MainePERS Account Information

Q. Who decides how MainePERS invests its monies?
A. The MainePERS Board of Trustees, the MainePERS investment staff, and the investment consultant decide the best investment strategy for the System. The Board of Trustees receives periodic reports from both the consultant and investment staff to ensure proper implementation of the strategy.

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Q.  How large is the MainePERS retirement fund?
A.  Click here to see the System's total market value.

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Q. Is MainePERS a 401(k) plan?
A. No, it is a federally qualified defined benefit plan under IRS Code Section 401(a).

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Q.  Can I roll my 401(k) funds into my MainePERS account?
A. Yes, if you have MainePERS service credit available for purchase.  MainePERS accepts tax-deferred direct rollovers as payment, in full or in part, for the purchase of creditable service. For information about available categories and qualifications of purchasable service call or e-mail our Retirement Services department or refer to the applicable member handbook. 

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Q. Can I contribute additional amounts to my MainePERS account?
A.  Not to your defined benefit plan.  MainePERS also administers MaineSTART, a defined contribution (DC) retirement savings plan. Contact our DC Plan Administrator for more information about MaineSTART participation.

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Q. Can I borrow money from my retirement account for emergency purposes?
A.  No. If you terminate all MainePERS-covered employment, you may apply for a full refund of your contributions and accrued interest.  MainePERS does not permit partial refunds.  

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Q.  When is an employee required to start contributing to MainePERS?
A. Normally on the first date of employment.  Please call or e-mail MainePERS for more specific information about membership requirements.

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Q. What are my options if I leave my current employment?
A.  If you are leaving your current employment for employment with an employer that has coverage under MainePERS, call or e-mail MainePERS to discuss how this change impacts your benefit.  

If you stop working in a MainePERS-covered job you may apply for a refund, or you may leave your contributions in the System. If you are not vested, MainePERS may automatically refund your account balance to you three years after you terminate. If you leave your contributions in the System and are vested (five years of creditable service for active members after October 1, 1999; ten years for all others), you can draw a benefit when you reach normal retirement age. Call or e-mail our Retirement Services department to determine your vested status and the normal retirement age applicable to your plan.

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Q.  What does it mean to be vested?
A.  Being vested means you have met the requirements to receive a monthly benefit at normal retirement age under your plan.  In order to be vested, members in service on or after October 1, 1999, must have five years of creditable service. Any member whose last date of MainePERS service was before October 1, 1999, must have 10 years of creditable service to become vested.

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Q.  Can I find out how much money I have contributed to MainePERS and/or how much creditable service time I have on record?
A. Yes.  Call or e-mail our Retirement Services department to request a statement of creditable service or a Statement of Account showing how much money you have contributed. We will ask for your name, current address and Social Security number.

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Q.  I am getting a divorce. How does this affect my contributions or pension?
A.  Your contributions or pension may be affected depending upon how your assets are divided by the court pursuant to a qualified domestic relations order (QDRO). If you have questions about your funds and divorce, contact MainePERS and ask to speak with the QDRO Administrator.

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Q.  Can I buy time toward my retirement and receive additional service credit?
A.  There are a number of categories of service that members may qualify to purchase. Each category has specific criteria. If you are interested in exploring the purchase of service credit, contact MainePERS for more information at 1-800-451-9800 or by e-mailing us at:

State Employees, Legislators and Judges – StateUnit@mainepers.org
Teacher Members – TeacherUnit@mainepers.org
Participating Local District members – PLDUnit@mainepers.org

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Q.  I am (or may be) entitled to receive both a service retirement benefit and Social Security retirement benefits.  Do these two benefits affect each other in any way?
A.  The amount of your MainePERS service retirement benefit is not affected by your receipt of Social Security retirement benefits. If you are eligible to receive Social Security retirement benefits either because you worked in a Social Security-covered job or because your deceased spouse did, the amount of your Social Security benefit may be affected by your receipt of a MainePERS benefit. To obtain information about the effect of receiving MainePERS benefits on Social Security benefits, please contact SSA directly at www.ssa.gov.  You can locate the SSA office nearest you by referring to your local phone book under “United States Government–Health and Human Services.”

 

Q: What are the effects of Military Service while on leave of absence from MainePERS-Covered Employment?
A. MainePERS members who are on a leave of absence from their MainePERS-covered positions to serve in the uniformed services of the United States have, under federal and State law, specific protections or eligibility for protections, with respect to their MainePERS membership and related benefits. For more information, click here.

