Chicago Police Sergeants' Association
Pension News
Sgt. Michael Lazzaro
Sgt’s Pension Representative
In 2009, only 262 sworn members retired. 2010 will see a huge increase due to the free insurance at 55. In April, more than 130 sworn members have “put in their papers” to retire. A staff member told me this is the most to retire in one month since January of 2000, when 135 retired (recall that in January 2000, mandatory retirement at age 63 was reinstated). I have seen numerous reports in the media that the Superintendent predicted one thousand Officers will retire in 2010. Poppycock! Roughly 260 Sworn that are eligible for the free health care at 55 will retire. As of this writing the free healthcare has not been granted to Exempt Ranks or Sergeants. My educated guess is that Approx. 450 sworn will retire in 2010.
Please bear with us!!
Due to the many people retiring, and the numerous people purchasing service credit through Pension Code-Section 214, credit for other service; the “Rosario” case and Portability, it is not feasible for the Pension staff to provide you with a calculation “ work up” on the same day you request it. Please allow 4 to 6 weeks for these calculations.
You will be receiving your personal statement of benefits letter in the last week of April (the letter that estimates your retirement benefit at ages 50, 55, 60 and 63). Please read the back page of this letter, which explains refunds and non-assign ability of benefits. Every day you work you are earning pension credit. If you are suspended, take an unpaid leave of absence, or are taking unpaid furlough days (as the exempt ranks have been), this is lost time to be made up toward service credit, unless you have more than the 29 years and a day required for maximum pension (75%).
The City of Chicago is self-insured, and uses Blue Cross Blue Shield to administer health care to all of the Approx. 25,000 retirees. All four pension funds (Fire, Laborers, Municipal and Police), along with the city, pay a fixed amount toward your health care premium, and deduct your premium out of your monthly annuity. The Dept. of Benefits and Management administers health care matters, not the pension funds.
Once you retire, the Death benefit is $6.000.00 and beneficiaries can be changed at any time. The death benefit can be left to a living Trust (we must have a copy on file); this is not a life insurance payout and is taxable.
For those retirees soon to be Medicare eligible (age 65)
Medicare coverage always begins the 1st day of the month you turn 65. If your 65th birthday is May 24th, Medicare would begin on May 1st. Please start the process 3 months before your 65th birthday and when you get your Medicare card both the Pension Fund and Benefits Management must have a copy on file. You can use snail-mail or fax copies to us.
Which one are you?
“The pessimist is the man who believes things couldn’t possibly be worse, to which the optimist replies, “Oh yes they could.”
“An optimist sees an opportunity in every calamity; a pessimist sees a calamity in every opportunity.”
“The optimist sees the rose and not its thorns, the pessimist stares at the thorns, oblivious of the rose.”