Defined Contribution LOSAP

Defined contribution LOSAP typically provides three benefits:

• Pre-entitlement death benefit.
• Pre-entitlement disability benefit.
• Lump Sum Benefit payable at retirement.

Who benefits from LOSAP:

• Community - Establishing a LOSAP can provide significant savings to municipalities that are otherwise associated with paying salaries and benefits for full-time firefighters.
  
  
• Emergency Service Organization - Establishing service requirements to qualify for benefits promotes a better trained and managed team of volunteers.
  
  
• Volunteers - Establishing a LOSAP offers rewards to volunteers for community service and encourages volunteer retention.

• Guarantee of principal.
• Minimum 3 percent interest rate.

• On average, an annual contribution of $500 per active volunteer provides an attractive program.
• Many departments incorporate LOSAP into their Safer Grant proposal.