NH HealthTrust · Pension Modeling
NHRS Group I vs. NHRS Group II — New Hampshire's two pension realities
City of Keene's workforce sits in two parallel pension systems administered by NH HealthTrust. NHRS Group I (general workforce) and NHRS Group II (certified law enforcement, certified detention officers, and certified paramedics) carry materially different employer rates. Total compensation comparisons are meaningless without isolating which system applies to each classification.
NHRS Group I — Employees & Teachers
12.83%
Employer contribution as % of payroll (eff. 7/1/2025)
Applies to general (non-public-safety) workforce. Vesting 10 years. Tier B (post-7/1/2011) calculation rules apply; Tier C (post-7/1/2017) for newer hires.
NHRS Group II — Police
33.88%
Employer contribution as % of payroll (eff. 7/1/2025)
Applies to sworn law enforcement (police officers, sergeants, lieutenants, captains, chiefs). 10-year vesting under Tier C; higher pension multiplier (2.5%) vs Group I.
NHRS Group II — Fire
32.91%
Employer contribution as % of payroll (eff. 7/1/2025)
Applies to sworn fire/EMS personnel (firefighters, lieutenants, captains, battalion chiefs, chiefs). Same Tier C rules as Group II Police; slightly lower er rate reflects fire-specific actuarial experience.
Vesting and member cost
NHRS Group I members vest in 5 years (Class III post-7/1/2012 hires) and contribute 9.00% of payroll; NHRS Group II members vest in 8 years and contribute 9.75%. The vesting differential affects retention modeling — particularly for laterally-recruited NHRS Group II classifications where prior-system service may not transfer cleanly.
Why this matters for Keene's pay structure
A pay-grade structure that ignores the NHRS Group I / Group II split will systematically misprice certified vs. non-certified positions in the same family. Examples: detention officers, paramedics, and dispatch supervisors. Our pay structure design isolates pension overhead from base recommendations so the County sees true peer pay before pension overhead — the same way the NH LGC Salary Survey reports it.
Rates per NH HealthTrust employer-rate notice effective 7/1/2025. Production figures verified against NHRS Annual Comprehensive Financial Report and City of Keene's 2024-25 Adopted Budget personnel schedule at engagement award.