4 Things You Might Not Know About PERAPlus
The PERAPlus 401(k) and 457 Plans are voluntary retirement savings plans offered to PERA members. You may have heard about PERAPlus accounts, but there are a few things you might not know about.
Choose Your Contribution Amount
Saving for retirement requires regular review and adjustment to stay on track to meet your financial goals. With a PERAPlus account, you can choose the contribution amount that is right for you and adjust it as needed.
Before setting your contribution amount, you might want to consider a few factors. Start by estimating your PERA monthly benefit using the “Monthly Retirement Benefit” calculator in your PERA account. Then consider how much you need to save for retirement and when you want to retire. Finally, make sure you know the contribution limits for your accounts each year. Refer to the ”PERAPlus 401(k)/457” page for more information.
You can adjust your contribution amount at any time by contacting your employer.
Roth Options Are Available
When it comes to retirement accounts, you have two contribution options: a traditional (pre-tax) account and Roth (tax-paid) account. Which option you choose affects whether you pay taxes now or in retirement. With a Roth account, you pay taxes now and receive tax-free income in retirement.
Note: You must have had the funds in the account for at least five years and be age 59½ or older. The PERAPlus 401(k) and 457 Plans both have a Roth option. Not all PERA employers offer the Roth option, so contact your employer to find out if this option is available to you. (Starting January 1, 2027, all PERA employers will offer both the PERAPlus 401(k) and 457 Plans and allow both pre-tax and Roth contribution options.)
Plan Cost is Low
The U.S. Department of Labor points out that account contributions help increase retirement income, but plan fees can reduce account growth. It’s important to know what you’re signing up for and the cost of fees. The PERAPlus Plans have low-cost fees. There are administrative and investment management fees that are a small percentage of your account balance. You also have the option to enroll in the professional management program for about $3.75 for every $10,000 in your account.
To learn more about PERAPlus fee costs, refer to the “PERAPlus 401(k)/457 and DC Plans’ Fees” fact sheet.
Roll Accounts Over
Throughout your career, you may have worked for different employers and might still have retirement accounts with them. As a PERA member, you can roll over former qualifying accounts into your PERAPlus Plan. By rolling over your accounts, you can track and manage your investments and retirement savings in one place. It also keeps things simple, making it easier to manage your finances in retirement.
If consolidating accounts might be your next step, the process is simple. Request a distribution from your previous plan and complete the rollover paperwork on coperaplus.org. If you need assistance or have questions about rolling accounts over, call 888-737-4480.
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Sources
U.S. Department of Labor. “A Look At 401(k) Plan Fees.” U.S. Department of Labor (accessed July 13, 2026). doi: https://www.dol.gov/node/63354#.
