased prior service coverage or paid off liability at an accelerated rate.
Duty-Disability Rates
(Must be Paid by Employer)
The experience-rated duty-disability contribution rate schedule will not change in 2024. Rates will be the same as 2023 and will be determined as listed below:
- 0.02% - The lesser of either groups in which the claims payout is less than or equal to 1.5% of total payroll, or employers with 1 or less in the number of total claims.
- 0.04% - The lesser of either groups in which the claims payout is greater than 1.5% but less than or equal to 3.0% of total payroll, or employers with 2 total claims.
- 0.09% - The lesser of either groups in which the claims payout is greater than 3.0% but less than or equal to 4.5% of total payroll, or employers with 3 total claims.
- 0.15% - The lesser of either groups in which the claims payout is greater than 4.5% but less than or equal to 6.0% of total payroll, or employers with a total of 4 claims.
- 0.24% - The lesser of either groups in which the claims payout is greater than 6.0% but less than or equal to 7.5% of total payroll, or employers with a total of 5 claims.
- 0.35% - The lesser of either groups in which the claims payout is greater than 7.5% but less than or equal to 9.0% of total payroll, or employers with a total of 6 claims.
- 0.48% - The lesser of either groups in which the claims payout is greater than 9.0% but less than or equal to 10.5% of total payroll, or employers with a total of 7 claims.
- 0.57% - The lesser of either groups in which the claims payout is greater than 10.5% of total payroll, or employers with 8 or more total number of claims.
Accumulated Sick Leave Credit Conversion Contributions
(Must be Paid by Employer)
This rate applies to state agencies only. The basic program rate will remain the same as 2023, and the supplemental program will also remain unchanged. There will not be any change in the total rate in 2024. Please see your individual rate page for the sick leave rate.