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General Retirement

Q. When can I retire?
A.  When you can retire depends on your retirement plan.

In most cases, you can retire: 

  - At age 60, 62 or 65 (your normal retirement age)
  - With at least one (1) year of creditable service immediately before retirement, if you 
     have reached your plan's normal retirement age, or
  - At any age, with at least 25 years of creditable service

Your employer can tell you under which plan you are covered. You can find additional information on this Web site, by phone at 1-800-451-9800, or by e-mail at:

State Employees, Legislators and Judges – StateUnit@mainepers.org
Teacher Members – TeacherUnit@mainepers.org
Participating Local District members – PLDUnit@mainepers.org

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Q. How do I determine my normal retirement age (NRA)?

STATE and TEACHER MEMBERS:

Your normal retirement age is 60 if, before July 1, 1993, you had:
·   at least 10 years of service credit or,
·   reached age 60 and had at least a year of service credit immediately prior to reaching age 60.

Your normal retirement age is 62 if:
·   before July 1, 1993, you had:
  - less than 10 years of service credit and
  - not reached age 60 with at least a year of service credit.
AND
·  before July 1, 2011, you had:
   - at least 5 years of service credit or,
   - reached age 62 and had at least a year of service credit immediately prior to reaching age 62.

Your normal retirement age is 65 if, before July 1, 2011, you had:
·   less than 5 years of service credit and
·   not reached age 62 with at least a year of service credit.

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Q. I am thinking about retiring.  When should I contact MainePERS?
A. Call or e-mail MainePERS to request an estimate when you are within 6 to 12 months of your anticipated retirement date.  This gives us time to calculate your estimated benefit under each of the benefit options.  It also gives you (and/or your financial advisor) time to review the information and meet with Retirement Services staff who can explain your options and assist you in completing your retirement paperwork.

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Q. How is my retirement benefit calculated?
A. Your benefit is calculated using a formula specific to your retirement plan.  In general, your retirement benefit is calculated based on:

  - Average of your three highest years of earnings
  - Your years of creditable service
  - Your age at retirement

You can find general information about the benefit calculation formula on this web site or for greater detail, please call our MainePERS Retirement Services department at
1-800-451-9800, or e-mail at:
 
State Employees, Legislators and Judges: StateUnit@mainepers.org
Teacher Members: TeacherUnit@mainepers.org
Participating Local District members: PLDUnit@mainepers.org

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Q. How soon will I receive my first retirement benefit payment?
A. In order not to delay the start of retirement benefits, you can receive a “preliminary” monthly payment as soon as the end of your first month of retirement.  Preliminary benefit payments are an estimated monthly benefit for the retirement option you select, based on earnings reported to us at the time of your first preliminary benefit payment. Once we complete your benefit calculations, MainePERS will adjust your first regular benefit payment to make up the difference between your preliminary and your actual retirement benefit.

MainePERS cannot make preliminary payments in some situations.  When that happens, we begin making benefit payments to you at the end of the month in which your benefit calculations are complete. Your first payment will include benefits for all prior months in which you were eligible, but did not receive a benefit payment.

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Q. How does MainePERS issue benefit payments?
A. Retirees receive their benefit payments via direct deposit. The form authorizing direct deposit is part of your retirement. If you need to make changes to the routing of your direct deposit, click here to access the form via this website call or email us to request a form. Advices of deposit are mailed to retirees each January, June, September, and December, or whenever the net amount of your benefit changes by more than $1.00.

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Q. Where can I get information about my health and/or dental insurance?
A.  MainePERS does not handle any health insurance program. Your questions about health insurance should be directed to the administrators of the health insurance program under which you are covered. Contact information for these various programs is listed below for your convenience.

Health insurance program administrators:

State, Legislative and Judicial Retirees:
State Employee Health – 1-800-422-4503 or 207-287-6780

Teacher Retirees covered through Maine School Management Association:
1-800-660-8484

Teacher Retirees with Anthem/Blue Cross: 1-888-399-8706 (Ext. 1, Option 2)

Teacher Retirees without Anthem/Blue Cross, whether or not under MSMA, should request assistance from the school administrative unit from which the teacher retired.

PLD Retirees:

Check with your former employer's payroll department.

Dental insurance inquiries should be directed to the organization that provides your coverage:

Maine State Employees Association – 1-800-452-8794

Maine Education Association – 1-888-942-2907
 
Maine Association of Retirees, Inc. – 1-800-535-6555

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Q. How is the Cost of Living Adjustment (COLA) determined each year?
A. By law, the Board of Trustees sets the COLA using the change in the Consumer Price Index for All Urban Consumers (CPI-U) for the 12-month period ending each June 30. When the CPI is negative, there will be no COLA.

State employee, Legislative, Judicial and Teacher benefit recipients:

 
There will be no cumulative COLA in September 2011, 2012 or 2013.

Once eligible, you will receive a COLA annually in September. When you become eligible depends on whether your normal retirement age is 60, 62 or 65.  See “How do I determine my normal retirement age (NRA)?”

