 IPERS Member Handbook
WHAT IT MEANS TO BE VESTED
 You become vested when you first meet one of these conditions:
- You have completed 4 years (16 quarters) of service.
- You turn age 55 while contributing to IPERS.
A. Benefits of Vested Members
Vesting gives you a permanent future right to an IPERS benefit. Once you are vested, you gain access to the following:
1. Purchasing Service
IPERS recognizes that there may be instances when you need (or want) additional service to help you increase your retirement benefits so you can retire when you are ready. Vested members are eligible to purchase service for certain periods of time that they are away from IPERS-covered employment.
2. Disability Benefits
If you receive social security disability or railroad retirement disability benefits, you may be eligible for disability benefits from IPERS even before age 55.
3. Death Benefits
IPERS provides death benefits if you die before you begin receiving your retirement benefits. Death benefits are available to vested and nonvested members, but vested members are eligible for additional death benefits.
4. Portability of Benefits
If you leave IPERS-covered employment, you can choose to leave your money in IPERS. This may be helpful if you plan on returning to covered employment or if you want later to draw monthly benefit payments from IPERS. You also can take a refund or roll over all or a portion of your investment and a portion of your employer’s investment to a qualified plan like a 401(k) or IRA.
5. Access to Employer Contributions
All IPERS members are always entitled to 100 percent of their contributions and interest earnings. As a vested member, if you leave covered employment and take a refund, you will receive a portion of your employer’s contributions made on your behalf plus interest. The portion is the percentage calculated when your years of service are divided by 30 (22 for Special Service members).
6. Lifetime Retirement Benefits Vested members can receive lifetime monthly retirement benefits as early as age 55. |
