When can I retire?
Normal Retirement provides full benefits at Age 62 with any number of years of creditable service.
Special Early Retirement provides full benefits prior to age 62 when you meet the Rule of 75. The Rule of 75 is met when you age plus the number of years of creditable service total 75.
Regular Early Retirement - A reduced is available at age 55 if you have at least 5 years of creditable service. If you elect to start receiving a monthly benefit, that benefit is reduced 3% for each year you are under age 62.
Delayed Retirement - Your benefit will continue to increase should you elect to remain employed after you are eligible to retire. There is no mandatory retirement age.
Go to When You Can Retire for more details.
How is my benefit calculated?
The El Paso County Retirement Plan is a Defined Benefit Retirement Plan and calculates benefits using a predefined formula. That formula is as follows:
Final Average Monthly Compensation (Average of highest consecutive 36 months of salary out of the last 120 months of employment) x 2.22% x Years of Creditable Service = Monthly Retirement Benefit
Example: $3,000 x 2.22% x 25 years = $1.665 Per Month
Go to Benefit Calculator to estimate your monthly benefit. Or, you can receive a benefit estimate by contacting the Retirement Office. We will ask whether you are married, the date of your spouse's birth, and when you plan to retire. Your annual benefit statement of the Retirement Plan also provides an estimate of your retirement benefit.
What happens to my medical insurance coverage?
If you are under age 65 and are currently covered under the health insurance provided by El Paso County, you have the option of retaining that insurance with the same coverage you have in place until the month prior to turning age 65. If you forfeit this option, you cannot enroll in the medical plan in the future. A retiree spouse or dependent can continue to receive coverage under their own identity after the retiree has become entitled to Medicare, reaches age sixty-five (65) or death. The spouse is eligible to remain on the medical plan until age sixty-five (65) or Medicare entitlement, whichever occurs first. Dependent children may elect coverage under their own identity or the spouse’s identity after the retiree is no longer eligible for the medical plan. Dependents of the retiree that is no longer eligible for the medical plans, will be allowed to continue coverage until the spouse reaches the age of sixty-five (65) or Medicare entitlement, until the children reach age nineteen (19) if non-student status or age twenty-four (24) if student status. You may only add or delete a dependent if a “Life Status Change Event” occurs.
The medical insurance program is subject to change upon each contract renewal. Contracts are effective January 1 of each year.
What should I do if I leave employment prior to retirement?
If you have less than 5 years of creditable service, you must take the money out of your retirement account. You can either roll the money into an IRA, or have it paid directly to you. If you roll it over into an IRA, 100% of your account balance is transferred and there are no tax consequences. If you elect to have it paid to you, the gross amount of the distribution is taxable income and subject to a 20% withholding. If you are under 59 ½ at the time you take the distribution, it is also subject to a 10% penalty for early withdrawal. Go to Available Forms for a non-vested application.
If you have more than 5 years, you have the option of taking a distribution of your account balance subject to the same distribution rules as described above, or you can elect to leave the money in the plan and take a deferred retirement benefit. You would be eligible to begin receiving the lifetime benefit as early as age 55. Go to Available Forms for a vested application.
At the time you leave, you may contact the Retirement Office at 411 S. Tejon, Suite F. for assistance in completing the application form.
Can I have my retirement check direct-deposited to my bank?
Yes. We offer direct deposit of your monthly benefit check. By using direct deposit, your benefit will automatically be deposited in your checking or savings account on the first working day of each month. Your will need to complete an Application for Direct Deposit through the Retirement Plan Office. In addition, a monthly notification will be mailed to your residence confirming the deposit and detailing all monthly withholdings and deductions.
Is there any Life Insurance available?
As a retiree of the El Paso County Retirement Plan, you will automatically be eligible for a $3,000 Death Benefit. Upon you death, your named beneficiary will receive the $3,000. There is no cost to you.
What happens to my retirement if I die before I start receiving my benefit?
If death occurs with less than five years of service, your named beneficiary will receive twice the amount you have in your retirement account at time of death.
If death occurs with more than five years of service but before you were eligible to retire, it would depend on your marital status. If you are not married, your named beneficiary will receive twice the amount you have in your retirement account at time of death. If you are married, your spouse may elect to receive twice the amount you have in your retirement account or a monthly lifetime benefit equal to 6o% of the benefit you were eligible for at time of death. Payment would begin at the time you would have reached the age of 55.
If death occurs after you were eligible to retire it would depend on your marital status. If not married, your named beneficiary will receive twice the amount you have in your retirement account at the time of death. If you are married, your spouse would begin receiving a lifetime monthly benefit equal to the 100% Joint and Survivor Benefit.
My spouse and I both participate in the retirement plan. Can we name each other in a joint and survivor option? If one dies, can the other receive both a survivor benefit and a retirement benefit?
You can name each other in a joint and survivor option, and when one dies, the surviving member may receive both a survivor benefit and a retirement benefit.