Employee Benefits
Benefits for Active Employees

KPERS

(updated 01/18/2006)

• KPERS Web Site
• The following information applies to Pittsburg State University employees appointed to positions covered by KPERS. To contact KPERS dial Toll-Free 1-888-275-5737.

  Plan Membership

  The Kansas Public Employees Retirement System (the Retirement System, or, the System) is a body corporate and an instrumentality of the State of Kansas. The Retirement System is an umbrella organization administering three statewide retirement systems: the Kansas Public Employees Retirement System (KPERS), the Kansas Police and Firemen's Retirement System (KP&F), and the Kansas Retirement System for Judges. All three systems are defined benefit, contributory plans that cover substantially all public employees in Kansas. The Kansas Retirement System for Judges is a single employer plan, while the other two are cost-sharing, multi-employer plans.
  Employee Membership
  Membership is mandatory for all employees in covered positions. A covered position is one that is covered by Social Security, is not seasonal or temporary, and requires at least 1,000 hours of work per year. Employees become KPERS members after one year of continuous employment. First-day coverage for death and disability benefits is also provided. Those who retire under the provisions of the Retirement System may not become contributing members again.
  KPERS Summary of Provision
  
  
  Retirement: Age and Service Requirements
  Eligibility is (a) Age 65, or (b) age 62 with ten years of credited service, or (c) any age when combined age and years of credited service equal 85 "points." Age is determined by the member's last birthday and is not rounded up.

  Benefits are based on the member's years of credited service, Final Average Salary (FAS), and a statutory multiplier. For those who were hired prior to July 1, 1993, FAS equals the greater of either: a four-year FAS, including add-ons, such as sick and annual leave; or a three-year FAS, excluding add-ons, such as sick and annual leave. For those who are hired on or after July 1, 1993, FAS equals the average of three highest years of service, excluding add-ons, such as sick and annual leave.

  Prior service credit is .75% to 1% of FAS per year.

  Participating service credit is 1.75% of FAS.

  Working after Retirement-Effective July 1, 1998, there is a 30-day waiting period in which a retiring member may not return to work in any capacity for any participating employer.

  Early Retirement
  Eligibility is age 55 and ten years of credited service.

  The retirement benefit is reduced .2% per month if the member is from age 60 to age 62, plus .6% per month is the member is from age 55 to age 60.

  Vesting Requirements
  A member must have ten years of credited service. Should the vested member terminate employment, the member must leave accumulated contributions on deposit with the Retirement System to be eligible for future benefits. If a vested member terminated employment and withdraws accumulated contributions, the member forfeits all rights and privileges under the Retirement System. If a vested member who is married terminates employment and wants to withdraw accumulated contributions, the member's spouse must provide consent for the withdrawal of contributions since any benefits to which the spouse may have been entitled in the future would be forfeited as well.

  Retirement benefits are payable when the vested member reaches normal retirement age, or reduced benefits are payable when the vested member reaches a specified early retirement age.

  Other Benefits
  
  
  Withdrawal Benefit - Members who terminate employment may withdraw contributions with interest after the last day on the employer's payroll. Effective July 1, 1998, members must wait 30 days after their last day on the payroll before applying to withdraw contributions. Withdrawing contributions forfeits all membership rights and benefits, such as insurance coverage, which a member may have accrued prior to withdrawing their contributions from the Retirement System. Former members, who return to covered employment within five years after terminating employment, will not have lost any membership rights or privileges if they haven't withdrawn contributions. The Retirement Act provides for immediate application for withdrawal of contributions upon terminating employment, but is does not allow members to borrow from contributions. The Retirement System will refund contributions only after all contributions have been reported by the member's former employer.

  Disability Benefit - Disability income benefits are provided under the KPERS Death and Disability Benefits Program, which is financed by employer contributions. A member must be totally disabled for 180 continuous days. Benefits accrue from the later of the 181st day of continuous disability or from the first day upon which compensation from the employer ceases. The long term disability benefit is 60 percent of the member's annual compensation on the date disability commenced up to a maximum benefit of $5,000 per month, reduced by social security benefit, Workers' Compensation benefits, and any other employment-related disability benefits, but in no event will the monthly benefit be less than $100 per month. Members receiving disability benefits continue to receive service credit under KPERS, group life insurance coverage, if the member is under 65 when first disabled. If disability began prior to January 1, 2004, members also have waiver of optional group life insurance premiums. If a disabled member retires after receiving disability benefits for at least five years immediately preceding retirement, the member's Final Average Salary is statutorily adjusted.

  Death Benefits: Pre-retirement death (non-service connected) - The member's accumulated contributions plus interest are paid in a lump sum to the designated beneficiary. In lieu of receiving the member's accumulated contributions, the surviving spouse of a member who is eligible to retire at death may elect to receive benefits under any survivor option. If the member had at least 15 years of credited service, but had not reached retirement age, the spouse may elect a monthly benefit to begin on the date the member would have been eligible to retire.

  Service-connected accidental death - The member's accumulated contributions plus interest, plus lump sum amount of $50,000, plus annual benefit based on 50% of FAS; reduced by Workers' Compensation benefits and subject to a minimum benefit of $100 a month; are payable to a spouse, minor children, or dependent parents, for life, or until the youngest child reaches age 18 (or up to age 23 if they are full-time students), in this order of preference. The monthly accidental death benefit is in lieu of any joint/survivor benefit for which the member would have been eligible.

  Insured Death Benefit: - An insured death benefit is provided under the KPERS Death and Disability Program, equal to 150 percent of the member's annual compensation on the date of death. If a disabled member dies after receiving disability benefits for at least 5 years immediately preceding death, the member's current annual rate of compensation is statutorily adjusted.

  Post-retirement death - A lump sum amount of $4,000 is payable to the member's beneficiary. The beneficiary may, in turn, assign this benefit to a funeral home. The beneficiary for the $4,000 death benefit may be, but is not always, the same person as the member's joint annuitant. If the member has selected a retirement option, benefits are paid to the joint annuitant or the designated beneficiary. Under joint and survivor retirement options, if the joint annuitant predeceases the retired member, the reduced option benefit is increased to the amount the retired member would have received if no retirement option had been elected. Benefits payable to a joint annuitant cease at the joint annuitant's death. If a member does not select an option, the designated beneficiary receives the excess, if any, of the member's accumulated contributions plus interest, over total benefits paid to date of death.

  Member & Employer Contributions
  Member contributions are 4% of compensation. Interest is credited to members' contribution accounts on June 30 each year, based on account balance as of the preceding December 31, at the interest rate adopted by the Board for actuarial valuations. Those who became members prior to July 1, 1993, have interest credited to their accounts at the rate of 8% per year. Those who become members on and after July 1, 1993, will have interest credited to their accounts at the rate of 4% per year.

  Rates are certified by the Board of Trustees, based on results of annual actuarial valuations.

  Board of Regents Plan Members (TIAA and equivalents)
  Board of Regents plan members (TIAA and equivalents) do not make contributions to KPERS. They receive prior service benefits for service before 1962; the benefit is 1% of FAS for each year of credited prior service. Service after 1961 is counted for purposes of determining eligibility for vesting. These members also have first day coverage for the KPERS Death and Disability Benefit.