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IMPORTANT NEWS FOR MEMBERS RETIRING BY DECEMBER 31, 2013

 

Dear Member:

On January 14, 2013, the Board of Trustees of the Employees’ Retirement System adopted new option factor tables for Members hired prior to July 1, 2012.

Effective January 1, 2014, the new factor tables will be used in the calculation of a Member’s retirement options for all retirement plans. These new factors reflect changes in the investment returns and changes in the life expectancy of our members.

Generally, retirement options without a refund are decreased and options with a refund are increased. In addition, changes in the mortality assumption decrease your pension options at younger ages and increases your pension options at older ages. These new factor changes do not affect the Maximum Allowance.

Since the effects of this change will be different for each Member, the ERS will be providing a comparison estimate for a January 1, 2014 retirement date using the new factor tables for Members who decide to retire on December 31, 2013.

Please review our “New Option Factors Effective January 1, 2014” flyer for more information. We also encourage you to visit our website at http://ers.ehawaii.gov/ to use our online benefit calculator. The calculator will include the new option factors for members who were hired prior to July 1, 2012 and plan to retire on or after January 1, 2014.

Should you have any questions, please contact our office at:

Oahu                                                  (808) 586-1735
Hawaii                                                (808) 974-4076 or 808-974-4077
Maui                                                   (808) 984-8181 or 808-984-8282
Kauai                                                  (808) 274-3010 or 808-274-3011
Molokai/Lanai                                     (808) 984-8181 or 808-984-8282
Continental United States                  1-888-659-0708

 

 

EMPLOYEES’ RETIREMENT SYSTEM OF THE STATE OF HAWAII

07/30/2013