CalPERS Retirement Benefits Not Affected by State Budget Deadlock

Thursday, July 24, 2008

SACRAMENTO, CA The California Public Employees’ Retirement System today issued the following statement by CalPERS Board President Rob Feckner regarding California’s State budget impasse:

“The lack of a State budget has absolutely no impact on CalPERS retirees. Our retired members will continue to receive their full CalPERS retirement benefit payments as they normally do because CalPERS retirement benefits are guaranteed by State law”.

“Also, the budget situation will not affect CalPERS members who are in the middle of their retirement application process. CalPERS retirement benefit calculations are based on a worker’s highest average pay rate over a 12 or 36 month period. This holds true despite any potential changes to employee salaries”.

CalPERS pays retirement benefits to more than 455,000 retirees and their beneficiaries.

CalPERS is the largest public pension fund in the U.S. with more than $233 billion in assets. The retirement system manages retirement and health benefits for more than 1.5 million active and retired California public employees on behalf of 2,600 public employers, including the State of California. For more information, visit http://www.calpers.ca.gov.