How to Use ETF’s Online Retirement Calculator
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Welcome to the How to Use ETF’s Online
Retirement Calculator presentation, a getting ready for retirement topic. By the end of this presentation, you will be
able to find information on your Statement of Benefits used for calculations, enter information
into the WRS Retirement Benefits Calculator, and see an unofficial estimate of
your WRS Retirement Benefits online. Let’s get started and get together information
you will need to use the calculator. The calculator requires certain
information to calculate your estimate. You will need the items in this list:
your most recent Statement of Benefits, your possible retirement date (you can enter
different dates to compare if you’re not sure), and date of birth of named survivor’s
if you would like survivor benefits. Your Annual Statement of Benefits is the
most important document you need to enter information into the calculator. You will need
your most recent annual statement of benefits so that you can get a better estimate
of your current retirement benefits. The statement contains different sections
of information that you will use to enter into the calculator. Information you will use
includes Section 2 includes your employment categories and years of service in each, Section
4 has information about additional contributions, if you made any.
If you didn’t make any, this
section will be blank, Section 8 has your Highest Earnings and you will have a Variable Excess
or Deficiency amount if you participated in the Variable Fund, and finally, you’ll need to look
at Section 9, which has your Money Purchase Total. To get to the calculator, go to
the ETF website at etf.wi.gov and scroll down to the bottom
of the page, any page will do. In the footer, look for the word
calculators and click on it. You will be taken to the main Calculators
page that includes a list of all the calculators we have for your use. Click
on the WRS Retirement Benefit Calculator button to go to the calculator’s
disclaimer and directions page. Each calculator starts with a page of
instructions and a disclaimer to make sure you understand the limitations the calculator
has to provide you with a valid estimate.
The link to the calculator is at the bottom
of the page in a box that looks like this one. Click the orange button
link to open the calculator. Now I’m going to show you how to use
the calculator, section by section. At the top right of the calculator, you will see text with a link to a PDF Guide to
enter your Annual Statement of Benefits data. Click on Guide if you would like
to view and download the document. There are also links to information throughout
the calculator to help you along the way. Entering your name is optional but you
may want to enter it if you want to remember the estimate is yours if you are
entering estimates for multiple people. We’ll use the name Jane Doe for this example. Next, we’ll enter a birthdate using the two-digit
month, two-digit day, and four-digit year. I entered 06/01/1972 for this example. Next, we’ll enter a benefit effective date.
This is the date the benefit is effective for calculation purposes, not the date you will
receive your payment.
Generally, this is the day after your termination date for active members.
For example purposes, I used 07/01/2022, a month after this person turns normal retirement age
(50 for protective employees) for this example. If you are choosing a joint
and survivor annuity option, enter your named survivor’s birthdate here
with the two-digit month, two-digit day, and four-digit year. For this
example, we’ll leave it blank. Please check yes or no if your
named survivor is your spouse. Do not check if it does not apply to you. Next let’s go to the Formula
benefits section of the calculator. Here is where you will start needing
your Annual Statement of Benefits. First, you’ll need to look at Section 2 of your
statement to find years of creditable service. In this example, the member had years of
service in two different employment categories. First, we’ll look at the General category and see
that this member had 10.71 years of service only after 1999. We take that 10.71 years of creditable
service and enter it into the calculator to the right of the general category and under after
1999. Then we’ll look at the Protective w/ Social Security category and see that they
have 6.40 years of service also after 1999. We take that 6.40 and put it to the right of the
Protective with Social Security category under After 1999 in the calculator.
This member had no
years of service before 2000, so we leave that, and any other areas that do not
pertain to this member, blank. In the 2nd part of the formula
benefits section of the calculator, we will need Earnings and Service information as
well as Variable Excess or Deficiency information. Both of these are found in Section
8 of your statement of benefits. First, click yes or no in answer to question
#2, Did you terminate employment before 2000? Next, take your three highest years of earnings
and enter the numbers into number 3 on the calculator under Highest Earnings. You will see
that the calculator automatically sets the Related Service to 1.00. If your statement shows your
service as less, you must change the calculator to match. In this case, the member had all 1.00 of
service for each earning year so we can move on. Next, look at the total Variable Excess or
Deficiency. If you do not participate in the Variable Fund, like this member, it will
show zero or be blank.
If you did participate, you will have either a positive or negative
amount. Enter this amount into number 4. Mark whether the amount is an excess – a positive
amount or a deficiency – a negative amount. Next, we’re going to enter your total
Core and Variable money purchase balances. This total balance can be found in section 9 of
your statement of benefits. Look at the lower right of the section to find the total money
purchase balance amount. For this member it is $124,765.33. We take this amount and enter it
into the calculator under Money Purchase benefits. Optional Last is the optional section. This is where you
add the amounts for any additional contributions you have made.
Additional contribution amounts are
found in Section 4 of your statement of benefits. If you did make additional contributions, you
will take the January 1 balance for the Core and Variable for both the employee additional
and tax-deferred and add them all together. Then you take that total amount and
enter it into the box on the calculator for employee additional. In this example, the
member did not make any additional contributions, so we would leave the boxes
blank on the calculator. If you have any employer additional contributions
or contributions from Long Term Disability Insurance (LTDI) (which are rare – most
employees will not have these), combine these amounts and put them into the calculator
box under employer additional contributions. For our example, we leave it blank because
this member did not have an amount to enter. Click calculate at the bottom of the
calculator to receive your unofficial estimate. Only click Clear Form if you want to erase
everything you typed and start over again. Your estimate will look similar to this
example. You will see the information you entered into the calculator at the top, the
factors used in your calculation in the middle, and at the bottom you’ll see your estimated
monthly benefit amounts that includes a section for your additional contributions.
It also tells
you if you are eligible for a lump sum payment. Now I’m going to show you some resources
on our website that you may find helpful. You can go to our Annuity Payment Options page
for information about the types of annuities available. It also includes information
about additional contribution annuities and has links to other resources like
brochures, a video and tax information. Go to the Variable Fund page to find more
detailed information about the Variable Fund along with the join & cancel forms. You
will also find a link to the Variable Excess or Deficiency Update Calculator as well as
Links to other resources you may find useful. Go to the additional contributions page
for information about making additional contributions including making online
contributions. You will also find the maximum additional contributions worksheet, you
can read the additional contributions brochure, or download the additional
contributions remittance form.
Learn at your leisure from the comfort of
your home by going to our Member Education page on our etf.wi.gov website. You
will see timely featured education, education by topic, events, videos, and
our forms, brochures, and publications. Stay Connected to ETF. Get up to date
information about your WRS benefits by subscribing to ETF E-mail updates, talking with
a benefits specialist, going to our website, or connecting with ETF on one of our
Twitter or LinkedIn social media sites..