Out-of-State Teaching Time [x] close

Some PERS members with past teaching or administrative service at a public school in a state other than Oregon who are teachers or school administrators may purchase up to four years of out-of-state teaching or administrative service time. The purchase can be made by any PERS member who meets the following requirements:

• is a licensed teacher as defined in ORS 342.120;
• is currently employed by a union high school district, education service district, or common school district (includes public charter schools);
• was employed as a teacher in a state other than Oregon;
• was employed in a public school system (grades K - 12); and
• is not entitled to a pension or retirement allowance for this service.

Note, in this context, "teacher" includes all licensed employees who have direct responsibility for instruction, coordination of educational programs, or supervision or evaluation of teachers. This definition includes school administrators.

Participation in a deferred compensation (IRC 457) or a 403(b) plan does not affect this purchase. Service time attributable to private school employment is not eligible for purchase. The member must pay the full cost of the anticipated lifetime monthly benefit increase. This purchase can only be made during the 90-day period prior to your effective retirement date and you must be a licensed teacher at the time you make the purchase.

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Formula Plus Annuity Method [x] close

The Formula Plus Annuity Method is available only to members who made contributions before August 21, 1981. It uses a formula similar to the Full Formula to compute the employer monthly portion. One percent of the final average salary for general service employees (1.35 percent for legislators, police officers, and firefighters) is multiplied by the years of creditable service. This total is reduced if you take an early retirement benefit, then added to the monthly annuity payment provided by your member account balance, which is based on your balance and your life expectancy.

Example:Formula Plus Annuity Method

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Full Formula Method [x] close

The Full Formula Method uses three factors to compute your retirement benefit:

• your final average monthly salary
• your years and months of creditable service as of your date of retirement; and
• a factor set by statute at 1.67 percent for general service employees (2.0 percent for police officers and firefighters).

Multiply your final average monthly salary by your length of PERS creditable service and then multiply this result by the appropriate percentage factor (1.67 percent or 2.0 percent) to estimate an approximate Refund Annuity benefit amount.

Both the employer and member account balances fund this benefit. This amount is reduced if you take an early retirement benefit.

Example: Full Formula Method:

*Converted from the Refund Annuity amount because the member chose an optional form of payment.

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Early Retirement [x] close

Normal Retirement - Retirement with Full Benefits

Tier One general service members may retire with full benefits at age 58 (60 for Tier Two general service members) or at any age with 30 or more years of creditable service. Police officers and firefighters may retire with full benefits at age 55,between age 50 and 55 with 25 or more years of creditable service, or at any age with 30 or more years of creditable service. See the following chart.

Early Retirement - Retirement with Reduced Benefits

A member who is vested may retire with a reduced pension that is the actuarial equivalent of the normal retirement pension at any time on or after the member's earliest retirement date.

Tier One general service members may retire with reduced benefits between age 55 and 58 (age 55 and 60 for Tier Two general service members) with less than 30 years of creditable service. Police officers and firefighters may retire with reduced benefits between age 50 and 55 with less than 25 years of creditable service. See the following chart.

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HB3349 Employers [x] close

The following employers are exempt from the tax remedy prescribed by House Bill 3349.

If you worked for any of the employers listed below on or before October 1, 1991, please select "Yes, I worked for a listed employer." If not, please select "No, I did not work for a listed employer".

