CalPERS Pension Estimator Beta

What it is

• The estimate above is the Unmodified Allowance — the highest amount. It stops at the member's death (aside from any lump-sum death benefit).
• Electing an option permanently reduces the member's monthly allowance in exchange for a lifetime monthly benefit to a named beneficiary after the member dies.

The options (current names, with the old option numbers)

• Return of Remaining Contributions (Option 1) — small reduction; beneficiary gets a lump sum of any unused contributions, not a monthly benefit.
• 100% Beneficiary (Option 2W) — beneficiary continues the member's full (reduced) amount.
• 100% Beneficiary with Benefit Allowance Increase (Option 2) — same, but if the beneficiary dies first the member's allowance pops back up to Unmodified. Slightly larger reduction.
• 50% Beneficiary (Option 3W) — beneficiary receives half of the member's reduced amount.
• 50% Beneficiary with Benefit Allowance Increase (Option 3) — same, with the pop-up if the beneficiary dies first.
• Flexible Beneficiary (Option 4) — custom dollar amount or percentage, and/or multiple beneficiaries.

How much it reduces the benefit

• Set by an actuarial option factor based on the option chosen, the member's age and the beneficiary's age at retirement. Younger beneficiary = bigger reduction. The "with increase" versions cost a little more each month for the pop-up protection.
• CalPERS does not publish these factors as a simple public table — use their tools for exact figures.

Good to know

• Some school employers contract for Survivor Continuance — an eligible spouse or child may receive a portion automatically, in addition to any option. Worth asking about.
• A spouse or registered domestic partner may have a community property right to part of the pension even if not named.
• Changing or cancelling an option later may reduce the benefit for life.

Where to get the exact numbers

• myCalPERS Retirement Estimate Calculator — enter the beneficiary's birth date; shows every option side by side with the member's and beneficiary's amounts.
• CalPERS estimate letter — requested through myCalPERS (up to two per 12 months); includes options not shown in the online calculator.
• CalPERS — 888-225-7377.