Statewide Retirement Plan: Social Security Component
This component is specifically designed for departments who also pay into Social Security. In this component, benefits and contributions are reduced in order to pay a smaller, supplemental benefit to Members' monthly Social Security benefits.
Extra Retirement Security
Like Social Security benefits, this Component is funded through monthly payroll contributions from Members and their Employers. Members earn service credit for every month they pay into the Component, and those service credits help to determine the percentage of salary they will receive in retirement as a monthly lifetime benefit. Members become vested in their pension after five years, and can reach Normal Retirement eligibility as early as age 50 with the Rule of 80.
In this Component, Members earn a 1% benefit per year of service for the first ten years, then 1.25% for every year after. The easiest way to see your future benefit is to use the calculators in the Member Account Portal. Alternatively, see the charts in the Component brochure to calculate your pension using your age and years of service at retirement.
Every retirement is different, and this Component offers a number of features to help reach your individual goals:
- Deferred Retirement: Members who don't need their pension income right away can defer their benefit in exchange for larger payments later in life
- DROP: Members who want the flexibility of a lump sum cash account can use the Deferred Retirement Option Plan (DROP) to build a financial reserve during their final working years
- Payment Options: Members can choose to extend their pension benefit to a second lifetime for a spouse, child, or other individual
