Extends for four fiscal years the current 7% per annum statutory rate of interest used in valuing retirement system liabilities for the purpose of computing the amount of employer contributions

New York City pension rates extended

Beginning July 1, 2025, the law extends existing pension interest rates four years, through June 30, 2029. It covers New York City’s employee, teacher, police, fire, and Board of Education retirement systems. The 7% yearly base rate is used to value pension obligations when calculating employer contributions. Special and additional interest credited to members remain 1.25% each; supplementary interest on system funds remains 0%. All rates compound annually, continuing the schedule that began July 1, 2011. The law applies from July 1, 2025, even if enacted later. It does not specify a dollar change in employer contributions or member benefits.