Oklahoma § 20-1103.3 - Deduction of employee contributions – Picked up

§ 20-1103.3. Deduction of employee contributions – Picked up

contributions.

A. Employee contributions shall be deducted by the employer for

such benefits as the Board is authorized to administer as provided

for by law. Employee and employer contributions shall be remitted

monthly, or as the Board may otherwise provide, to the Executive

Director for deposit in the State Judicial Retirement Fund.

B. The employer shall pick up under the provisions of Section

414(h)(2) of the federal Internal Revenue Code and pay the

contribution which the member is required by law to make to the

System for all compensation earned after December 31, 1999.

Although the contributions so picked up are designated as member

contributions, such contributions shall be treated as contributions

being paid by the participating employer in lieu of contributions by

the member in determining tax treatment under the federal Internal

Revenue Code and such picked up contributions shall not be

includable in the gross income of the member until such amounts are

distributed or made available to the member or the beneficiary of

the member. The member, by the terms of this System, shall not have

any option to choose to receive the contributions so picked up

directly and the picked up contributions must be paid by the

participating employer to the System.

C. Member contributions which are picked up shall be treated in

the same manner and to the same extent as member contributions made

prior to the date on which member contributions were picked up by

the participating employer. Member contributions so picked up shall

be included in gross salary for purposes of determining benefits and

contributions under the System.

D. The employer shall pay the member contributions from the

same source of funds used in paying salary to the member, by

effecting an equal cash reduction in gross salary of the member.

Added by Laws 1999, c. 257, § 14, eff. July 1, 1999.