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PERS/ABP Comparison Chart

The information below is for use by employees who are considering their one-time option to remain in PERS or transfer to ABP due to transfer from another state employer or position reclassification (when applicable.) For additional information, see the One-time Option FAQs page.

Plan is an "actuarial reserve fund" with contributions determined yearly

Vesting After 10 years of PERS participation Immediate for employees moving from PERS to ABP
Employee Contributions 7.5% of base salary 5% of base salary
Employer Contributions Plan is an "actuarial reserve fund" with contributions determined yearly 8% of base
Voluntary Contributions Employees may elect to join the ACTS, Deferred Compensation, or SACT Plan. Employees may make voluntary before-tax contributions with 7 ABP investment carriers and/or join the Deferred Compensation Plan.
Loans Available after 3 years of contributions. Up to twice per calendar year, employees may borrow up to ½ of own contributions with repayments, interest rate determined by the state yearly. Available under both regular retirement and voluntary plan.
Transferability May transfer employment to any other public employer in New Jersey offering a state administered retirement plan May transfer to other educational institutions offering a similar qualified pension plan
Preretirement Death Benefit Employee contributions plus interest (in certain cases) paid to beneficiary Employee and state contributions plus earnings paid to beneficiary
Retirement Benefit Amount of retirement benefit is guaranteed and is based on employee's length of service and average final salary. May be taken as a single life annuity or a joint and survivor annuity amount (i.e., payment is made to the employee and upon his or her death, a designated percentage may be paid to the stated beneficiary). Amount of retirement benefit paid is based on the employee's age, the size of the accumulations (contributions plus earnings), and the income option(s) selected.
Life Insurance Before retirement, employer provides a noncontributory benefit equal to 1.5 times base salary. An additional contributory amount of 1.5 times base salary may be purchased by employee. 3.5 times base salary paid by employer through Prudential Life Insurance Company
Long-Term Disability  
Long-Term Disability

After 10 years of PERS participation for disability retirement. An accidental disability benefit is also provided immediately.

Only certain administrative, professional, or supervisory titles qualify to elect contributory long-term disability coverage in PERS. Benefit is 66.67% of monthly earnings not to exceed $5,000/month. Coverage provided through UNUM.

Eligible after completing one year of full-time continuous employment in an ABP-eligible position.

Benefit is 60% of pre-disability salary. Retirement plan contributions are automatically continued during disability. Coverage provided through Prudential.