Section 55605 - Annuities in lieu of joining pension or retirement system(a) A township may provide, by ordinance, to employes of not less than ten years of satisfactory service and who are not less than sixty years of age upon termination of active employment with the township a proportion of the compensation last paid to them but not in excess of 50% of the compensation.(b) Any arrangement to provide post retirement compensation to retired appointees and employes pursuant to this section shall be a pension plan within the meaning of that term pursuant to the act of December 18, 1984 (P.L. 1005, No. 205), known as the "Municipal Pension Plan Funding Standard and Recovery Act," and the township establishing that plan shall provide funding of that pension plan in an amount sufficient to meet the minimum obligation of the municipality with respect to the pension plan pursuant to the "Municipal Pension Plan Funding Standard and Recovery Act."(c) Nothing in this section shall be construed to preclude any employe of the township from joining any pension system or municipal retirement system that the township may establish or adopt. (d) Upon the effective date of this subsection, a township may not provide for an annuity in lieu of employes joining a pension or retirement system. Nothing in this subsection shall be construed to affect the rights of any current or retired employes or appointees of a township entitled to payments granted in accordance with any annuity entered into prior to the effective date of this subsection.1931, June 24, P.L. 1206, art. VI, § 605, added 1949, May 27, P.L. 1955, § 18. Amended 1992, Dec. 16, P.L. 1218, No. 159, § 1, imd. effective; 2020, Oct. 29, P.L. 782, No. 96, § 25, effective in 60 days [Dec. 28, 2020].