Employer Update

In less than six months, you will begin managing payroll withholding for the Hybrid Retirement Plan's defined contribution component independently from the defined benefit component.

This change follows legislation passed in 2022, with a delayed effective date to allow time for employers to update payroll systems and to make other required changes in how you report defined contributions for hybrid plan members.

VRS has provided resources to help you with this transition, all of them available from the Hybrid Rate Separation webpage.

Snapshot Comparison Report

On March 1, look for the first of three Snapshot Comparison Reports previewing how your snapshot will look after rate separation. After you confirm your January, February and March snapshots in myVRS Navigator, VRS will provide a current-versus-future snapshot comparison file to show the defined benefit contributions separated from the defined contribution component for hybrid plan members. These reports, which will only be created for these three months, will help you better visualize how your snapshot will look after rate separation takes place July 1.

These comparisons are intended only as illustrations to help employers see potential changes. As illustrations, these are not intended to be exact representations of whether employers will contribute more or less for an individual employee.

Depending on your role with your organization, you may need to coordinate with others on your team who have access to myVRS Navigator to download the snapshot comparison files.

Monthly comparisons will be created for the reporting months of January, February and March 2024.

• The January report will be available March 1.
• The February report will be available April 1.
• The March report will be available May 1.

PRO TIP
Refer to the job aid (login required) for tips on how to interpret your monthly comparison report. If you do not have log-in credentials for the Commonwealth of Virginia Learning Center, email externalVLC@varetire.org to request registration.

Employer Help Sessions

VRS team members will be available online during set times to answer individual questions about the snapshot comparison report and to ensure you're prepared for July 1. Look for registration information soon. The first of these help sessions will begin in early March.