Major Benefit MilestonesPage 1 of 8

Year Major Benefit Milestone
1908 Retired Teachers Fund created
1942 Virginia Retirement System (VRS) and Judicial Retirement System (JRS) created
1944 Political subdivisions allowed to join VRS
1950 State Police Officers Retirement System (SPORS) created
1952 VRS repealed and re-enacted as Virginia Supplemental Retirement System (VSRS) in order to obtain social security coverage for public employees
1955 SPORS covered under social security
1956 JRS covered under social security
1960 Group life insurance program created
1962 Group life insurance program made compulsory for all full-time salaried State employees
1970 Cost of Living Adjustment (COLA) established, in amount equal to full increase in consumer price index

Political subdivisions authorized to provide SPORS-equivalent benefits to law enforcement personnel
1974 Statutory five percent member contribution rate established

Deferred compensation program authorized
1978 COLA capped at a five percent maximum
1980 Deferred compensation program implemented
1983 State begins to pay member pension contribution
1984 State begins to pay member group life contribution
1987 Minimum age and service requirements for full retirement benefits reduced from 60/30 to 55/30 for State employees, teachers and judges (optional for political subdivisions)

Mandatory retirement age repealed for State employees, teachers, political subdivisions, and judges
1989 State retiree health insurance credit established
1990 VSRS repealed and reenacted as VRS, in response to federal legislation prohibiting integration of social security and retirement benefits

Benefit formulas for service and disability retirement assumed current form; minimum age and service requirements for full retirement benefits reduced from 55/30 to 50/25 for State Police (optional for political subdivisions providing LEOS)
1990 - 99 Expansion of opportunities to purchase or receive prior service credit
1991 Early Retirement Incentive program

State contribution rates established for optional retirement program for higher education.
1992 State retiree health care credit increased

Political subdivisions and local school boards authorized to provide retiree health care credit

Mandatory retirement at age 70 reinstated for judges
1994 VRS benefits increased by three percent for State employees (optional for political subdivisions)
 

© 2010, Commonwealth of Virginia

Rev. 20-May-2010