CalPERS OASDI Social Security Modification Offset

Owned by Knowledge Assistant
Mar 04, 2024
1 min read
Description of Issue

We need the system to exclude $66.67 from its CalPERS calculations to account for a social security agreement. 

Context

  • Payroll

  • California

  • CalPERS

Cause

OASDI modification, which was introduced into CA Government Code in 1959

Resolution

Follow the steps detailed here: Setting up CalPERS OASDI Modification

Additional Information

  • OASDI stands for Old-Age, Survivors, and Disability Insurance, which is also known as Social Security. 

  • The CalPERS OASDI Modification chart only applies to members that have social security coverage in addition to CalPERS coverage and are not subject to the Public Employees’ Pension Reform Act (PEPRA). The OASDI modification was introduced into CA Government Code in 1959 because paying retirement contributions to both systems (CalPERS and Social Security) was perceived as financially burdensome.

  • NOTE: PEPRA eliminates the contribution and off-set adjustments to the final compensation factor for all employees of local public agencies and CSU enrolled in any of the new PEPRA formulas. For more information, see Circular Letter 200-024-13.

  • The CalPERS OASDI Modification Chart for Public Agencies and Schools is available online from the Public Agency & Schools Reference Guide on the CalPERS website - https://www.calpers.ca.gov/docs/formspublications/pas-ref-guide.pdf