Cal. Education Code - EDC § 26500. Section 26500.
Acceptance of employment subject to coverage by the Cash Balance Benefit Program constitutes consent to have contributions deducted from the employee’s salary as required by Section 26501.
CHAPTER 6. Contributions [26500. - 26507.]
Cal. Education Code - EDC 6.
in effectCal. Education Code - EDC § 26501. Section 26501.
Except as provided in Section 26504, the participant shall contribute an amount equivalent to 4 percent of salary.
Cal. Education Code - EDC § 26501.5. Section 26501.5.
A person who elects, pursuant to Section 26403, to participate in the Cash Balance Benefit Program shall make contributions, as provided in Section 26501, based on his or her salary or other compensation earned for trustee service.
Cal. Education Code - EDC § 26502. Section 26502.
Notwithstanding Section 26301.5, the employer may pick up, for the sole purpose of and in accordance with the requirements of Section 414(h)(2) of Title 26 of the United States Code and Section 17501 of the Revenue and Taxation Code, all of the amounts otherwise due as employee contributions, which shall be paid by the employer in lieu of employee contributions and which shall be deducted from the employee’s salary.
Cal. Education Code - EDC § 26503. Section 26503.
Except as provided in Sections 26504 and 26507, the employer shall contribute an amount equivalent to 4 percent of salary for each participant employed by the employer.
Cal. Education Code - EDC § 26503.5. Section 26503.5.
If a person elects, pursuant to Section 26403, to participate in the Cash Balance Benefit Program, his or her employer shall make contributions, as provided in Section 26503, based on the salary or other compensation paid for trustee service. For a participant subject to the California Public Employees’ Pension Reform Act of 2013, other compensation paid for trustee service is subject to the same requirements as “salary” as defined in Section 26139.5.
Cal. Education Code - EDC § 26504. Section 26504.
The employer may enter into a collective bargaining agreement to pay a different employer contribution rate and a different employee contribution rate, provided all of the following conditions are met:
(a)
The sum of the employee contributions and employer contributions for each participant shall equal or exceed 8 percent of salary.
(b)
The employee contribution rate may exceed the employer contribution rate but in no event shall the employer contribution rate be less than 4 percent.
(c)
The employee contribution rate shall not be less than the employer contribution rate. If
the terms of a collective bargaining agreement that is in effect on January 1, 2014, would be impaired by this subdivision, this subdivision shall not apply to the employer and participants subject to that contract until the expiration of that contract. A renewal, amendment, or any other extension of that contract shall be subject to the requirements of this subdivision.
(d)
The employee contribution rate and employer contribution rate shall be the same for each participant employed by the employer.
(e)
The employee contribution rate and employer contribution rate shall be in one-quarter percent increments.
(f)
The employee contribution rate and employer contribution rate as determined under the collective bargaining agreement shall become effective on the first day of the plan year following notification to the
system and shall remain in effect for at least one plan year. However, the employee contribution rate and the employer contribution rate as determined under the collective bargaining agreement may become effective as of the first day of the plan year in which notice is given if it is so provided in the collective bargaining agreement and if a lump-sum contribution is made to the plan equal to the additional employee and employer contributions, if any, that would have been required if the contribution rates had been in effect on the first day of the plan year. Interest shall be credited at the minimum interest rate with respect to the lump-sum contribution commencing with the first month after the contribution is made.
(g)
The employer has filed notice of the employee contribution rate and the employer contribution rate on a form prescribed by the system.
Cal. Education Code - EDC § 26506. Section 26506.
(a)
Except as provided in subdivision (b), participants shall not make voluntary pretax or post-tax contributions into the Cash Balance Benefit Program, nor shall participants redeposit amounts previously distributed from employee accounts or employer accounts.
(b)
Pursuant to terms and conditions established by the board, participants may be permitted to transfer funds from eligible retirement plans into the Cash Balance Benefit Program to the extent that the transfers are allowable under and are completed in a manner prescribed by applicable federal and state laws, and any related regulations.
(c)
Funds deposited with the Cash Balance Benefit Program by a
participant pursuant to subdivision (b) shall be credited to the participant and identified separately from credits in the participant’s employee and employer accounts. Funds so deposited shall be treated as credits to the participant’s employee account for all other purposes under this part.
Cal. Education Code - EDC § 26507. Section 26507.
(a)
The board may adjust the mandatory employer contribution rate specified under Section 26503 for a fixed period of plan years when it has determined based upon the recommendation of the actuary, that increased contributions are required. The adjustment shall not exceed one-fourth of one percent for any plan year. The mandatory employer contribution rate as adjusted shall not exceed 4.25 percent of salary in any plan year for each participant employed by the employer, except as provided in subdivision (b).
(b)
The adjustment to the employer contribution rate specified in subdivision (a) shall be applied to the employer contribution rate specified in a collective bargaining agreement pursuant to Section 26504 and in effect on the first day of the plan year in which the adjustment to the employer contribution rate takes effect.
(c)
The adjusted employer contribution rate shall become effective no earlier than the first day of the plan year immediately following adoption by the board.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026