The Kansas Legislature created the Kansas Public Employees Retirement system in 1962 to build a financial retirement foundation for those spending their careers in Kansas Public Service.
KPERS membership is automatic when you are hired. Memebership starts on your first day of employment. When the time comes KPERS pays out retirement benefits.
KPERS provides disability, basic life insurance and death benefits to protect employees while they are still working, and guarantees them a lifetime benefit when they retire. Your employer pays KPERS for these benefits. KPERS is not like Social Security. KPERS benefits are "defined." Current contributions are invested to pay benefits down the road.
How KPERS Works:
- Legislature defines benefits and funding.
- Actuary projects how much benefits will cost.
- Employers and members make contributions to KPERS.
- KPERS invests the money over time.
There are three income sources that provide your benefit: employee contributions, employer contributions, and investments.
- Employee Contributions-The amount you put in is set by the Legislature. Your employer takes it out of each paycheck and sends it to KPERS.
- Employer Contributions-Employer contributions don't go into your account. They are used to fund the system, providing members with life long retirement income.
- Investments-KPERS takes care of the money coming in and grows that money to help provide benefits to members when the time comes. Over the years income from investments, funds much of the benefits paid out to members.
After you retire you receive a monthly payment from KPERS for the rest of you life. For KPERS 1 and 2 members, KPERS uses a formula to figure out how much you'll receive.
- Final Average Salary x Statutory Multiplier x Years of Service = Yearly Benefit / 12 = Monthly Benefit
To calculate KPERS 3 benefits, KPERS uses:
- Your account balance, your retirement credits along with actuarial factors.
Visit www.kpers.org to find a wealth of information which includes all aspects of the retirement system. Check out KPERS seminars, webinars, and quick videos that can assist with retirement planning. Contact KPERS at 1-888-275-5737 or email them at firstname.lastname@example.org. Watch your school email inbox for periodic special KPERS related messages from Retirement.
For more information about how KPERS works, check out your membership guide.
KPERS 1 and 2 Membership Guide
KPERS 3 Memebership Guide (Video)