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1971- Valuations
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PERS Contract & Amendments File 2 of 3
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1971- Valuations
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DISABILITY RETIREMENT <br />An employee who has become physically or mentally disabled through illness or injury <br />to the extent that he is incapable of performing his duties is eligible for disability <br />retirement. If disability is service -connected in the judgment of the Industrial <br />Accident Commission, he will. be retired on an "industrial disability" basis. Other- <br />wise, his allowance will be established on the "ordinary disability" basis. <br />Industrial Disability. If your disability is employment -connected, you will be <br />eligible for a life income equal. to 50% of.your highest three -•year average salary. <br />Ordinary Disability. In order to be eligible for retirement on an "ordinary dis- <br />ability" basis an employee must have contributions exceeding $500 or 10 years of <br />service. If miscellaneous members (employees other than local policemen, firemen and <br />county peace officers) are included in the public agency's contract, the monthly life <br />income payable to safety members for ordinary disability retirement is the same as <br />for the miscellaneous members. In such instances, reference should be .made to the <br />material describing miscellaneous member benefits in order to determine the amount of <br />the ordinary disability life income. <br />If there are no miscellaneous members covered, the amount payable would be calculated <br />as follows: <br />Monthly Benefit as Percentage <br />Years of Service of Final Compensation <br />Less than 10 years 1.5% of Final Compensation- X years of service <br />10 to 20 years 33-1/3% of Final Compensation* <br />20 years and over 1.5% of Final Compensation* X years of service <br />*Average salary (without overtime) during the 3 highest-paid years. <br />The above amounts .refer to the unmodified life allowance. A person retiring for dis- <br />ability has the right to select an optional form of retirement, as is the case with <br />service retirement. When a person retiring for disability selects an optional form <br />of retirement, however, the reduction in his allowance from the unmodified allowance <br />will be greater than for service retirement. Persons anticipating retiring for dis- <br />ability may request a quotation from PFRS as to the amounts payable under the various <br />options. <br />If the retired member recovers from his disability, the benefit will cease. <br />DEATH BENEFITS <br />Death Before Retirement <br />Basic Death Benefit. This benefit is a refund of the member's accumulated contributions <br />plus six months' salary provided he has been a member for six years or more. For <br />those who die before completing six years of membership, the benefit is one month's <br />salary for each year of membership plus refund of contributions (including interest). <br />The salary referred to is that earned during the year preceding death. Prior service <br />does not count toward this benefit. <br />Ret. Form 1589-6 (1/69) <br />
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