RETIREMENT FUNDS - 13410

(Revised and renumbered from 16400)

The state established each retirement fund for a specific purpose to address specified retirement needs. A single assigned agency/department administers and accounts for the financial activities of each retirement fund.

Retirement funds use the economic resources measurement focus described in the State Administrative Manual (SAM) section 7430, and the accrual basis of accounting described in SAM section 7440, to record and report financial transactions.

Where applicable, special instructions issued by the Department of Finance, Fiscal Systems and Consulting Unit (FSCU), will continue to apply and agencies/departments will use the accounts described in SAM chapter 7600 to record and present financial transactions in these funds. Agencies/departments will follow procedures regarding income accounting prescribed in SAM chapter 8200 except for those funds that require accrual of income earned regardless of when collectible. Funds requiring accrual of operating income earned regardless of when collectible normally account for operating income as they are billed throughout the year and will continue to accrue income at the time and to the extent they now do.

Where FSCU has not issued any special instructions, agencies/departments will follow the general procedures described in SAM chapter 7000 to 19000, as well as the journal entries described in SAM chapter 10500, to the extent applicable.