PERF Early Retirement Incentive–Excellent Results

Indiana University recently established an early retirement incentive for certain employees covered by the PERF retirement plan. The incentive program has been an opportunity for eligible employees to retire earlier than they would have otherwise considered with a substantial increase in PERF Pension benefits.

Information about the program was mailed in December 2003 to eligible employees–those who were covered by PERF on January 1, 2004, and who were at least age 55 with 15 years or more of PERF-covered IU service on the date of retirement. Completion of enrollment forms was required by March 31, 2004, with separation from the university between January 1, 2004 and June 30, 2004.

This was a one-time voluntary program and there is no intention that the early retirement incentive program will be offered again. Over 425 eligible employees requested an estimate of their benefits under this early retirement incentive.

The university is pleased to announce that 237 individuals elected to participate in this meaningful early retirement incentive. These employees will receive one additional year of PERF service credit for every five years of PERF-covered service while employed by IU­–an opportunity that represents a 20 percent or more increase in PERF pension benefits payable for the participant’s life.

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