Section 35IAC1.2-1-6. Interest on employees' contribution accounts administered by the Indiana public retirement system

   (a) This rule applies to all INPRS funds that have contribution accounts.

  (b) Unless otherwise provided by law or rule of the board, when crediting interest on employee contribution accounts, INPRS shall do the following:

(1) With approval of the board, set the interest rate at least annually for the contribution accounts.

(2) For active members, credit interest at least once a year on the prior fiscal year-end balance.

(3) For members separated from service, members who die before vesting, and for survivors, the amount credited to the member's contribution account shall be the value of the member's contribution account plus interest valued the day after INPRS receives the member's application for a distribution or the date of death of the member plus contributions received after that date. No contribution account shall be valued under this provision prior to the effective date of the record keeper requirements to effectuate the implementation of this provision.

(4) Cease crediting interest to accounts that have no activity after ten (10) years after the last contribution posting and which have total service credit of less than twenty (20) years.

(Board of Trustees of the Indiana Public Retirement System; 35 IAC 1.2-1-6; adopted Dec 14, 2012: 20121226-IR-035120663ONA; adopted Mar 6, 2015: 20150318-IR-035150060ONA)