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Faulkton Area Schools Retirement
After serving the Faulkton Area Schools for at least 15 years and being not less than 55 years of age, or after serving the district for at least 25 years, and less than 55 years of age, as of July 1 of the fiscal year retirement begins, members of the Faulkton Area School certified staff may qualify for retirement. The following criteria will be used to determine eligibility and benefit amounts to be paid:
· Applications for retirement must be made in writing to the Superintendent by the third Monday in March of the preceding fiscal year in which retirement is to take effect.
· Years of service are to be defined as the number of years in the "Faulkton Area” Schools.
· The total amount of retirement benefit to be paid in any one fiscal year shall not exceed 5% of the budget for instructional salaries in the year that a retiree elects to retire. Instructional salaries are to be defined as the funds designated for certified teaching staff. In the case where an administrator has teaching duties, only a portion of the salary may be included in instructional salaries according to the amount of time engaged in teaching.
· If more teachers elect to use this option than funds are available (5% limitation) then those with longest term of service will receive first consideration. In the case of a deadlock the earliest date of application will be used.
· The retiring employee shall be paid the following dollar benefit:
§ A lump sum shall be determined by multiplying the years of experience in Faulkton Area School District by $100. The lump sum benefit shall be payable on any regularly scheduled payday between July 1 and January 31, at the retiree’s discretion, in the school year after the elective retirement date.
§ .Six hundred fifty six dollars ($656) per month for 60 months. (2015- 2016) The employee has the choice to receive the monthly payments immediately upon retirement OR to begin payments at any later date he/she so chooses. A record of payment choice and date needs to be kept on file with the business office. Those retirees choosing to begin payment at a later date must notify the Superintendent on or before the third Monday in March of the preceding fiscal year in which the disbursement of the stipend is to take effect.
· If eligible retiree dies before all benefits due him/her are paid, the remaining benefits will be paid to his/her estate in one lump sum in the next fiscal year.
· Any changes to the retirement plan will apply to new retirees only. An individual already “retired” will continue under the provisions of the plan in effect on July 1 of the year his/her retirement began.