Employers and retirement coordinators may have questions about how using funds from the American Rescue Plan Act of 2021 (ARPA) could impact OPERS retirement contributions. ARPA is a $1.9 trillion emergency legislative package to provide the resources needed to address the ongoing COVID-19 public health crisis and spur a strong economic recovery. Some employers may choose to use these funds to pay employees.
Here are some resources you may find helpful:
- US Treasury – Recipient Compliance and Reporting Responsibilities (US Treasury)
- Oklahoma State Auditor & Inspector – ARPA Guidelines
- OPERS Administrative Rules
Chapter 10: Public Employees Retirement System
590:10-5-8 (pages 25-26) – Compensation for Retirement Purposes
- Retroactive payments or one-time payments should be made on a supplemental payroll.
Considerations for former employees:
- Alert any retirees who have returned to work for you. Be aware that wages will fall under the calendar year in which the paycheck is issued, regardless of when the wages were earned. More information about the rules for returning to work and the 2022 earnings limit is available online.
- Former employees who may have withdrawn their employee contributions will need to reapply for a withdrawal to receive their employee contributions on any retractive payments.