Revised ARP Fringe Benefit Rate for FY 2025-26

Comptroller’s Memorandum No. 2025-16, FY 2025-26 Revised Fringe Benefit Recovery Rates has been published to the State Comptroller’s website.

The memorandum reflects the revised FY 2025-26 ARP Fringe Benefit rate to 13.98%. The change was necessitated by additional data concerning ARP contributions and recoveries. All other rates remained unchanged. 

The revised ARP rate will be handled as follows: the revised ARP rate is 13.98%. To apply this change, the rates for the FRAPL, FRA415, and FRARPN deduction codes will be temporarily reduced by the difference between the old and new rates—5.96%—for four pay cycles, starting with the September 5, 2025 check date through the October 17, 2025 check date. After the October 17 cycle, a one-time true-up adjustment is expected for the October 31, 2025 check date. Following this adjustment, the rate will be permanently set to the revised 13.98%.