If your NRA is 60: You are eligible to receive any COLA in the first September after you have received retirement benefits for at least 12 months.  (Example:  If your effective date of retirement is on or before September 1, 2010, you are eligible for any COLA in September 2011; if you retired as of October 1, 2010, you are eligible for any COLA in September 2012.) 

If your NRA is 62 or 65: You are eligible to receive any COLA effective the September that is at least 12 months after you reach your normal retirement age (NRA). (Example:  If you reach NRA in January of 2011, you are eligible for any COLA in September of 2012.)

COLA cannot be more than 3%.

Participating Local District (PLD) benefit recipients:
Recipients who are covered by a retirement plan that includes the COLA provision are eligible to receive a COLA the first September after having been retired for at least six months and annually thereafter.  For example, if you retire on or before March 1, 2011, you are eligible for any COLA in September 2011.  If you are unsure whether your district has a COLA provision, check with your payroll office or the PLD Unit at MainePERS.

COLA cannot be more than 4%.

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Q. Can I return to work after retirement?
A. Regardless of your age, you are not eligible to draw a retirement benefit from MainePERS without a bona fide termination of employment. You must not return to MainePERS-covered employment until the later of 30 days after termination or the day after the effective date of your retirement.

If you retire and return to work for the “same employer,” there are limitations, depending on whether you have reached your normal retirement age (NRA).

If you are below your Normal Retirement age and return to work for your “same employer,” MainePERS will suspend your benefit if you:
n

“Same employer” means for:

▪ State or teacher retirees: Employment in any position covered under the State/Teacher plan.
▪ Participating Local District (PLD) retirees who retire from a PLD in the Consolidated Plan: Employment with any employer in the Consolidated Plan.
▪ PLD retirees who retire from a PLD that is not part of the Consolidated Plan: Employment with the same PLD employer.

Failure to comply will result in the suspension of your retirement benefit. You will have to repay the benefits paid during any period when you were not eligible to receive them, and any interest. MainePERS will re-instate your benefits (less any repayment due) the first of the month after you stop post-retirement employment or reach your normal retirement age, whichever is sooner.  

State and Teacher Retirees:  If you return to work with the “same employer” after you are NRA (except for substitute teachers):  

   •  Your compensation must be set at 75% of the compensation for the position and         

  •  You cannot return to service for more than 5 years.

 

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Refund of Contributions

Q. Can I receive a refund of contributions I’ve made to MainePERS?
A.  If you terminate all MainePERS-covered employment, you may apply for a refund. Call or e-mail MainePERS for a Refund Application Package or click here for a downloadable version.  MainePERS does not permit partial refunds. By refunding your contributions, you give up your rights to any MainePERS benefits.  Since it may not be in your best interest to withdraw your contributions, we suggest you investigate the pros and cons of taking a refund. For more information, see the “Taking a Refund” in the member handbook specific to your plan. 

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Q. Can I receive a refund of contributions my employer has made to MainePERS on my behalf?
A.  No.  If you decide to take a refund, you receive only your contributions plus interest. Your employer makes contributions in order to fund your pension at retirement. If you are ineligible for a retirement benefit, or elect to withdraw your own contributions, you will not receive funds contributed by your employer. Call or e-mail MainePERS for a Refund Application Package or click here for a downloadable version.

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Death Benefits

Q: What is available to my survivors if I die before retiring?
A: At the time of your death, if you are a member of MainePERS and in service or are receiving a disability benefit from MainePERS, the beneficiary you designated on your Pre-Retirement Death Beneficiary form will choose from available death benefit options. Eligibility for each option varies. Depending on their eligibility, your beneficiary(ies) will choose from:

1. A monthly benefit calculated as if you retired on the day you died. This option provides the same benefit to your beneficiary as it would have provided you in retirement, or

2. A lump sum refund of all your contributions and interest, or

3. A Survivor Benefit, which is a monthly benefit payment in an amount set by law.  Eligibility for and the amount of a survivor benefit is based on the relationship between you and your beneficiary. MainePERS will notify your beneficiary(ies) of the options available to them upon receiving notification of your death.

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Q: I completed my beneficiary forms so long ago I cannot remember who I named. Can you tell me who I have named as beneficiary(ies)?
A: Yes. You can contact MainePERS for this information.  To assure we have the most up-to-date information, you can file beneficiary designation forms (click on applicable form name: Pre Retirement Death Beneficiary Form or Group Life Insurance Beneficiary Form) any time.

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Q: I am a student who needs to complete the Survivor Benefits Recipient's Certification form. How can I obtain that?
A: If you are an unmarried, full-time student and the beneficiary of a deceased member of the Maine Public Employees Retirement System, and you are eligible to receive survivor benefit payments, click Survivor Benefits Recipient's Certification to open and print the form. The form must be notarized and have appropriate documentation attached before benefits will be paid.