If you leave all WRS employment before reaching minimum retirement age, you have two options:
Option 1
Keep your WRS account with ETF. Individuals who choose this option become inactive members and their account continues to earn interest until a benefit is taken. When you reach your minimum retirement age (and are vested), you will be eligible for a retirement benefit.
Retirement benefits include:
- Employee-required contributions
- Employer contributions
- Voluntary additional contributions, if applicable
- Earned interest
Option 2
Take a separation benefit.
A separation benefit is a one-time payment consisting only of:
- Employee-required contributions
- Voluntary additional contributions, if applicable
- Earned interest
Carefully consider the consequences of taking a separation benefit.
If you take a separation benefit now, instead of taking a retirement benefit later, your WRS account will be closed and you will:
- Lose all employer contributions and interest (approximately half the value of your WRS account)
- Lose (forfeit) the creditable service you earned prior to taking the separation benefit, and the benefit rights associated with that service
- Lose eligibility for future health insurance coverage
- Be subject to tax penalties that may significantly reduce the amount of your separation payment
Before deciding, see the Separation Benefits (ET-3101) brochure for additional information. If eligible, ETF will mail you the necessary documentation for a rollover to another qualified retirement plan.