1 Overview 1.1 Public Employees’ Retirement Fund The Public Employees’ Retirement Fund (“PERF”) was created on July 1, 1945, to provide retirement and other benefits for state employees and public employees of state and local political subdivisions. Benefits are paid by the Fund from the contributions of public employers and members and returns on investment of assets. A PERF Hybrid benefit has two parts: the defined benefit (DB) and defined contribution (DC, formerly known as annuity savings account [ASA]). The purpose of PERF is to provide retirement income for the exclusive benefit of eligible employees of participating employers and their designated beneficiaries subject to the conditions set forth herein. This Fund is intended to be a tax-exempt qualified trust under sections 401(a) and 501 of the Internal Revenue Code as sponsored by a governmental agency. New employees of the State of Indiana, and effective after January 1, 2016, new employees of the political subdivisions that offer a choice of plans, may elect between either this PERF Hybrid Plan (the “Plan”), or the PERF My Choice DC plan. However, there may be restrictions to the choice of plans if an employee has prior covered service. State employees who do not elect a plan at hire will be defaulted into the PERF Hybrid Plan. Such plan election is irrevocable, whether by choice or by default. This handbook covers information about the PERF Hybrid Plan only. 1.2 Indiana Code Governing PERF Hybrid The laws and regulations governing PERF Hybrid may be found in Titles IC 5-10.2 and IC 5-10.3 of the Indiana Code (IC) and Title 35 of the Indiana Administrative Code (IAC). The content of this reference manual does not constitute legal advice, and nothing herein should be considered a legal opinion. NOTE: In the event of a discrepancy between information in this handbook and the laws of the state of Indiana, the applicable law shall apply. 1.3 Administration of System and Funds Effective July 1, 2010, the board of trustees of the Indiana State Teachers’ Retirement Fund (“TRF”) and the Public Employees’ Retirement Fund were required to appoint and compensate a common director for TRF and PERF. Effective July 1, 2011, the Indiana Public Retirement System (“INPRS”) was established under Indiana law. INPRS administers and manages PERF. INPRS administers sixteen funds of which eight are defined benefit (DB), five are defined contribution (DC), two are other post-employment benefit, and one is custodial. PERF Hybrid is administered by INPRS. INPRS combined membership totals over 500,000 members representing more than 1,250 participating employers including public universities, school corporations, municipalities, and state agencies. For a listing of all the funds and additional information about each fund, visit the Annual Reports page of the INPRS website. 1.4 Board of Trustees INPRS is governed by a nine-member Board of Trustees, appointed by the Governor. Board members serve as “fiduciaries” of the Fund, which means they are legally bound to make investment decisions with your best interest in mind. The executive director carries out the policies set by the Board and administers the Fund on a daily basis (Indiana Code (IC) 5-10.5). Public Employees’ Retirement Fund Hybrid Plan Page 5 of 48 Member Handbook Effective: 07/01/2024