If there is any discrepancy between this publication and the law, the provisions of the law will prevail.
PERSI BENEFITS AT A GLANCE:
OVERVIEW OF YOUR RETIREMENT BENEFITS
PERSI RETIREMENT PLAN
You become a PERSI member when you go to work in
an eligible position with a PERSI employer. When you
earn 60 months of service credit, you will be vested to
receive a lifetime benefit at retirement. The 60-month
vesting period (5 months for elected and some ap-
pointed ocials) does not need to be with the same
PERSI employer. Unless you leave public employment
altogether, changing jobs should not aect your PER-
SI membership.
BASE PLAN BENEFITS
Enrollment in the PERSI Base Plan (your pension) is
automatic. Both you and your employer make contri-
butions to PERSI. Your contributions are credited to
a personal account that earns interest. The money
in your account belongs to you…it is always yours no
matter what! Employer contributions are pooled into
a trust to cover future benefits for all members. When
you retire as a vested member, PERSI will pay you a
benefit every month for as long as you live — and, if
you select a retirement option with a survivor benefit,
your Contingent Annuitant will receive a lifetime bene-
fit after your death.
VALUE
The actual value of your benefit generally far ex-
ceeds your contributions. Within the first 3 - 5 years
of retirement, most members have already received
a return greater than all the money they contributed
while working. For example, if your contributions to
PERSI during your career totaled $60,000, and your
monthly retirement benefit is $1,500, you would
receive your $60,000 in approximately three years.
Although you would have exhausted everything
you contributed, PERSI would continue to pay you
$1,500 a month for the rest of your life, plus annual
cost of living adjustments (COLAs) if approved by
the Idaho Legislature. If your retirement were to last
another 20 years, you would receive $360,000 in
benefits from the PERSI trust.
DISABILITY BENEFITS
In addition to your retirement benefit, your Base Plan
contributions provide for disability coverage. Should
you become totally and permanently disabled while
an active vested member, you may be eligible for a
disability benefit. Disability for retirement purposes is
considered to be a total and permanent physical or
mental impairment that prevents you from earning a
livelihood. If you perform any work for compensation,
you will not be considered to be disabled.
TIME LIMIT
PERSI members applying for disability benefits have
a limited period in which to file an application. The
law (eective July 1, 2006) requires inactive mem-
bers applying for PERSI disability benefits to file
their claim within one year from the date of their last
contribution to PERSI. Members go from active to
inactive status when they are no longer eligible to
accrue service or make contributions.
RETURN TO WORK
Eective July 1, 2010, per Idaho Statute 59-1354A,
PERSI members on disability may attempt to return
to work under certain conditions. If they are unsuc-
cessful, the member may be able to resume PERSI
disability retirement if approved by the Board and if
certain requirements are met and the Board ap-
proves.
SURVIVOR BENEFITS
The PERSI Base Plan oers financial security for
your beneficiaries after you die. Whether an active
or inactive member, if you die after becoming vested
and had named your spouse as your sole beneficiary,
PERSI will oer your spouse the choice of a lump sum
payment of your remaining contributions, plus inter-
est, or a monthly allowance payable for life. The lump
sum death benefit for vested members is two times
your account balance, including interest.* If you die
before becoming vested, your beneficiary will receive
your account balance plus any interest accrued.
* This only applies to members with a date of last con-
tribution (DLC) of 7/1/99 or later.
Updated February 2019
continued...
If there is any discrepancy between this publication and the law, the provisions of the law will prevail.
PERSI BENEFITS AT A GLANCE:
OVERVIEW OF YOUR RETIREMENT BENEFITS
PORTABILITY OF FUNDS
Your Base Plan contributions are always yours. If you
leave a PERSI employer, keep your Base Plan money
in PERSI, and later work for another PERSI-covered
employer, you retain the service credit earned in your
previous job. All service credit earned while working
for a PERSI employer is automatically combined into a
single account for you.
If you leave PERSI-covered employment, you may
withdraw your Base Plan money, plus any interest
earned — although tax penalties and withholdings
may apply. You may also roll your money and inter-
est over to an Individual Retirement Account (IRA) or
other qualified retirement plan, including the PERSI
Choice 401(k) Plan, if you have an account.
COST-OF-LIVING ADJUSTMENTS
The Retirement Board considers a cost-of-living ad-
justments (COLAs) to Base Plan retiree benefit pay-
ments each year. The amount of the COLA is tied to
the Consumer Price Index (CPI-U) and subject to the
growth or decline in retirement fund assets. If a COLA
is awarded, it becomes eective March 1
st
.
CHOICE 401(k) PLAN
The Choice 401(k) Plan is an optional defined con-
tribution (DC) retirement savings plan available to
active members. Unlike the Base Plan, participation
in the Choice 401(k) Plan is completely voluntary. It
allows you to contribute a portion of your salary on a
tax-deferred basis via payroll deductions. This means
your contributions come out of your paycheck before
taxes, thereby reducing the amount of taxes you pay
during the year.
LOANS
The Choice 401(k) Plan includes a loan provision
where a member may take a loan for any reason as
long as they have a balance of $2,000 or more in
their account, excluding any gain sharing amounts.
INVESTMENT OPTIONS
The Choice 401(k) Plan has several investment
options. One of the most popular is the PERSI Total
Return Fund (TRF), which mirrors PERSI’s Base Plan
investments. The TRF is the default investment
fund. Your contributions are automatically invested
in the TRF unless you elect otherwise. Unlike the
Base Plan, you are responsible for managing your
Choice 401(k) Plan funds. In most cases, you may
change your deferral amounts and investments at
any time.
ROLLOVERS
Money from other qualified retirement plans, such
as a 401(a), 457, pre-tax IRA, 403(a), or 403(b) plan,
or another 401(k) account, can be rolled over to the
Choice 401(k) Plan at PERSI. After-tax contributions
cannot be rolled into the Choice Plan.
FOR MORE INFORMATION
To learn more about PERSI, or for de-
tailed information about your retirement
options and benefits, visit the PERSI
website at www.persi.idaho.gov or con-
tact the PERSI Answer Center toll free at 1-800-451-
8228 or at 208-334-3365 from the Treasure Valley
area. Your human resources and/or payroll personnel
will gladly assist you as well.
VIDEOS AND FREE WORKSHOPS
A number of helpful videos can be found on the Edu-
cation pages of the PERSI website. In addition, PERSI
oers three educational workshops about retirement
at no cost to members or employers. To schedule a
workshop at your location, have your employer con-
tact the PERSI Education team at (208) 287-9291.
BROCHURES
Several brochures with more information about your
benefits are available on the PERSI website.
NEWSLETTERS
Active members receive a quarterly newsletter called
PERSpectives, which is filled with benefit, investment,
legislative, and financial information.
...continued
Updated February 2019