IPERS
Members
 

For Members Retiring—
Protection Occupations

Congratulations on Your Upcoming IPERS Retirement

Canada goose resting at the edge of West Okoboji at sunset

Available Payment Options

Payment
Option
Description Benefits Payable to Your Beneficiary Example
Lump-Sum
Benefit
Monthly
Benefit
Ken retires at the age of 56 and 4 months, after working as a firefighter in IPERS-covered employment for 20 years, with a highest 3-year average salary of $42,068.57. His wife is age 57 and 4 months. His IPERS contributions plus interest total $60,741.71. Here’s the amount of his benefits under each option.
Option 1:
Annuity With Fixed Lump-Sum Survivor Benefit
Monthly benefit for life.

You specify an amount, in $1,000 increments, to be paid in a lump sum to your beneficiary when you die.

After retirement, you cannot change death benefit amount.

Death benefit cannot exceed your total contributions plus interest.

Yes. No. Monthly Benefit Payable to Ken: $1,913.17

Minimum Lump-Sum Benefit Payable to Ken's Wife in the Event of His Death: $1,000

Maximum Lump-Sum Benefit Payable to Ken's Wife in the Event of His Death: $60,000 (Ken's monthly benefit would be $1,819.36.)

Option 2:
Annuity With Variable Decreasing Lump Sum
Monthly benefit for life.

At your death, beneficiary receives difference between retirement benefit
received and accumulated contributions (total contributions plus interest).

Most retirees recover their IPERS contributions plus interest within the first 3 years of receiving pension payments.

Maybe. No. Monthly Benefit Payable to Ken: $1,912.02


Lump-Sum Benefit Payable to Ken's Wife in the Event of His Death:
$14,853.23 after 2 years. After Ken receives 32 monthly payments, there will not be any death benefit payable to his wife.

Option 3:
Single Life Annuity
Monthly benefit for life.

At your death, no further benefits payable.

No. No. Monthly Benefit Payable to Ken: $1,914.76

Benefit Payable to Ken's Wife in the Event of His Death: None

Option 4:
100%, 75%, 50%, or 25% Joint and Survivor Annuity
Monthly benefit for life.

At your death, beneficiary receives 100%, 75%, 50%, or 25% of your benefit
for life.

Restrictions on percentages apply if beneficiary is not your spouse and is more than 10 years younger than you.

You cannot change your beneficiary after IPERS has made the first monthly
payment.

No. Yes, if your beneficiary outlives you. Monthly Benefit Payable to Ken:

100% $1,703.60
75% $1,751.90
50% $1,803.02
25% $1,857.21

Monthly Benefit Payable to Ken's Wife in the Event of His Death:

100% $1,703.60
75% $1,313.93
50% $901.51
25% $464.30

 

Option 5:
120-Month Term Certain Annuity
Monthly benefit for life.

If you die before receiving 120 payments, beneficiary receives benefit (otherwise,
no further benefits payable).

If beneficiary is an individual, beneficiary receives monthly benefit for 120 months minus payments received by you.

If beneficiary is several individuals, a trust, or an estate, payment is made in a lump sum equivalent to the value of the remaining monthly payments.

Must be under age 90 to elect this option.

Maybe. If your beneficiary is several individuals, a trust, or an estate, payments will be made in a commuted lump sum based on today’s value of the remaining monthly payments. Maybe. A monthly benefit can only be paid if you named one beneficiary and if you received less than 120 payments. Monthly Benefit Payable to Ken: $1,881.56

Monthly Benefit Payable to Ken's Wife in the Event of His Death After 24 Months: $1,881.56 for 96 months; thereafter, no benefits payable

OR

The lump sum payable if Ken dies after 24 months of pension payments is $141,068.25.

Option 6:
100%, 75%, 50%, or 25% Joint and Survivor Annuity With Pop-Up Annuity
Monthly benefit for life.

At your death, beneficiary receives 100%, 75%, 50%, or 25% of your benefit for life.

You cannot change your beneficiary after IPERS has made the first monthly
payment.

Restrictions on percentages apply if beneficiary is not your spouse and is more than 10 years younger than you.

If beneficiary dies before you, your benefit pops up to what it would have been under Option 2. You may designate a new beneficiary at this time.

Maybe, if your beneficiary dies before you and any balance
remains of your total contributions plus interest.
Yes, if your
beneficiary outlives you.
Monthly Benefit Payable to Ken:

100% $1,686.54
75% $1,738.39
50% $1,793.53
25% $1,852.28

Monthly Benefit Payable to Ken's Wife in the Event of His Death:

100% $1,686.54
75% $1,303.79
50% $896.76
25% $463.07