Earlier this year, SURS announced that the factors table used to calculate SURS retirement benefits under the Money Purchase calculation will change effective July 2, 2025. This change is a result of a 2024 study required by state statute. Read on to determine if you are impacted by this change, and for important considerations if you are thinking about retirement.
What If I'm Considering Retirement Soon?
If you are planning to retire in the next year or two, carefully consider the impact of the change. SURS members retiring on or after July 2, 2025 with the highest retirement calculation under the Money Purchase calculation may be impacted by these changes, depending on your age at retirement
- Employees who are under age 62 will likely not see a reduction in their monthly benefit.
- Employees between the ages of 62 and 70 will likely see a slight reduction in their monthly benefit of less than 1%.
- Employees age 70 and older will likely see a benefit reduction of between 1-3%. SURS estimates that you can recover this monthly reduction by delaying retirement for a couple of months.
How Can I Determine The Impact To My Benefits?
Use the Benefit Estimator to gain a clearer picture on how the factor changes could impact you and your retirement date by performing estimates for retirement dates before and after July 2, 2025, and then comparing your results. View a simple guide to assist you in determining if you might be impacted.
What Other Resources are available?
Does This Impact Me?
The money purchase factors change will NOT affect you, if you are:
- Not yet eligible for retirement
- Already retired
- Participating in the SURS Retirement Savings Plan (RSP)
- Retiring under the General Formula calculation
- SURS-eligible on or after July 1, 2005 (i.e., not eligible for the Money Purchase formula)
Questions?
For more information see SURS Facts – Money Purchase Factor Change or contact SURS at 217-378-8800 or 800-275-7877 with questions.
