Archived Michigan Office of Retirement Services bulletin sent 02/24/2025 04:00 PM EST
The contribution rates for fiscal year FY) 2026 for universities have been posted on the Employer Information website. They are effective beginning Oct. 1, 2025.
Note that the rates for FY 2026 have a few significant changes. Effective Oct. 1, 2025:
- Members with the premium subsidy healthcare benefit will no longer be required to contribute 3% toward future healthcare benefits, per Public Act 127 of 2024. See the Summary of PA 127 sent in October.
- Employers will absorb the health normal cost that members with premium subsidy formerly paid. However, the health normal cost contribution floor is removed, which means the health normal cost contribution for subsequent FYs can be less than the previous FY. The pension normal cost contribution floor is still in place.
- The Rate Stabilization page, formerly page 2 of the contribution rates table, was removed because there is no rate stabilization for universities in FY 2026.
If you have questions, please contact ORS_Web_Reporting@Michigan.gov.
