About Your Plan

The Michigan Public School Employees Retirement System is a statewide public employee defined benefit plan qualified under section 401(a) of the Internal Revenue Service Code operating under the provisions of Michigan's Public Act 300 of 1980, as amended (Michigan Compiled Laws 38.1301 et seq.).

The plan is administered by the Office of Retirement Services (ORS) with the oversight of a 12-member board.

Until 1974, both employers and employees contributed to the pension fund. It was then a contributory plan. By 1977 the system was funded entirely through employer contributions-a noncontributory plan known as the Basic Plan.

The Member Investment Plan (MIP) was introduced in late 1986. This contributory plan provides more generous pension benefit options. Those who were Basic Plan members at the time could choose the MIP, which took effect January 1, 1987. Basic Plan members again had the opportunity to select the MIP in the fall of 1991.

The Michigan Public School Employees Retirement System collects and compiles employee wage, contribution, and service information from 551 K-12 districts, 70 public school academies, 7 universities, 28 community colleges, 57 intermediate school districts, and 11 libraries.

As of September 30, 2010, the system serves 242,568 active members and 187,722 retirees and beneficiaries. The net assets of the Michigan Public School Employees Retirement System, valued at $36.9 billion as of September 30, 2010, are invested by the Michigan Department of the Treasury, Bureau of Investments. In fiscal year 2010, the system paid retirement pensions totaling $3.5 billion.

The system also provides retirees and eligible dependents with comprehensive health, dental, and vision benefits at a cost of $705.2 million. The Master Health Care Plan is a self-funded plan administered by Blue Cross Blue Shield of Michigan.