MO HB409

Establishes a defined contribution plan within the public school retirement system of Missouri for teachers and school employees hired on or after July 1, 2013

Membership is automatic for new employees unless they elect another plan within 12 months of hire; returning inactive members retain their original plan membership

Members are immediately vested in their own contributions and investment income but require 5 years of service credit to be vested in employer contributions

Employer contributions range from 1-3% depending on plan performance (1% if receiving ≤10%, 2% if receiving 11-15%, 3% if receiving ≥16%), with minimum combined contributions of 7.5% of base pay

Board of trustees must establish administrative rules, contract for plan services through competitive bidding, and may assess disclosed fees to members to cover administrative costs