• Employer Number - Employer Name
• 02833 - BOARDMAN RFPD
• 02840 - CANNON BEACH RFPD
• 02820 - CENTRAL OR COAST FIRE & RESCUE DIST
• 02110 - CITY OF COQUILLE
• 02309 - CITY OF GEARHART
• 02304 - CITY OF GLADSTONE
• 02279 - CITY OF KEIZER
• 02298 - CITY OF LINCOLN CITY
• 02777 - CITY OF NEWBERG
• 02292 - CITY OF NORTH BEND
• 02308 - CITY OF NORTH POWDER
• 02278 - CITY OF SPRINGFIELD
• 02288 - CITY OF TUALATIN
• 02303 - CITY OF WOODBURN
• 02307 - CITY OF YONCALLA
• 02761 - CLACKAMAS RIVER WATER
• 02834 - CRESCENT RFPD
• 02827 - CRESWELL RFD
• 02844 - CROOK COUNTY RFPD
• 02822 - DESCHUTES COUNTY RFPD #2
• 02828 - DESCHUTES PUBLIC LIBRARY DISTRICT
• 02851 - EAST UMATILLA RFPD
• 02824 - GLIDE FIRE DEPARTMENT
• 02765 - GREEN SANITARY
• 02698 - HALSEY SHEDD RFPD
• 02819 - HARRISBURG FIRE/RESCUE
• 02838 - HIGH DESERT PARK
• 02829 - HUBBARD RFPD
• 02005 - JACKSON COUNTY
• 02846 - JEFFERSON COUNTY LIBRARY DISTRICT
• 02841 - JEFFERSON COUNTY SWCD
• 02042 - JOSEPHINE COUNTY
• 02850 - LAKE COUNTY EXTENSION
• 02850 - LAKE COUNTY EXTENSION
• 02849 - LEBANON AQUATIC DISTRICT
• 02823 - LYONS FIRE DISTRICT
• 02853 - MILL CITY RFPD
• 02781 - N BEND/COOS-CURRY HOUSING AUTHORITY
• 02818 - NETARTS WATER DISTRICT
• 02830 - NETARTS-OCEANSIDE RFPD
• 02835 - NO CLACK COUNTY WATER COMMISSION
• 02837 - NORCOM
• 02839 - NORTH MORROW VECTOR CONTROL DIST
• 02825 - NORTHERN OREGON CORRECTIONS
• 02852 - OCHOCO IRRIGATION DISTRICT
• 02831 - OREGON ADVANCED TECH CONSORTIUM
• 02836 - REG ORG CRIME NARCOTICS TASK FORCE
• 02775 - SILVER FALLS 9-1-1
• 02845 - SUNRISE WATER AUTHORITY
• 02845 - SUNRISE WATER AUTHORITY
• 02847 - SWEET HOME FIRE DI- STRICT
• 02821 - TILLAMOOK CNTY SOIL AND WATER CONS.
• 02842 - TUALATIN VALLEY WATER DISTRICT
• 02826 - WASCO CO SWCD
• 02733 - WIARD MEMORIAL PARK DISTRICT
• 02015 - YAMHILL COUNTY

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Hourly Salary [x] close

Please enter in your hourly salary rate, if known. If you don't enter in a value one will be calculated for you.

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Interest Rates [x] close

Regular Interest Rate.

Tier One

PERS must credit at least the assumed rate of interest (currently 8%) to Tier One member regular accounts annually. The interest rate you select will be used for every year until your retirement date.

Tier Two

Select a regular interest rate between -30% and 30%. The interest rate you select will be used for every year until your retirement date. See below for a history of Tier 2 actual earnings.

Variable Interest Rate

Tier One and Tier Two

Select a variable interest rate between -30% and 30%. The interest rate you select will be used for every year until your retirement date. See below for a history of actual earnings.

Below is the history of interest crediting for the Regular Account and the Variable Account.

Job Classification [x] close

Your employer is responsible for the accurate reporting of your job classification to PERS. You can find your job classification under the Membership Information section on your Annual Statement (see below).

Last Day Worked [x] close

Active Members: If you are an active member, the last day worked must precede your retirement date. For example, if your retirement date is August 1, 2007, your termination date must be earlier than August 1, 2007.

Inactive Members: If you are an inactive member, the last day worked will be the date you terminated from your last PERS-covered employer.

