Members of the Teachers' and State Employees' Retirement System (TSERS) and Local Governmental Employees' Retirement System (LGERS) will have a one-time opportunity to transfer all or part of their NC 401(k) and/or NC 457 account funds to the Retirement System in order to receive lifetime income at or after retirement.

You will want to carefully evaluate this option. Money you transfer will be used to purchase lifetime income. That money will no longer be available for you to withdraw in an emergency or leave to your heirs as a lump sum.

The monthly benefit is calculated so that if you live exactly the expected number of years, you would receive the same payments with this benefit that you would have received by investing your NC 401(k) or NC 457 in safe U.S. Treasury Bonds and taking regular monthly withdrawals equal to the monthly benefit. In other words, the benefit is calculated to neither make money nor lose money for the Retirement System.

If it looks like the transfer might be a good choice for you, log in to ORBIT your personal and select NC 401(k)/NC 457 Transfer Benefit Estimate from the left navigation. This estimator is intended to assist you in estimating your monthly benefit if you transfer eligible contributions from the NC 401(k) Plan or NC 457 Plan to the same retirement system from which you retire (TSERS or LGERS) to receive a lifetime monthly Transfer Benefit based on your transferred balance. 

Sample Benefit Amounts under the Transfer Option

The monthly benefit amounts shown in the table below are based on interest rates from October 2017. Actual benefits are almost certain to differ from these amounts. We are providing them to give you a rough sense of the estimated amount of benefits for a given amount transferred.

All of the values in the table assume the following elections:

• 3-Year Guaranteed Refund
• Maximum Option (no survivor benefit)