Senior Management System Optional Annuity Program
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The 1986 Florida Legislature created the Senior Management Service Optional Annuity Program (SMSOAP) for members of the state Senior Management. The program, which became effective February 1, 1987, has been expanded to include selected managerial staff of the Legislature, the Auditor General and his managerial staff, and the Executive Director of the Ethics Commission (all effective January 1, 1990), senior-level managers of the State Board of Administration (effective January 1, 1991), and selected managerial staff with the Judicial Branch (effective January 1, 1994). This program is intended to aid state government in recruiting senior managers by offering more portability of retirement benefits to those who do not expect to remain in public service long enough to vest in the Florida Retirement System. |
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The SMSOAP is a defined contribution plan that provides for full and immediate vesting of all contributions submitted to the participating companies on behalf of the participant. Employees in eligible positions may irrevocably elect to participate in the Optional Annuity Program rather than the Florida Retirement System. This program provides retirement and death benefits through contracts with designated insurance carriers. The state contributes on behalf of the participant a percentage of the participant’s salary as required by law. As of July 1, 2008, this contribution remains at 12.49 percent of the participant’s salary. The contribution is invested in the company or companies selected by the participant to create a fund for the purchase of annuities at retirement. The participant may contribute by salary deduction an amount not to exceed the percentage contributed by the state to the participant’s annuity account. As of June 30, 2008, there were 49 participants in the SMSOAP. |
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Currently, the two approved participating companies for SMSOAP are: |
These companies are required to provide reports to participants each quarter. |