No. KPERS is a qualified 401(a) defined benefit pension plan under the Internal Revenue Code. This type of plan is not permitted to allow “in-service” distributions.
In respect to this, how does KPERS work in Kansas?
KPERS invests the money and pays you interest throughout your career. You also build retirement credits while you work. Both grow in value over time. When you are eligible for retirement, KPERS will pay you a lifetime monthly benefit based on your account balance and your retirement credits.
One may also ask, what is the retirement age in Kansas?
How do I cash out KPERS retirement?
Complete an Application for Withdrawal of Contributions. You can download one from our forms page, get one from your designated agent or call our office at 1-888-275-5737 to receive one by mail. Once we receive your completed application, please allow four weeks for payment.
You will return as a KPERS 3 member. You can apply to withdraw your contributions any time 31 days after you end employment. If you withdraw, you will give up all Retirement System rights, benefits and service credit. … KPERS is required to withhold 20% for federal taxes.
In addition to Social Security, your KPERS pension benefit will be an important source of retirement income. As a retired member, you will receive a monthly benefit for the rest of your life, guaranteed. You can use the benefit calculator on KPERS Web site (www.kpers.org) to estimate your retirement benefits.
When you die, KPERS pays a $4,000 lump-sum death benefit to your beneficiary. You can name a person, estate, trust or a funeral establishment to receive your benefit. KPERS does not pay the death benefit automatically. Your beneficiary should contact KPERS to receive an application when the time comes.
Social Security is one source. It varies depending on your salary and how early you retire. … The average KPERS member retires at age 62 with 20 years of service. At age 62 with a final salary of $40,000, he will receive full KPERS benefits and a reduced benefit for early retirement from Social Security.
Final average salary x statutory multiplier x years of service = annual benefit. Your final average salary is an average of your 5 highest years of salary, excluding additional compensation, such as payments for unused sick and annual leave.
Go to www.kpers.org and create your personal account. You will be able to view your account balances and Annual Statement, update your personal information, and review your KPERS beneficiaries. Calculate your retirement! You will also find links to the KPERS benefit calculator.
Job-Related Death (KPERS only)
If you die from an on-the-job accident, your spouse receives a monthly benefit based on 50% of your final average salary, less Workers’ Compensation. The minimum benefit is $100 per month. He or she also receives a $50,000 lump-sum payment.