New Jersey

The New Jersey Division of Pension and Benefits administers pension and other benefits for most public employees in the state, including teachers, state employees, and employees of political subdivisions that have elected to participate. The Division maintains nine pension plans. Three plans--the Public Employees' Retirement System, Teachers' Pension & Annuity Fund and the Police & Firemen's Retirement System--comprise more than 98 percent of all active members. Assets are managed by the state treasurer.

Authorizing Statutes

Title 43 of the New Jersey Statutes addresses pension and retirement issues. According to the Public Employees' Retirement-Social Security Integration Act (P.L.1954, c. 84), the pension fund was established pursuant to

"An act to provide for the creation, setting apart, maintenance and administration of a city employees' retirement system in cities of the first class having, at the time of the enactment of this act, a population in excess of 400,000 inhabitants; and merging and superseding the provisions of pension funds established pursuant to article 2 of chapter 13, chapters 18 and 19, of Title 43 of the Revised Statutes, in said cities."

Contributions

Per the U.S. Census, in FY 2015, employer contributions to New Jersey government pension plans were 3.02 percent of all state and local government direct general spending.

Constitutional Protections