| Type of Plan |
Defined Benefit Plan only. |
- Defined Contribution Plan (a personal investment portfolio) and
- Defined Benefit Plan (pays 50% of what you receive under Plan 2).
|
| Defined Benefit Formula |
2% × Average Final Compensation × Service Credit Years. |
1% × Average Final Compensation × Service Credit Years. |
| Defined Contribution Component |
None. |
Based entirely on your contributions, the investment earnings and, if an annuity is the chosen payment option, the age at which payments begin. You will have a menu of options for investing your defined contribution portion and the opportunity (along with the accompanying risk) to receive the full market rate of return on your investments. |
| You are eligible to receive |
- A full retirement benefit at age 65 if you have at least five years of service.
- An early retirement with no reduction at age 62 if you have 30 years of service.*
- A reduced benefit as early as age 55 if you have 20 years of service.
|
- A full retirement benefit from the defined benefit component at age 65 if you meet one of the following service requirements:
- At least 10 service credit years
- Five service credit years, including 12 service credit months that were earned after attaining age 44
- Five service credit years that were earned under Plan 2 before June 1, 2003 and transferred to PERS Plan 3.
- An early retirement with no reduction at age 62 if you have 30 years of service.*
- A reduced benefit as early as age 55 if you have 10 years of service.
|
| If you terminate and withdraw your contributions |
You forfeit your right to a retirement benefit unless you return to eligible employment and re-establish service credit by paying back the withdrawn amount plus interest.
|
You still have a right to a benefit under the defined benefit component (if you meet service eligibility requirements). |
| Contribution rate for member |
Adjusted periodically to reflect the projected needs of the retirement fund. Current rate, as of September 2007, is 4.15% of member salary. |
Member selects from a variety of contribution rates ranging from 5% to 15%. Once a rate is selected, it cannot be changed unless the member changes employers.
|
| Inflation protection for inactive members-defined benefit component |
None. |
If you have at least 20 or more years of service credit and separate from service, your pension benefit will be increased 0.25 percent per month, or approximately 3 percent for each year you delay receiving benefits until age 65. |
| Cost of Living Adjustment(COLA)— defined benefit component |
After receiving your benefit for one full year, a COLA of up to 3 percent will be applied each year on July 1. |
After receiving your benefit for one full year, a COLA of up to 3 percent will be applied each year on July 1. |