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Lump-Sum Settlement Options [x] close

These options provide a lump-sum refund of your member account balance plus a lifetime monthly pension from your employer's contributions. Lump-sum payments are subject to a mandatory 20 percent federal tax withholding if paid directly to the retiree. Different tax treatment applies to lump sums rolled over directly to an IRA or other qualified retirement plan. Consult your tax advisor for information on eligible roll-overs and the tax consequences.

Members in the Variable Annuity Program who select a lump-sum option must have their variable balance transferred to their regular account.

Lump-Sum Option 1 (non-refund)

After receiving a refund of your member account balance, a benefit based on your employer's contributions is paid to you for life. No benefit of any kind is payable after you die.

Lump-Sum Option 2

After receiving a refund of your member account balance, a benefit based on your employer's contribution is paid as in Option 2.

Lump-Sum Option 2A

After receiving a refund of your member account balance, a benefit based on your employer's contribution is paid as in Option 2A.

Lump-Sum Option 3

After receiving a refund of your member account balance, a benefit based on your employer's contribution is paid as in Option 3.

Lump-Sum Option 3A

After receiving a refund of your member account balance, a benefit based on your employer's contribution is paid as in Option 3A.

Total Lump-Sum Option

You receive a refund of your total member account balance and a matching amount provided by your employer.

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Money Match Method [x] close

Under Money Match, your member account balance is matched by an equal amount from your employer. The monthly benefit is based on this sum and estimated life expectancy for persons in your age group. No reduction for early retirement is made.

Example: Money Match Method

(Note: The $7.84 per $1,000 in the examples above is the actuarial equivalency factor for a Tier One member retiring at age 58. A member who retires at a different age would have a different factor, so a different dollar amount per $1,000 is used. The examples assume a member account balance of $75,000.)

Pension and Annuity Retirement Options [x] close

When you retire, you will be able to receive your benefits under one of the 13 payment options summarized below. The option you choose will affect the amount of the monthly benefit payment. An option that includes a beneficiary will produce a lower monthly benefit payment. You may select only one option.

Option 1 (non-refund)

The highest monthly benefit you can receive is paid to you for your lifetime only. No benefit of any kind is paid to anyone after you die.

Refund Annuity Option (beneficiary need not be a person)

This benefit is paid for your lifetime only. When you die, your designated beneficiary will receive a lump-sum refund of any amount remaining in your member account. You may change your beneficiary at any time and you may have multiple beneficiaries. Usually, after nine to eleven years, no remaining account balance is available to pay to your beneficiary.

15-year Certain Option (beneficiary need not be a person)

If you die before receiving 180 monthly payments (15 years), your beneficiary is entitled to receive the remainder of the 180 payments. Your payments will be paid for your lifetime, but if you have received at least 180 payments when you die, no benefit is payable to your beneficiary. You may change your beneficiary anytime and you may have multiple beneficiaries. Joint and Survivor Options Under any of the four joint and survivor options, you may name only one beneficiary and the beneficiary must be a living person.

Option 2

This benefit is paid for your lifetime. After you die, your surviving beneficiary will receive, for life, the monthly benefit you were receiving at your death. You may change your beneficiary only during the 60 days following the date of your first benefit payment. If you outlive your beneficiary, your benefit is not changed, and all benefits stop when you die.

Option 2A

This benefit is paid for your lifetime. After you die, your surviving beneficiary will receive, for life, the monthly benefit you were receiving at the time of your death. However, if your beneficiary should die before you, or your beneficiary is your spouse and you are divorced after you retire, you may then elect to receive the higher-paying Option 1 benefit for the remainder of your lifetime. Proof of death or divorce will be required. A change to the Option 1 benefit amount is effective for the month following receipt of written notification. You must send a letter to PERS requesting that your benefit option be changed. You may change your beneficiary only during the 60 days following the date of your first benefit payment.

