Hearing Rumors? Not sure your co-worker has it right?
Rumor Central has the answers! Submit your question or just browse our blog to separate facts from fiction.
Subscribe to Rumor Central
Subscribe to receive a monthly email that includes answers to recent Rumor Central questions.
Log in to myMOSERS. Click on Personal Information, then on Email Options. Check the box next to Rumor Central.
Oct 21, 2021, 11:47 AM By MOSERSWhat is the purpose of the "Authorization to Release Form" ?
The Authorization to Release Information form gives us your permission to share or discuss your benefit information with someone else. You may amend or revoke it at any time. You can also set it up to automatically revoke after 90 days. You may submit it at any time by logging in to myMOSERS. During the retirement process, we encourage you to submit this form but it is optional.
Common Reasons to Complete this Form
- Another Person Takes Care of Your Finances - Some members prefer to have a spouse, other family member, advisor, or some other trusted person assume the responsibility for getting information from MOSERS about their benefits either because that person is well versed in such matters or because it is simply easier for that person to understand or get the information in person, over the phone, or via email.
- Housing - If you move, your new housing provider may require proof of your income.
- Military Leave or Other Extended Absence - If you will be away from home for an extended period of time, you may wish to authorize another trusted person to be able to get information from MOSERS on your behalf.
- Change in Marital Status - If you previously completed an Authorization to Release Information form and later get married, divorced, remarried, or have another life event, you may want to consider completing and submitting a new form.
Jul 7, 2021, 10:47 AM By MOSERS
Confidentially, please provide the outcome for these scenarios:
An employee started in 2002, MSEP 2000, left in 2021, returned in 2023. Would they be able to return to the MSEP 2000 plan or would they have to go to the MSEP 2011 plan? 80 and out or 90 and out? 0 or 4% withheld?
Previously, under MSEP 2000, 80 and out, retire at 52 with 28 years of service. But let's say they don't return to state work, they have 19 years of service, when is there new normal retirement date, born 1977, 62?
In the scenario you describe, the answer is yes, a vested member of MSEP 2000 who leaves state employment and returns to state employment will still be in MSEP 2000. Their prior service would immediately be reinstated upon reemployment. They would be eligible for normal retirement under the Rule of 80/”80 and Out” or age 62, whichever came first. As a member of MSEP 2000, they would not be required to make the 4% employee contributions.
In the scenario you describe, if the employee did not return to work, they would be considered an inactive vested member of MSEP 2000 and would become eligible for normal retirement at age 62.
Note: If an inactive vested member of MSEP or MSEP 2000 elected a buyout in 2017 or 2018 then returned to state employment, they would be a member of MSEP 2011, would be required to make the 4% employee contributions and would have to meet the retirement eligibility for MSEP 2011.
We encourage members to contact a MOSERS benefit counselor to discuss their individual situation and learn how various scenarios would impact their benefits.
Dec 16, 2020, 10:04 AM By MOSERSWhat is the difference between the MSEP and MSEP2000? What are the advantages of each one?
The MSEP and the MSEP 2000 have various differences including different multipliers in the formula used to calculate your monthly payment, different benefit payment options, different cost-of-living adjustment (COLA) provisions, and different retirement eligibility criteria. The Temporary Benefit is available in MSEP 2000 but not in MSEP. See the Summary of Pension Benefit Provisions (MSEP & MSEP 2000) for a side-by-side comparison of provisions.
Benefit Payment Option
• The MSEP provides “free” survivor benefits for your spouse (Unreduced Joint & 50% Survivor). “Free” means that your retirement benefit is not reduced to pay for the future survivor benefit.
• There are no “free” survivor benefits under the MSEP 2000.
• In most cases, the increase in the base benefit formula in the MSEP 2000 will partially, or more than, offset the effect of the difference in the payment option reduction factors between the two plans
• You will receive a COLA each year for your lifetime regardless of which plan you elect (0-5%).
• The maximum COLA rate for both plans is 5%.
