Payroll and Benefits » Pension and Pension Life Insurance - TPAF AND PERS

Pension and Pension Life Insurance - TPAF AND PERS

MBOS: Member Benefits Online System (MBOS)

MBOS is the state's online system for you to monitor your pension while you're working and in retirement. Pension loans, change of beneficiaries, retirement and purchase calculators, and plenty more are available through the system. Registration is strongly encouraged, as this is the only to fully utilize all of the features of your pension.

Click here to register or to login or go to:  https://www.nj.gov/treasury/pensions/mbos-register.shtml.

Please note that TPAFand PERS memberships are referred to as “membership tiers”.

Please refer to the TPAF and PERS Membership Tier Chart (PDF) for additional information.

 
The Teacher's Pension and Annuity Fund (TPAF) 

 

Eligibility

Employees appointed to positions requiring certification by the New Jersey Department of Education as members of the regular teaching or professional staff of a public school system in New Jersey are required to enroll in the TPAF as a condition of employment. Tier 5 enrollment requires a minimum of or 32 hours per week for local education employees. No minimum salary requirement. 

 

Contributions

          Employee Contribution:  7.5% of salary made on a pre-tax basis

          Employer Contribution:   Determined annually by the state

 

For more information, click NJ State Department of Pensions and Benefits Teacher's Pension and Annuity Fund
 

The Public Employees’ Retirement System (PERS)

Is open to state, county, municipal, authority, and school board employees who are precluded from any other N.J. State retirement system. It is a defined benefit plan where the retirement benefit is based on a formula and guaranteed by the state.

 

Eligibility

You may be eligible to enroll in the Public Employees’ Retirement System if you meet the following criteria. Employees hired into a Civil Service full-time position

 

Contributions

          Employee Contribution:  7.5% of salary made on a pre-tax basis

          Employer Contribution:   Determined annually by the state

 

For more information, click  NJ State Department of Pensions and Benefits Public Employees’ Retirement System page

Pension Life Insurance - TPAF and PERS ONLY
 
Noncontributory Group Life Insurance

Noncontributory Group Life Insurance is underwritten by the Prudential Insurance Company of America, Inc., and is provided as a result of pension membership. There is no cost to the member for this coverage. The State Treasurer is the official policyholder for all the Noncontributory Group Life Insurance, which is issued as Policy Number G-14800. For the amount of insurance provided to active employees by each retirement system,click here.

Contributory Group Life Insurance (PERS and TPAF only)

Contributory Group Life Insurance is underwritten by The Prudential Insurance Company of America, Inc., and is insurance for which the member pays a premium through payroll deductions. The appropriate Board of Trustees is the official policyholder for the Contributory Group Life Insurance for its system.

The policy number for the PERS Contributory Group Life Insurance is G-13900; for the TPAF it is G-14300. The law requires that a retirement system member must be covered by contributory insurance for the first 12 months of membership. After the 12 months have elapsed, the member may withdraw from this coverage by filing the proper form. Once the member withdraws from the Contributory Group Life Insurance coverage, it cannot be reinstated, nor can contributions that were made prior to the withdrawal be refunded.

The cost of the Contributory Group Life Insurance, which is set by the appropriate Board of Trustees, is:

PERS : .50 of 1 percent (.0050) of base salary.

TPAF : .40 of 1 percent (.0040) of base salary.
 
The deduction from salary for a PERS/TPAF member's Contributory Group Life Insurance is made after taxes have been deducted.

PLEASE NOTE: In accordance with N.J.S.A. 18a:66-53(h), TPAF members are not required to pay Contributory Group Life Insurance premiums after attaining age 70. Such premiums must be paid by the employer. The Division bills the employer annually for premiums for TPAF members who are age 70 or older.

For information about delayed enrollments and back
Contributory Group Life Insurance premiums, click here.

Naming a Beneficiary for Group Life Insurance

The pension enrollment application contains a section in which members name beneficiaries for both group life insurance benefits and the return of pension contributions. The member may name any person, organization, estate or trust as beneficiary. This designation may be changed at any time during membership by Designation of Beneficiary online. At retirement, the member will be asked to nominate beneficiaries on the Application for Retirement Allowance (Also see the Retirement Planning section of our website).

Confirmation of Enrollment in Group Life Insurance

After the member's enrollment in the pension system has been accomplished, life insurance information is passed to Prudential Insurance Company, the administrator of the Division's group life insurance policies. The Division of Pensions and Benefits will send the member a certificate of insurance, or insurance rider, that gives the group policy number(s) of the coverage, the member's name, location number, membership number, the effective date of insurance, and beneficiaries of record. This certificate is an important document and should be safeguarded by the member. 

Type of Insurance

Group Policy Number

Noncontributory Group Life Insurance for PERS, TPAF, PFRS, SPRS, JRS, and ABP

G-14800

Contributory Group Life Insurance for PERS

G-13900

Contributory Group Life Insurance for TPAF

G-14300

 
Withdrawal from Contributory Group Life Insurance: PERS and TPAF only

A member may withdraw from Contributory Group Life Insurance coverage at any time after completing the mandatory first twelve months of membership. Withdrawal is accomplished by completing a Notice of Withdrawal from Contributory Group Life Insurance card, available from the Division of Pensions and Benefits.

PERS Notice of Withdrawal from Contributory Group Life Insurance Form

TPAF Notice of Withdrawal from Contributory Group Life Insurance Form

Unlike waiving Noncontributory Life Insurance coverage over $50,000, which can be reinstated annually, the withdrawal from Contributory Group Life Insurance is irrevocable. See the section on Waiver of Noncontributory Life Insurance Coverage over $50,000 for more information on this topic.

Since this is term life insurance, contributions made for Contributory Group Life Insurance are not refundable.

Changing a Group Life Insurance Beneficiary Designation

A member may change group life insurance beneficiaries at any time.

For the protection of members and beneficiaries, the Division will only accept a designation change by completing the MBOS Designation of Beneficiary. The Division will not accept a change over the telephone or through a letter.

For members who are retired or who have submitted an Application for Retirement Allowance: The beneficiaries designated on a retirement application supersede all prior designations once the application is on file at the Division, even if the member later decides to cancel the retirement process. Retired members wishing to update their GLI beneficiaries after retirement must submit a Designation of Beneficiary form.

The Designation of Beneficiary form can be obtained online or by calling the Division. Or, members may use the MBOS (Member Benefits Online System) to provide updated beneficiary information. Members wishing to register for MBOS should visit the MBOS Registration Information page, at https://www.nj.gov/treasury/pensions/mbos-register.shtml.