Below list a list of common pension terms.
A beneficiary is a person or persons, a member’s trust, or the member’s estate named by the member to receive a lump-sum benefit upon the member’s death
Continuation Allowance is a monthly benefit payable to an eligible survivor upon a member’s death.
Credited Interest is interest credited to a member’s accumulated contributions at a rate set by the Board of Investments.
A Defined Benefit Plan is a SFERS pension plan that provides a lifetime monthly benefit to members who meet service retirement qualifications based on credited service, age at retirement, and final compensation.
A Defined Contribution Plan allows participants to make voluntary contributions to accumulate tax-deferred retirement savings paid out as income to the member in retirement
A Disability Allowance is the monthly amount payable to a member who has been granted a disability retirement by the Retirement Board.
An Effective Retirement Date is the member’s first day of retirement and when the retirement benefit becomes payable.
An Eligible Surviving Domestic Partner is a person who is in a registered domestic partnership with a member for a continuous period beginning at least twelve months prior to retirement or the death of the member based on provisions of the member’s plan.
An Eligible Surviving Spouse is a person who is married to a member for a continuous period beginning at least twelve months prior to retirement or the death of the member based on provisions of the member’s plan.
A Lump-Sum Death Benefit is a one-time payment to a designated beneficiary upon a member’s death.
A Member is any person who performs creditable service as defined by the Charter, earns creditable compensation for that service, and has not received a refund for that service.
A Member Account is the total accumulated contributions plus interest held in trust for a member until a retirement benefit is paid as a monthly allowance or refunded.
A Non-member is a former spouse or domestic partner of a SFERS member who, under California community property law, has been awarded an interest in the member’s SFERS account.
A Refund is a lump-sum disbursement of the member’s retirement account (accumulated contributions and interest).
Retirement is when a member transitions from earning pay for work to receiving a monthly benefit in exchange for their service to the City.
Retirement Allowance is the monthly benefit amount paid to a retired member or the member’s beneficiary.