1. VIRGINIA RETIREMENT SYSTEM (VRS)

All full time, permanent employees are required to join this program and are then entitled to receive all the benefits offered by the program. The Town of Vienna funds the total cost for retirement benefits derived from the VRS. Vienna contributes 11.74% of an employee's base salary for the Town's obligated share of the pension program. Also, the Town has opted to pay the employee's share (based on an additional 5% of the individual's annual salary) for a total payment of 16.74% of salary. Further information can be obtained directly from the VRS web page at http://www.varetire.org/

2. NON-SWORN PERSONNEL 401(a) PLAN

After the first six months of employment, the Town of Vienna establishes for all new, full time, civilian employees a 401(a) account. The Town contributes 2% of an employee's base (annual) salary into this account. An employee can then elect to contribute money into this account as well. For any employee contribution up to 2%, the Town will match it 100% up to 2%, making a total contribution of 6% possible.

It is important to note that this employee contribution election is irrevocable. Once a contribution is started, it must be maintained forever at that level. It can be increased over time, so an employee could elect to contribute 0.5% one year and then move it up to 1% in another year. But because of IRS regulations, once the employee deduction itself is started, it cannot be discontinued.

There is an open season each year (in November and December) that allows for employees to begin or increase their personal 401(a) contributions. The plan document, on file in the Administration Services Office, further explains all the details and requirements of the program.

3. LOCAL SWORN PERSONNEL RETIREMENT PROGRAM

This plan is designed to provide benefits for retired sworn officers prior to their eligibility for state or federal retirement programs. All sworn personnel are required to participate in this pension program. Police officers and the Town jointly fund this retirement program. Members contribute 1.5% of their base salary into the plan via bi-weekly payroll deductions and the Town pays 4.73% of each member's salary.

4. SOCIAL SECURITY ADMINISTRATION - FEDERAL INSURANCE CONTRIBUTIONS ACT (FICA)

The Town of Vienna is a participant in the Social Security (FICA) program. All employees are participants in this program. Employees and the Town each make matching contributions of 7.65% of gross salary into this plan. For calendar year 2006, contributions into FICA cease when an individual earns more than $94,200. To learn more about the Social Security system, go to the Social Security Administration's website at http://www.ssa.gov/