For full and part-time employees, a retirement plan is provided for the purpose of providing lifetime benefits. The benefits in the plan are paid in addition to any supplemental benefits received from social security.
An eligible employee may elect to retire on the first day of the month following the 62nd birthday if the employee has six or more years of full-time equivalent employment with a participating employer. Employees also become eligible for normal retirement on or after the date upon which the sum of a member's age and number of years credited service totals 80 except that employees who became members on or after July 1, 1992, become eligible for normal retirement when the sum of their ages and years of credited service total 90. Employees who became members on or after November 1, 2011, may elect to retire on the first of the month following the 65th birthday if the employee has six or more years of full-time equivalent employment. Employees may also become eligible to retire when the sum of their ages and years of credited service total 90 and they are at least 60 years old. State employees will receive 2% of their salary for every year of service.
Correctional Officers, Probation and Parole Officers and Fugitive Apprehension Agents
Correctional officers, probation and parole officers and fugitive apprehension agents may retire with a minimum of 20 full years of full-time equivalent employment as a correctional officer, a probation and parole officer or as a fugitive apprehension agent.
If eligibility for retirement is reached earlier (as provided above), a correctional officer, a probation and parole officer or a fugitive apprehension agent may elect to retire under normal retirement provisions.
Correctional and probation/parole officers will receive 2.5% of their salary for the first 20 years of service, and 2% for every year thereafter.
After June 30, 2004, any incumbent in the positions identified above, who has five years of service in those positions remains in 20 year retirement upon promotion, demotion, transfer, or rehire into the agency.
An employee or vested employee may elect to retire before the normal retirement date on the first day of any month coinciding with or following the attainment of age 55 provided 10 years of participating service has been completed. An employee or vested employee who became a member on or after November 1, 2011, must attain the age of 60 provided 10 years of participating service has been completed. The monthly benefit paid under early retirement is reduced.
Under the provisions of this voluntary supplemental retirement plan, employees may defer payment of a portion of their income to a later date by investing in a variety of options. For many of the investment options, the state will contribute $25 per month in matching funds. Taxes are deferred until retirement when most participants would be in a lower tax bracket.
Retirement for Employees after November 1, 2015
An eligible employee hired as of November 1, 2015, will participate in a defined contribution plan. The plan's contributions from the employer are fully vested after five years. The employee is responsible for their investments in the retirement plan. After the employee retires under this plan, they will have access to withdraw from their account. The defined contribution plan does not offer a lifetime benefit and only funds in the employee's account are attainable. Employees participating in this plan are not eligible to participate in the voluntary supplemental deferred compensation plan.
All correctional officers, probation and parole officers and fugitive apprehension agents are exempt from this plan unless they transfer to another job family without completing five years full-time equivalent service as a correctional officer, probation and prole officer, or fugitive apprehension agent. They will participate in the above plan.
Employees with Oklahoma Public Employees Retirement System (OPERS) membership prior to November 1, 2015, are not eligible for this plan and will participate in OPERS.