Wisconsin Retirement System for Employers

Once you have viewed the recorded webinar or read the How to Become a Participating Employer (ET-1129) brochure, submit these forms to ETF no later than November 15:

• Resolution for Inclusion Under the Wisconsin Retirement System (ET-1319)
• Designation of Agent (ET-1313)
• Online Access Security Agreement (ET-8928)
• ACH Direct Withdrawal Authorization (ET-1734)

If you have questions about joining the WRS, email us at ETFSMBEmployerWRS@etf.wi.gov or contact the Employer Communication Center at 1-877-533-5020.

The paperwork to join the WRS is due on or before November 15. Coverage will be effective the following January 1.

Each participating employer is required to name an agent(s) to administer WRS benefits. The agent is responsible for ongoing, yearly, and monthly tasks such as:

• Determining WRS eligibility for your employees.
• Reporting your employee’s contribution and earnings.
• Timely reporting of your employee enrollments, terminations, and leaves of absence.
• Distributing WRS information to your employee.
• Responding to inquiries from ETF staff.

Employer agents are also automatically subscribed to ETF E-mail Updates, an ETF email service providing employers with important ETF benefits administration information. It is the agents responsibility to read, forward to others in the agency as necessary, and take the action related to information in each ETF E-mail Update.

For More Information
Chapter 2 of the WRS Administration Manual (ET- 1127) provides a full list of responsibilities. ETF encourages employers to review this information prior to submitting a resolution.

Coverage under Section 218 of the Social Security Act is available to state and local government employees (including employees of counties, cities, villages, towns, schools, and other governmental districts). 

If you are unsure of your 218 Agreement status, please email us at ETFSMBEmployerWRS@etf.wi.gov or contact the Employer Communication Center at 1-877-533-5020.

For More Information
See the Wisconsin’s 218 Agreement with Social Security webpage.

To rescind the Resolution of Inclusion, send a written request to ETF before November 15. An employer’s WRS resolution is irrevocable on or after November 15.

Once an employer joins the WRS, they may not leave unless the entity is dissolved and/or consolidated with another employer. Dissolution or consolidation does not remove any liabilities owed.

The WRS is a retirement plan to which the employee and employer make contributions. State statute and the Employee Trust Funds Board determine contribution rates. Rates are subject to change each year and are usually announced in June.

Employer-required contributions differ by employment category.

For More Information
See the Contribution Rate History page for rates since 1989.

See the How to Become a Participating Employer (ET-1129) brochure.

There are no fees for investing funds, managing accounts, or joining the WRS. You may incur additional cost if you:

• Cover protective category employees (police officers and firefighters). This is to cover the cost of duty disability benefits. We calculate this rate based on each employer’s claims experience. New WRS employers have no claims, so the rate would be in the lowest category.
• Elect optional prior service (see the prior service question below for more information). 
• Submit the employer’s monthly remittance  after the due date.

WRS eligibility is based on the employee’s:

• Past WRS enrollment with any WRS employer.
• Number of hours expected to work each year. 
  • Note: The employer must decide the reasonable number of hours needed to perform job duties. 
• Expected duration of employment.

The employee must meet all criteria to be eligible. WRS eligibility rules fall into two categories based on previous participation:

• Employees covered by any WRS employer before July 1, 2011 must be: 
  • Expected to work 440 hours for teachers and educational support staff, and 600 hours for all others; and 
  • Expected to work at least one year (365 consecutive days, 366 in leap year) from their date of hire.
• Employees covered by any WRS employer on or after July 1, 2011 (or never enrolled in the WRS) must be: 
  • Expected to work 880 hours for teachers and educational support staff, and 1,200 hours for all others; and 
  • Expected to work at least one year (365 consecutive days, 366 in leap year) from their date of hire.

Note: If an employee works 9 or 10 months per year but is expected to return year after year, the 1-year rule is met.

For More Information
See Chapter 3 of the WRS Administration Manual (ET- 1127) or view the WRS Eligibility recorded webinar.

All employees who meet WRS eligibility criteria must be enrolled.
Any employee receiving earnings for personal services rendered, regardless of the source of funding (e.g. grants), must be evaluated for WRS eligibility. This includes employees hired as:

• seasonal,
• project,
• temporary and part-time,
• members of all boards and commissions, and
• elected officials.

When a resolution is approved, all eligible employees must be enrolled as of the employer’s WRS effective date. The only exception is for employers who:

• File a resolution to participate in the WRS for employees hired on or after the effective date.
• Offer a one-time waiver of participation to current eligible employees.
• Exclude their public utility workers from participation per Wis. Stat. § 40.21 (7).

There are three eligible employee participation options for new WRS employers. One option allows the employer to offer a one-time waiver to all current eligible employees to enroll in the WRS. 

If choosing this option, note the following:

• Employees that waive WRS coverage and continue to be employed by the same employer will:
  • Never be enrolled in the WRS.
  • Never be eligible for any ETF-administered insurance programs. 
• Eligible employees hired on or after the WRS effective date cannot waive WRS coverage and must be enrolled.
• Eligible rehired annuitants with a WRS termination date on or after July 1, 2013 cannot waive WRS coverage and must be enrolled.

For More Information
See the Employee Participation Options section of the How to Become a Participating Employer (ET-1129) brochure.

Prior service is an optional benefit where employers pay the entire cost of providing WRS service credit for employees who worked for the employer before they joined the WRS.

Prior service does not add money contributions to the employee’s account. Prior service is lost if an employee withdraws their money before minimum retirement age. If the employee terminates before the prior service liability is paid off, the employer is still required to pay the remaining balance.

The cost of prior service varies by employer. A Prior Service Cost Study is recommended for all employers electing 25-100% prior service.

The employer pays the entire cost of prior service. Rollovers from other qualified pension plans or personal checks cannot be used to purchase prior service.

For some employers, the interest charged may be greater than the principal paid each year, resulting in  the liability balance increasing rather than decreasing.

For More Information
See the Prior Service Option section of the How to Become a Participating Employer (ET-1129) brochure.

Yes. Employers may add or increase prior service in increments of 25% if they:

• did not previously offer prior service,
• are currently offering 25 – 75% of prior service, and
• offered prior service to teachers but want to add prior service for educational support staff (school districts only).

ETF recommends a Prior Service Cost Study before adding or increasing prior service.

Note: Adding coverage for educational support staff may change the teacher prior service rate. A weighted average rate will apply to all covered employees.

For More Information
See the Prior Service Option section of the How to Become a Participating Employer (ET-1129) brochure.