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Summary of Plan - Plan E

This Plan is mandatory for all full-time and part-time career Merit System employees (except Park Police) employed on or after January 1, 2013; for individuals employed by the M-NCPPC Employees' Retirement System on or after January 1, 2013; for Appointed Officials appointed on or after January 1, 2013; and employees exempted from the Merit System who are appointed on or after January 1, 2013 by the respective County Planning Board as provided in Land Use Article, Sections 16-102 and 20-204, respectively, of the Annotated Code of Maryland.  Plan E does not apply to individuals who, as a result of their prior employment, are current Members of Plan B.

Employee Contributions

Plan E members contribute 4% of their base pay for each pay period up to the maximum Social Security Wage Base for that year, and 8% of their base pay in excess of the Social Security Wage Base.

Normal and Early Retirement Benefits

A member may retire with full benefits after attaining the age of 62 with at least 10 years of Credited Service, or after completing 30 years of Credited Service regardless of age. Plan E members receive an annual benefit from the date of retirement to the eligibility for full Social Security retirement benefits equal to 2% of Average Annual Earnings multiplied by years of Credited Service. After the date of eligibility for full Social Security retirement benefits, the annual benefit equals 1.5% of Average Annual Earnings up to the Social Security Covered Compensation Level, plus 2% of Average Annual Earnings in excess of the Social Security Covered Compensation Level, multiplied by years of Credited Service. A member may retire with reduced benefits after attaining the age of 57 with at least 15 years of Credited Service, or after completing 25 years of Credited Service regardless of age. The annual benefit is reduced by 1/180 for each month by which the Early Retirement Date precedes the member's Normal Retirement Date.

Death Benefits

If a Participant is survived by a spouse, who has not been specifically excluded from benefits, and dies as a result of a service-connected accident or illness, the spouse shall be entitled to an annual benefit, payable until death, in an amount equal to the greater of the following: (a) An amount equal to the benefit at Normal Retirement Date on the basis that the deceased had continued as a Participant, at the same Base Pay received during the Participant's last completed year of employment; or (b) 25% of the Final Annual Base Pay of the Participant.

If a Participant is survived by a spouse and dies as a result of a non-service-connected accident or illness, the spouse shall be entitled to an annual benefit, payable until death, in an amount equal to 25% of the Final Annual Base Pay of the Participant.

In both instances of service-connected and non-service-connected deaths, if the Participant does not leave a surviving spouse entitled to benefits, or if the surviving spouse should die, then benefits are payable to the eligible children (under the age of 18, or under the age of 23 if a full-time student, or regardless of age if permanently disabled). 

See the publication Summary Plan Description (SPD) - Plan E and the Summary Description of Material Modifications (SMM) - Plan E for more information.

If any information conflicts with the Retirement Plan Document, the terms of the Retirement Plan Document shall prevail.