oregon public employees retirement system · pdf fileemployer in the state of oregon after...

• Boardmembersareunpaidvolunteers...............2• Longtermcaremeetingsschedule.....................3• Monthlybenefitcheckmailingschedule............3• PERSisnearly70................................................4

PERSPECTIVESRetiredMemberEdition

Oregon Public Employees Retirement System April 2015 Vol. 20 No. 1

In This Issue

COLA increaseThe2015cost-of-livingadjustment(COLA)forPERSbenefitrecipientsreceivingamonthlybenefitiseffectiveJuly1,2015,andispartofyourAugust1,2015benefitpayment.ThosewhoareretiredorwhoretireonorbeforeJuly1,2015,willreceivea1.25percentCOLAonthefirst$60,000ofayearlybenefitpaymentand0.15percentonportionsabove$60,000.Additionally,asupplementarypaymentof0.25per-centofayearlybenefitwillbemadetoallbenefitrecipientsuptoamaximumof$150.ThosewhosePERSbenefitis$20,000orlessperyearwillreceiveanadditionalsupplementarypay-mentof0.25percentoftheiryearlybenefit.Theseannualsupplementarypaymentswillnotbecompoundedintothebenefitrecipient’syearlyben-efitandwillbeineffectthrough2019.SupplementarypaymentsarepaidfromthePERSContingencyReserveandareslatedtobepaidinNovember2015forthosewhoretiredbeforeAu-gust1,2015.

Returning to work for a PERS-covered employerTierOneorTierTworetireeswhohavereachedfullretirementageunderSocialSecuritymayworkanunlimitednumberofhours.FullretirementageunderSocialSecurityvariesbybirthdate.TierOneorTierTworetireeswhoarereceivingSocialSecuritybenefitsandhavenotreachedfullretirementageunderSocialSecuritymayworkeitherlessthan1,040hoursinacalendaryearor,ifgreater,thetotalnumberofhours,atthere-tiree’shourlyrateofpay,thatwouldnotexceedtheannualearningslimitsetbytheSocialSecurityAdministration(SSA).SSAannuallyestablishesthecalendaryearearn-ingslimitsforrecipientsofSocialSecuritybene-fits.The2015calendaryearearningslimitsforTierOne/TierTworetiredmembersare:•ForretiredmemberswhohavenotreachedfullretirementageundertheSocialSecurityAct,theannualcompensationlimitis$15,720.•Forthecalendaryearinwhichtheretiredmem-berreachesfullretirementageundertheSocialSecurityActandonlyforcompensationforthemonthsbeforereachingfullretirementage,thean-nualcompensationlimitis$41,880.Differentrulesapplytomemberswhoretiredduetodisability,thosewhoretiredearly,andOPSRPPensionProgramretirees.AretiredOPSRPPensionProgrammembercanworkupto599hoursannuallyforaPERS-coveredemployer.Thelimitincludesthehoursworkedbeforeandafterretirementintheyearthememberretires.ThereisnoSocialSecurityearningslimitforOPSRPPensionProgramretirees.

Ifyoureturntoemploymentwithaprivateem-ployer,yourPERSretirementbenefitswillcontinueunchanged.IfyoureturntoemploymentwithanOregonpublicemployerinthestateofOregonafterretirement,Oregonstatutesimposecertainlimitationsonthatemployment.Ifyoudonotcomplywiththeappli-cablelimitations,yourretirementbenefitsmaystop.AretiredTierOne/TierTwomembermaybeem-ployedbyanOregonpublicemployerandcontinuetoreceiveretirementbenefitsaslongastheperiodorperiodsofemploymentwithoneormorepartici-patingpublicemployersdonottotal1,040hoursormoreinacalendaryear.SomeexceptionsallowretiredTierOne/TierTwomemberstoexceedtheyearlylimit.

Page 2 Perspectives

PERS Board members are unpaid volunteersThePERSBoardiscomposedoffivetrusteeswhoadministerretirement(serviceanddisabil-ity),death,andretireehealthinsurancebenefits.

BoardmembersareunpaidvolunteersappointedbytheGovernorandconfirmedbytheSenate.

Boardmemberstermsareforthreeyearsandmemberscanbereappointed.

TheBoardmanagesandadmin-istersthesystemassetforthbylaw.

TheBoardalsomonitorstheplanforcompliancewithfederallaws.

StatutesaysthattheBoard“shalladoptrulesandtakeallactionsnecessarytomaintainqualifica-tionofthePublicEmployeesRetirementSystemasaqualifiedgovernmentalretirementplan.”