Option 3

This benefit is paid for your lifetime. After you die, your surviving beneficiary will receive, for life, one-half the monthly benefit amount you were receiving at the time of your death. You may change your beneficiary only during the 60 days following the date of your first benefit payment. If you outlive your beneficiary, your benefit is not changed, and all benefits stop when you die.

Option 3A

This benefit is paid for your lifetime. After you die, your surviving beneficiary will receive, for life, one-half the monthly benefit amount you were receiving at your death. However, if your beneficiary should die before you, or your beneficiary is your spouse and you are divorced after you retire, you may then elect to receive the higher-paying Option 1 benefit for the remainder of your lifetime. Proof of death or divorce will be required. A change to the Option 1 benefit amount is effective for the month following receipt of written notification. You must send a letter to PERS requesting that your benefit option be changed. You may change your beneficiary only during the 60 days following the date of your first benefit payment.

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PERS Membership Date [x] close

You become a PERS member after working six full calendar months for a PERS-covered employer in a qualifying position requiring at least 600 hours per calendar year. The six-month "waiting period" cannot be interrupted by more than 30 consecutive working days. Your effective date of membership is the first day of the month after you have met this requirement.

Your start date must have been no later than August 28,2003 to become a PERS member. Employees who first started working for a PERS employer after that date will become members of the OPSRP Pension Plan if they qualify.

You can find your membership date under the Membership Information section of your Annual Statement (see below).

Forfeited Service [x] close

You can restore service credit forfeited as the result of a previous withdrawal if you have at least 10 years of creditable service under PERS since your re-employment. For every three months of service worked after reemployment in a PERS-covered position, you can purchase one month of forfeited service. The purchase must be made during the 90-day period prior to your effective retirement date. To purchase this service, PERS Customer Service must calculate the purchase price of this service and issue you a Purchase Letter before you can purchase this service time. The Purchase Letter must accompany your payment. If you take advantage of this provision:

• you cannot elect a lump-sum retirement option;
• the purchase must be made in one payment; and
• the purchase must be the full amount withdrawn plus interest at 7.5 percent compounded annually from date of withdrawal to your effective retirement date.

If you meet these conditions but are not eligible to purchase the total amount of service you forfeited, the cost for the part, which you are eligible to purchase, will be a prorated portion of the amount you withdrew.

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Last Annual Salary [x] close

This is your PERS annual salary as of December 31, 2008. If you worked for more than one PERS employer, your annual salary is the sum of your salaries from all employers. The Internal Revenue Service places no limit on salary for final average salary (FAS) calculations for Tier One members but limits Tier Two members to $245,000 in salary for FAS calculations.

The calculator makes the following assumptions when estimating your FAS:

• Your last annual salary is the highest of your PERS career.
• Over the final three years of your employment, your salary increased by 4 percent each year.

For example, if you enter $50,000 as your last annual salary, the calculator estimates your FAS like this:
This Year: $50,000
Last Year: $48,076.92
Year Before Last: $46,227.81
FINAL AVERAGE SALARY: $48,101.58
(This does not include sick/vacation time adjustments.)

Your FAS is the higher of either a or b:
a. the average salary your received in the last 36 months of active membership
or
b. the average of the highest salary you received for three calendar years.

The FAS is a major component of the Full Formula calculations, so if you believe using a number other than your last annual salary will give you a more accurate FAS, enter that number in the calculator. The following formula will calculate a value which, when put into the calculator, will result in the FAS you wish to use (desired FAS):

(Desired FAS x 3)/2.8861.

For example, if you wanted the calculator to use $65,000 as your FAS, you would enter:

(65,000 x 3) / 2.8861 = 67,565.23

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Military Service Time [x] close

Employees of PERS participating employers who served in the military may be eligible for additional service credit under one or more of the following provisions.

