Back to Understanding Your ERS Annual Statement
All projected amounts are based on your current base pay and the assumption that you will continue to work without breaks in service until your assumed retirement date. The PSR benefits are based on the current balances shown in this statement; however, your projections may not include fund balances in your Alight Financial Services Self-Directed Brokerage Account, unless you have added that information in your projection with Alight Financial Advisors, and assumes that your current 401(k) and 457 contributions continue until your assumed retirement date, your investment fund(s) do not change, and you make no withdrawals from the plans. The projected Social Security benefit is based on your current salary from state employment, assuming you have been fully employed for your career. If you have changed your Social Security retirement date on the Alight Financial Advisors account, your Social Security benefit estimate included in this annual statement may reflect an estimate for an age other than age 65. Earnings with other covered employment, or periods of low or no earnings, are not considered in your Social Security estimate. Pension amounts shown are payable for your life only (“Max Plan”).
To determine the amount of savings needed at retirement, a 5.0% nominal investment rate of return and a 3.5% rate of inflation were used and the length of retirement was assumed to be 20 years. The estimated monthly benefit from your PSR 401(k) / 457 plans has been calculated assuming industry-accepted life expectancies and discount rates. Different assumptions will yield different results.
Please note that the projections on GaBreeze are based on current, real time information, including any customizations you have made to add outside retirement assets or a different desired retirement age. Your online pension forecast will be different than this statement because it has been adjusted to account for inflation. The online forecast may be less than the actual future benefit amount, as inflation lowers the purchasing power of your future benefits. While the two projection methodologies are different, both are valuable tools for your retirement planning.
For further information on the PSR 401(k), PSR 457 plan, and Social Security forecast information displayed on this statement, log in to GaBreeze and select “Get Investment Advice” under the “Savings & Retirement” tab.
Keep in mind that the numbers shown in this statement are for illustrative purposes only and do not include any of your personal savings, other pensions you may have, or your spouse’s savings and pensions.