• If hired before August 28, 1997, the MSEP provides a minimum 4% COLA each year until the total increases equal 65% of your initial benefit. Generally speaking, you will receive 4% for approximately 12 years. After you reach the 65% COLA cap, the COLA rate will be equal to 80% of the percentage increase in the average Consumer Price Index (CPI) from the previous year.
Temporary Benefit (MSEP 2000 only)
• The temporary benefit could significantly increase your MSEP 2000 benefit. However, if you are older than 62 when you reach retirement eligibility, the temporary benefit has no value to you.
• At age 62, the temporary benefit and any COLAs earned on that amount will stop.
• The temporary benefit is not considered in determining potential benefits for your survivors. If you die while receiving the temporary benefit, any survivor benefits will be determined by the base benefit amount and the option elected
We have a helpful Comparison Calculator on our website where you can compare the long-term impact of electing MSEP versus MSEP 2000, different BackDROP* periods under the different plans, and various other options. The Comparison Calculator videos are helpful in demonstrating how to use this tool. You can also contact a MOSERS benefit counselor to ask that they provide you with various benefit estimates and Comparison Calculator results.
We also encourage you to attend a Ready to Retire webinar when you are within 5 years of eligibility. We will post the 2021 schedule to our website soon. This free webinar includes information on differences in the plans, benefit payment options, and BackDROP, among other topics.
Please note that your defined benefit retirement plan through MOSERS includes a lifetime benefit for you, the member, regardless of the plan or payment option you elect at retirement.
Feb 26, 2018, 4:09 PM By MOSERS
What are the major differences between MSEP & MSEP 2000?
The MSEP and the MSEP 2000 have various differences including different multipliers in the formula used to calculate your monthly payment, different benefit payment options, different cost-of-living adjustments (COLA), and different eligibility criteria. See the pages linked above or What’s My Plan? with information about plan membership, retirement eligibility requirements, and other plan provisions.We have a helpful Comparison Calculator on our website where you can compare the long-term impact of electing MSEP versus MSEP 2000, different BackDROP* periods under the different plans, and various other options. The Comparison Calculator videos are helpful in demonstrating how to use this tool. Or, you can contact a MOSERS benefit counselor to ask that they provide you with various benefit estimates and Comparison Calculator results.
We also encourage you to attend a MSEP/MSEP 2000 Ready to Retire/PreRetirement Planning Seminar when you are within 5 years of eligibility. This free full-day seminar includes information on differences in the plans, benefit payment options, and BackDROP, among other topics.
Your defined benefit retirement plan through MOSERS includes a lifetime benefit, regardless of the plan or payment option you elect at retirement.
- 1099-R (11)
- Annual Leave (5)
- BackDrop (26)
- Board of Trustees (2)
- Buyout (4)
- COLA (12)
- Credited Service (6)
- Death (7)
- Deferred Compensation (4)
- Divorce (1)
- Early Retirement (10)
- Education (3)
- Employee Contributions (18)
- Final Average Pay (11)
- Former State Employee (2)
- Funding (12)
- Leaving State Employment (12)
- Legislation (8)
- Life Insurance (10)
- Long-term Disability (1)
- Medical Insurance (7)
- Military Service (4)
- MSEP (4)
- MSEP 2000 (6)
- MSEP 2011 (12)
- Normal Retirement (28)
- Payday (3)
- Re-employment (9)
- Retirement Process (7)
- Rule of 80 (9)
- Sick Leave (6)
- Social Security (5)
- Taxes (29)
- Temporary Benefit (1)
- Termination (8)
- Travel Assistance (1)
- Universities (2)
- Vesting (8)
We strive to provide the most accurate information possible in our answers to Rumor Central questions. However, occasionally, laws, policies or provisions change and individual circumstances may vary. Please contact a MOSERS benefit counselor or see the handbooks in our website Library for more detailed information. If there is any difference between the information provided in this blog or on the MOSERS website and the law or policies that govern MOSERS, the law and policies will prevail. See our Privacy, Security & Legal Notices for more information.