Credit of Military Service Under the Veteran's Reemployment Rights Act (VRRA)

This federal right applies to an employee of a PERS participating employer who left a qualifying position to serve in the Uniformed Services and who was reemployed before December 12, 1994. The Uniformed Services includes service in the United States Armed Forces, Army National Guard, Army National Guard, Air National Guard, Commissioned corps of the Public Health Service, and any other category of persons designated by the President in time of war or national emergency. If qualified, the member is entitled to service credit at no cost. If you are interested and believe you may qualify for military service under the VRRA, please contact Customer Service.

Credit of Military Service Under the Uniformed Services and Reemployment Rights Act (USERRA)

This federal right applies to an employee of a PERS participating employer who leaves a qualifying position to serve in the Uniformed Services (same as those Services listed above) and who was reemployed on or after December 12, 1994. To qualify for this purchase, the employee must:

• Return to the employee's former employer within the time limits specified in USERRA (state agencies are all considered one employer);
• Have been other than dishonorably discharged; and
• Comply with all other requirements for eligibility under USERRA.

The purchase is based on contributions attributable to what the employee's salary would have been during the period of military service, with no interest. The purchase may be made in installments, but must be made between the date of reemployment and three times the duration of military service (not to exceed five years). The PERS member, or any person or organization on the member's behalf, may make part of all of the purchase. If the employee's employer would have made the employee's contributions if the employee had not left for active duty, the employer must make all of the purchase.

Credit of Military Service for Service in the United States Armed Forces

This state right applies to an employee of a PERS participating employer who leaves a qualifying position to enter or reenter the Armed Forces. The Armed Forces includes service in the United States Army, Navy, Air Force, Marine Corps, and Coast Guard. To qualify for this purchase, the employee must:

• Return to the employee's former employer within one year of discharge and within five years after the date the employee entered or reentered active service; and
• Have been other than dishonorably discharged.

The purchase is based on contributions attributable to what the employee's salary was at the time the employee entered or reentered active service. The purchase must be made in a lump-sum payment and may be made anytime after reemployment and before retirement. The PERS member, or any person or organization on the member's behalf, may make the purchase. An employee may receive credit for military service under either the federal or state provisions, but not both. If an employee is entitled to service credit under both provisions, the employee will receive credit under whichever provision provides the greater benefit.

Alternate Purchase of Credit for Military Service

A 1997 law allows members who are veterans to purchase up to four years of military time served prior to working for a PERS employer. The purchase can be made by any PERS member who meets the following requirements:

• entered or reentered active service after January 1, 1950, or was in active service on January 1, 1950;
• was in active service for other than active duty for training;
• was other than dishonorably discharged;
• was in active service before employment with a PERS-participating employer; and
• is neither receiving nor eligible to receive a military pension or retirement pay at the time of PERS retirement.

You are also eligible if you went into the reserves from active military service, are not receiving a military pension at the time of retirement from PERS, are not eligible to receive a military pension until age 60, and have not reached age 60 at the time of purchase. The member must pay the full cost of the anticipated lifetime monthly benefit. This purchase may be made during the 90 days before or 90 days after your effective retirement date.

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Does your employer participate in the Sick Leave Program? [x] close

If your employer participates in the unused sick leave program, you can apply one half of the monetary value of your unused sick leave hours to increase your retirement benefits under the Full Formula and Formula Plus Annuity benefit calculations. Unused sick leave is not used under the Money Match calculation.

Your current pay stubs show the number of hours of unused sick leave accumulated to date. To project future hours of unused sick leave, calculate the number of months between your retirement date and the date of your last pay stub statement. Multiply the number of months by the number of hours of sick leave you accumulate per month, up to a maximum of 8 hours/month.

Hours of Unused Vacation Time (at retirement) [x] close

If you are a Tier One member, the monetary value of your unused vacation time will be factored into your Full Formula and Formula Plus Annuity (if applicable) calculations.

Your pay stub shows the number of hours of unused vacation time accumulated to date. To project future hours of unused vacation time, calculate the number of months between your retirement date and the date of your last pay stub statement. Multiply the number of months by the number of hours of vacation time you accrue per month.

