Police & Fire Pension

Mission and Goals

Police & Fire Pension:
The Police and Fire Pension is a defined benefit pension system providing retirement, disability and survivor benefits for Police Officers and Fire Fighters, and their families. The system operates under the rules of Internal Revenue Code section 401(a). The Fire Pension was established in 1895. In 1947, it closed to new members and the Police and Fire Pension was established. Members contributed 7% of salary on a "Post-Tax" basis. "Post-Tax"contributions are included in a member's taxable income. In 1981, retirement benefits increased from 50% to 54% of base salary, and the definition of base salary changed from the average of a member's last five years of salary to the average of a member's last three years of salary. In 1984, members were given the choice of continuing to contribute 7%, or switching to a new plan with a 7.6% contribution rate and a 58% retirement benefit. New members were enrolled in the 7.6% plan. In 1987, legislative control of the pension was transferred from the state of Nebraska to the City of Lincoln. At that time the Pension's six member Advisory Committee was established. In 1990, the pension system applied for and received Internal Revenue Service tax-qualified status. This status allowed members to contribute to their pension account on a "Pre-Tax" basis. "Pre-Tax" contributions are not included in a member's taxable income. Also in 1990, normal retirement age was decreased from 55 to 53, and pension benefits were based on the member's highest consecutive 26 biweekly pay periods (about 1 year) rather than the average of their last three years' salary. In 1995, members were given another opportunity to switch to a different plan. Members could chose to: 1) remain in their current plan, 2) switch to an enhanced version of their current plan offering the same benefits, but not requiring contributions after 21 years of service, or 3) switch to a new 8% contribution plan, officially known as Plan "A." Plan "A" provides a 64% retirement benefit at age 50 and 25 years of service, for an 8% contribution rate.

Plan A

Police and Fire Pension Plan A provides benefits including a 64% normal age and service retirement at age 50 and 25 years of service. For details on all benefits please refer to the following:

All links are in PDF Format

Plan B

Police and Fire Pension Plan B provides benefits including a 58% normal age and service retirement at age 53 and 21 years of service. For details on all benefits please refer to the following:

All links are in PDF Format

Plan C

Police and Fire Pension Plan C provides benefits including a 54% normal age and service retirement at age 53 and 21 years of service. For details on all benefits please refer to the following:

All links are in PDF Format

Annual Letter to Members

All links are in PDF Format

Investment Board

The committee consists of nine members. Two board positions shall be filled by the City Finance Director and the City Personnel Director; two board positions shall be elected by secret ballot by the active paid police officers of the City; two board positions shall be elected by secret ballot by the active paid firefighters of the City; and three board positions shall be appointed by the Mayor, after consultation with the other six members, subject to approval by the City Council. The three appointed members shall have at least five years demonstrated experience in financial, actuarial, investment or employee benefit plan matters.

All links are in PDF Format

Investment Board Meeting Minutes (All links are in PDF Format)

     

Contact Us

Police & Fire Pension
Paul Lutomski
Pension Officer

555 South 10th Street, Room 302
Lincoln, NE 68508
Phone: 402-441-8749 Fax: 402-441-8748
Email: plutomski@lincoln.ne.gov