TheBoardiscomposedof:•threepeoplewithexperienceinbusinessmanagement,pensionmanagement,orinvestingwhoarenotmembersofthePERSsys-tem;•onepersonwhoiseitheranemployeeofthestateinaman-agementpositionorapersonwhoholdsanelectiveofficeinthegoverningbodyofaparticipatingpublicemployerotherthanthestate;and•onepersonrepresentingpublicemployeesandretirees.

ThePERSBoardnormallymeetsbi-monthlyatPERSheadquartersinTigard.

Retiredmemberscanconductself-servicetransactionsonthePERSwebsite(http://oregon.gov/pers)inasecureenvironment.

RetiredPERSmemberscanseebenefitpaymentinformation,changetheiraddress,andreview/requesta1099-R.

Inaddition,retiredmemberscanprintpaystubsandbenefitconfir-mationletters.

Ifyouarearecentretiree,youwillwanttoensureyourOMSaccountemailaddressisnotyouroldworkemail.

HerearethestepstoupdateyourOMSemailaddress.•Clickonthe“OnlineMemberServices”boxonthePERSweb-site.•Clickon“LogIn”onthetoprighthandtoolbar.•Login,thenclickon“Retired...”under“AccountType”,thenclick

on“Update/ViewPersonalInfor-mation”ontheleft-handnavigationtoolbar.

IfyouhavenotsetupyourOMSaccount,youcandosobyfollow-ingthesesteps.•Clickontheboxmarked“OnlineMemberServices”•Clickon“LogIn”onthetoprighthandtoolbar•ReadthePasswordRulesbeforeclickingon“OpenaNewAc-count.”•OnceyouhavecreatedyouruserIDandpassword,login,thenclickon“Retired...”under“AccountType.”

OMSisnormallyavailabledailyfrom6a.m.to9p.m.PacificTime.

OMSmaysometimesnotbeavail-ableuntil10a.m.Saturdayandfrom4p.m.Saturdayuntil6a.m.MondaytoallowfornecessaryITsystemmaintenance.

Online Member Services: secure access to self-service transactions

Identitytheftisincreasing.Onewaythievescanstealyouriden-tityisbystealingmailfromyourmailbox.HavingyourPERSbenefitpay-mentdirectlydepositedintoyourcheckingorsavingsaccountcanhelpprotectyoufromidentitytheft.TheformfordirectdepositisavailableintheRetireesectionofthePERSwebsite(http://oregon.gov/PERS)orbycontactingCustomerServicetollfreeat888-320-7377.Wewillbehappytomailtheformtoyou.Mailthecompletedformto:PERSP.O.Box23700Tigard,OR97281-3700

Automatic deposit

Specialmeetingsarescheduledasneeded.

Mostmeetingsbeginat1:00p.m.andmeetingsareopentothepub-lic.

MaterialsforeachBoardmeetingarepostedonthePERSwebsitebeforethemeeting.

PERSBoardmeetingsfortheremainderof2015areasfollows:May29(Friday)July31(Friday)September25(Friday)November20(Friday)

Perspectives Page 3

PerspectivesispublishedbytheOregonPublicEmployeesRetirementSystemforthebenefitofPERS/OPSRPmembersandemployers.AddressallcorrespondencetoPERS, P.O. Box 23700, Tigard, OR 97281-3700.PERSheadquartersofficeisat11410 SW 68th Parkway, Tigard, Oregon.

Phone 888-320-7377; TTY: 503-603-7766. Telephonehoursare8:30a.m.to5:00p.m.,MondaythroughFriday,exceptholidays.PERS’Internetaddressishttp://oregon.gov/PERS.

BOARDChair:JohnThomasVice chair: PatWestMembers:KrystalGema,MichaelJordan,RhoniWiswall

STAFFExecutive Director:StevenPatrickRodemanAdministrator, Benefit Payments Division:BrianHarringtonAdministrator, Fiscal Services Division:KyleKnollAdministrator, Customer Service Division:YvetteElledgeAdministrator, Information Services Division:JordanMasanga

Perspectives Editor:DavidCrosley

H e a l t h B e a t

Long term care meetings continue. Pre-registration is not required.

Longtermcareisthetypeofcarereceivedwhensomeoneneedsassis-tancewithdailylivingactivities,eitherathomeorinafacility.Thiscanbeduetoanaccident,anillness,oradvancingage.Theneedforlongtermcareisnotlimitedtotheelderly.Anyonewhocannotfunc-tionindependentlymayneedtheprotectionoflongtermcareinsur-ance.Accidentsandunexpectedillnesscanhappenatanytimeandatanyage.ThesemeetingsexplaintheoptionsavailabletoPERSretireesanddonotrequirepre-registration.

