CalPERS 457 Deferred Compensation Plan

Receiving a Distribution

You have a variety of choices available to you for receiving a distribution of your money in the CalPERS 457 Deferred Compensation Plan once you have separated from service with your employer:

  1. You may take a distribution of your money in the plan immediately upon separation, regardless of your age, or whether you are retiring; or you may delay taking a distribution until any later year you select, provided you begin distribution no later than April of the year following the year in which you turn age 72,


  2. You may take a distribution of your money in a lump sum,


  3. You may take a distribution of your money in a partial lump sum, with the remainder payable in installments,


  4. You may take a distribution of your money entirely in installments, over a payout period you select for as long or as short as you want within your lifetime,


  5. You may transfer your money to the 457, 403(b) or 401(k) of another employer for whom you go to work after separating from service with your current employer. Or, you may rollover your money to an Individual Retirement Account (IRA) or annuity product.

The distribution choices and tax rules governing them are complicated. You are encouraged to talk with a tax advisor or financial planner before deciding how to take your distribution.