For Members Retiring— Protection Occupations Congratulations on Your Upcoming IPERS Retirement

Your Payment Options

You choose how you want your retirement benefit to be paid to you from six options as highlighted on the following table. You select a payment option based on personal circumstances when you file an application for retirement benefits. If you are married, your spouse needs to consent in writing to the payment option you elect. You cannot change your decision after your first benefit check is issued. Regardless of the option you choose, monthly benefits are paid to you for life if you are vested and your monthly pension under Option 2 is at least $50. If it is less than $50, your only option is to receive a one-time lump-sum payment.

Payments after your death vary by option choice. Depending on the option you elect when you retire, your beneficiary(ies) may receive a death benefit if you die after retirement. The type of death benefit your beneficiary will receive—lump-sum or monthly benefit—is also based on the option you elect.

The chart below describes the type of death benefit payable under each option and provides an example of the retirement benefits payable under each option. Although your personal situation may vary, the example shows how each option affects the benefit amount.

Please note that depending on your payment option, you may be able to choose the level payment option.

Available Payment Options

View enlarged version of table.

Level Payment Option
With the level payment option, you receive higher IPERS benefits before age 62 and then reduced IPERS benefits after age 62 to provide nearly equal monthly retirement payments to you before and after you become eligible for social security benefits. Under this alternative, IPERS pays higher benefits before age 62 to account for the social security benefits you have not begun to receive yet. After you become eligible for social security benefits at age 62, your IPERS benefits will be permanently reduced for the rest of your life.

If you choose this alternative, you must provide IPERS with an estimate of what your social security benefits will be at age 62 at least 60 days before you want to begin receiving IPERS benefits. Please note that the amount of your IPERS benefits will not be recalculated later based on the actual social security benefits you receive.

You may choose the level payment option with all the payment options described in the chart above except Option 6.