Date Location Meeting TimeApr15 MedfordSeniorCenter

510E.MainSt.,Medford9:00-10:30a.m.

Apr15 HolidayInnExpress375W.HarvardBlvd.,Roseburg

1:00-2:30p.m.

May13 ProvidenceWillametteFallsCommunityCenter5195thSt.,OregonCity(RoomD)

9:30-11:00a.m.

May13 HolidayInn-Airport*8439NEColumbiaBlvd.,Portland

1:30-3:00p.m

June10 PendletonConventionCenter1601Westgate,Pendleton

9:00-10:30a.m.

June10 ColumbiaPortageGrill-CeliloRm3223BretClodfelterWay,TheDalles

2:00-3:30p.m

Schedule to mail PERS benefit checks from Salem

Notify PERS of a deathPleaserememberthatyoumustnotifyPERSofthedeathofamember,alternatepayee,and/orbeneficiaryreceivingPERSbenefits.Failuretoreportadeathinatimelymannermayresultinoverpaymentsandinvoicing.Sendacopyofthedeathcertificateto:PERSP.O.Box23700Tigard,OR97281-3700

2015 pay date

Checks mail from Salem Direct deposit effective date

April1 March31(Tuesday) April1(Wednesday)May1 April30(Thursday) May1(Friday)June1 May29(Friday) June1(Monday)July1 June30(Tuesday) July1(Wednesday)August1 July30(Thursday) July31(Friday)September1 August31(Monday) September1(Tuesday)October1 September30(Wednesday) October1(Thursday)November1 October29(Thursday) October30(Friday)December1 November30(Monday) December1(Tuesday)

*Tentativelyscheduled.Thislocationwillbeconfirmedatalaterdate.Theprintedschedulemaychangeduetounforeseencircoumstances.Schedulechangescanbefoundonwww.pershealth.com

Page 4 Perspectives

PERS: honoring public service with secure retirement benefits for nearly 70 yearsOnMarch26,1945,GovernorEarlSnellsignedHouseBill(HB)344“establishingasystemofretirement,disability,anddeathbenefitsforcertainofficersandemployeesofthestateanditspoliticalsubdivisions.”Thelegis-lationwaseffectiveJuly1,1946.

Thatsystem,thePublicEmployeesRetirementSystem(PERS),hasbeenprovidingsecureretirementbenefitstomembers—inreturnfortheirservicetoOregonians—fornearly70years.

Intheearly1940s,publicemploy-erscouldnotcompetewithprivateindustry’shigherwagesandthepromiseofretirementbenefitsinawartimeeconomy.

Atthattime,lessthan8%ofpub-licemployeesinOregonwerecoveredbyaretirementsystemwhile46%ofpublicemployeesinotherstateswerecovered.

PERSwascreatedtodrawtalent-edpeopletopublicservice.Thegoalisthesametoday.

DistinguishingfeaturesofHB344included:

•Thenewretirementsystemwouldbeintegratedwithexist-ingpublicemployeeretirementsystems;

•Thesystemwouldbeopentoallpublicemployeesexceptemploy-eesofpoliticalsubdivisionsthatchosenottoparticipate,publicemployeesinotherpre-existingsystems,andemployeesworkingforapublicemployerwithfewerthanfivefull-timeemployees;

•Allmemberswouldhavesepa-rateaccountsshowingcontri-butions,interestearnings,anddeductions;

•Thestatetreasurerwouldactascustodianandsuperviseannualauditsandanactuarialvaluationatleasteveryfouryears;

•Therewouldbebothretirementanddisabilityprovisions;and

•Fundswouldnotbesubjecttotaxesortobankruptcy.

Today,thereareapproximately130,000retiredmembersandben-eficiarieswhoreceiveamonthlyPERSbenefit.

Currently,thereareabout210,000activeandinactivemembers;nearly70,000ofthemareeligibletoretire.Thebabyboomershave,indeed,hitretirementage.

TherehavebeenanumberofchangestoPERSovertheyears,includingthecreationofTierTwoin1996andtheOregonPublicServiceRetirementProgram(OPSRP)in2003.

Regardlessofbenefitstructures,PERS’missionstatement—“WeservethepeopleofOregonbyadministeringpublicemployeebenefittruststopaytherightpersontherightbenefitattherighttime”—isabouthonoringpublicservicewithsecureretire-mentbenefits.Somethingsdonotchangeevenafter70years.

AhistoryofPERSispostedonthePERSwebsite(http://oregon.gov/PERS)intheAboutUssection.

GovernorEarlSnellsignedPERSintolawonMarch26,1945.