PERS Service Time [x] close

The calculator will estimate your PERS service time based on the membership date and last day worked you specify. The calculator assumes full-time employment during this period.

If you worked less than full-time, had leave without pay, or experienced any other factors that affect your service time, you can change the service time assumed by the calculator.

This field is automatically calculated using elapsed time from your PERS membership date to 10/1/1991. The calculator assumes full-time employment during this period.

If you worked less than full-time, had leave without pay, or experienced any other factors that affect your service time prior to 10/1/1991, you can change the service time assumed by the calculator.

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Beneficiary Date Of Birth [x] close

Enter the birthdate of the beneficiary you plan to designate.

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Tax Remedy [x] close

The Benefit Estimate Calculator automatically reflects the impact of the tax remedy on the benefit estimate.

The 1991 Oregon Legislature made PERS benefits subject to Oregon income tax beginning with calendar year 1991. To compensate for Oregon taxation of PERS benefit payments, recipients of PERS benefit payments may receive a tax remedy benefit increase. The increase will be the greater of the amounts provided by either Senate Bill 656 or House Bill 3349.

In 1991, SB 656 was enacted to provide a tax remedy benefit increase for service and disability retirement benefits paid to retirees and their beneficiaries on or after January 1, 1991 of 1 to 4 percent based on a member's job class and years of combined creditable service and prior service.

In 1991, the Oregon Supreme Court ruled that only benefits for service after September 29, 1991, could be taxed. (That is the date of the law that subjected PERS benefits to Oregon income tax.) Benefits for service performed before that date could be taxed only if a "remedy" was provided. To provide a remedy, the 1995 legislature passed HB 3349, which provides a maximum 9.8901 percent benefit increase on benefits earned before October 1991.

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I plan to designate a beneficiary [x] close

If you do not designate a beneficiary, your benefit estimate calculation will not include any joint and survivorship options.

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Regular Account Balance [x] close

Your Regular Account Balance can be found under the Account Information section of your 2008 Annual Statement (see below).

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Retirement Date [x] close

Your effective retirement date is the first day of the month following the last day you plan to work or were on vacation or paid sick leave, or the first of the month you plan to file your application for benefits, whichever is later.

Retirement with Full Benefits

Tier One general service members may retire with full benefits at age 58 (60 for Tier Two general service members) or at any age with 30 or more years of creditable service. Police officers and firefighters may retire with full benefits at age 55, between age 50 and 55 with 25 or more years of creditable service, or at any age with 30 or more years of creditable service. See the following chart.

Full and Reduced Benefits by Age and Years of Service

Seasonal Time [x] close

PERS members who previously worked less than six months in a full-time seasonal position with a PERS-covered employer before becoming a PERS member may purchase that time.

For this purpose, the term "seasonal position" means an apprenticeship, internship, or entry-level position in the employ of a PERS-covered employer that is served by a person before being employed in a technical or professional position with that employer. This credit can be purchased only during the 90-day period prior to your effective retirement date.

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Tier [x] close

You are a Tier One member if you began working for a PERS-covered employer prior to January 1, 1996.

You are a Tier Two member if you began working for a PERS-covered employer on or after January 1, 1996.

Your Tier can be found under the Membership Information section of your Annual Statement (see below).

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Variable Account Balance [x] close

Your Variable Account Balance can be found under the Account Information section of your 2008 Annual Statements (see below).

Waiting Time [x] close

When you retire, you can receive credit for your waiting period(s).

To purchase your waiting time, the following conditions must be met:

• you must have at least 10 years of combined creditable service and/or prior service under PERS;
• the purchase can take place only during the 90-day period prior to your effective retirement date; and
• the purchase must be made in one payment.

The payment will equal the employee and employer contributions that would have been made if you had been a member during that period. The waiting-time purchase is interest-free. If you served more than one waiting period, all waiting periods must be purchased.

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