2025 Session Last amended: 2023 session

§ 356.59 — Interest Rates

Plain-Language Summary

This section sets the interest rates that apply to all payments involving public pension plans, including refunds, contributions, repayments, and shortages. Each major pension system (MSRS, PERA, TRA, and St. Paul TRA) has its own specified rates that have changed over time.

356.59 INTEREST RATES.

Subdivision 1.Applicable interest rates.

Whenever the payment of interest is required with respect to any payment, including refunds, remittances, shortages, contributions, or repayments, the rate of interest is the rate or rates specified in subdivisions 2 to 5 for each public retirement plan. §

Subd. 2.Minnesota State Retirement System.

The interest rates for all retirement plans administered by the Minnesota State Retirement System are as follows:

		Annual
before July 1, 2015	8.5 percent	0.71 percent
from July 1, 2015, to June 30, 2018	8.0 percent	0.667 percent
from July 1, 2018, to June 30, 2023	7.5 percent	0.625 percent
after June 30, 2023	7.0 percent	0.583 percent

Subd. 3.Public Employees Retirement Association.

The interest rates for all retirement plans administered by the Public Employees Retirement Association are as follows:

	before July 1, 2015	8.5 percent
	from July 1, 2015, to June 30, 2018	8.0 percent
	from July 1, 2018, to June 30, 2023	7.5 percent
	after June 30, 2023	7.0 percent

Subd. 4.Teachers Retirement Association.

The interest rates for the retirement plan administered by the Teachers Retirement Association are as follows:

		Annual
before July 1, 2018	8.5 percent	0.71 percent
from July 1, 2018, to June 30, 2023	7.5 percent	0.625 percent
after June 30, 2023	7.0 percent	0.583 percent

Subd. 5.St. Paul Teachers Retirement Fund Association.

The interest rates for the retirement plan administered by the St. Paul Teachers Retirement Fund Association are as follows:

		Annual
before July 1, 2015	8.5 percent	0.71 percent
from July 1, 2015, to June 30, 2018	8.0 percent	0.667 percent
from July 1, 2018, to June 30, 2023	7.5 percent	0.625 percent
after June 30, 2023	7.0 percent	0.583 percent

History:

2018 c 211 art 6 s 39; 2023 c 45 art 1 s 2

History: History: 2018 c 211 art 6 s 39; 2023 c 45 art 1 s 2

Practical Notes

The interest rate charged on pension-related payments varies by which pension system you are in and what time period is involved. These rates affect how much it costs to repay a refund or buy back service credit. Check with your specific plan for the current rate that applies to your situation.

Source: Minnesota Office of the Revisor of Statutes