When you leave IPERS-covered employment before you retire, you need to decide what to do with your IPERS account. You have several choices.
Leaving funds with IPERS
If you leave IPERS-covered employment before you retire, you may leave your contributions in IPERS. Your account will continue to accrue interest until you apply for retirement benefits, return to covered employment or take a refund. If you are a vested member, you may apply for retirement benefits to start as early as age 55, although an early-retirement reduction may apply. A vested member who qualifies for IPERS disability benefits may retire before age 55.
If you return to IPERS-covered employment, you will continue to build on the service credits in your account.
If you leave your contributions in IPERS, do not contribute for five years and have a balance less than the maximum amount set by the IRS, IPERS will automatically close your account and mail you a check for your balance. You then have 60 days to restore your account by returning the check. If IPERS cannot locate you to close your account, your contributions remain with IPERS and no further interest will be credited to your account.
Applying for a refund
When you leave IPERS-covered employment before retirement, you are allowed to take a refund of your accumulated contributions. Learn more about applying for a refund.