Combined, Member-Directed plan participants can view projected benefit
Feb. 14, 2017 — Upon retirement from the Ohio Public Employees Retirement System, participants in the Member-Directed and Combined plans have the option to annuitize all or a portion of their defined contribution account into monthly lifetime payments, or take a lump sum refund of the full account balance.
OPERS’ most-recent defined contribution account statement, distributed in January, for the first time included a section titled “Estimated Retirement Income Information” that included an estimated monthly retirement income projection for retirement planning purposes.
Here’s how the projection works: The projection assumes you are 100 percent vested and uses total market value at the time of calculation. It adds in future contributions using your current salary and assumes a 6 percent annual investment return until your earliest retirement eligibility age. That balance will be converted into an annuity with your statement showing you the estimated monthly retirement income.
Member-Directed Plan participants will see their projections once they have contributed for 12 months to their account. Combined Plan participants will see theirs if they have full-time service and have 60 or more contributing months. This projection will not include the defined benefit portion of their account.
Keep in mind annuity factors are subject to change each year, and investment returns cannot be guaranteed.