Social Security Modification Option Acknowledgment Form
StanCERA members electing the Social Security Modification (Income Leveling) Option are required to
acknowledge the information in this document. Choosing the Social Security Modification is an
irrevocable decision made at the time of application of StanCERA Retirement Benefits.
If you qualify for Social Security Benefits, you may elect
to choose the Social Security Modification
(Income Leveling) Option and receive a monthly retirement allowance with an income leveling approach
rather than the fixed-for-life fashion of the original plan design. With this election, a member receives an
increased monthly allowance before age 62 from StanCERA, which is based on the Social Security
benefit estimate at age 62. The StanCERA benefit is reduced at age 62 at which time the member would
be responsible to apply for benefits directly with the Social Security Administration. It is recommended
that members apply for their Social Security benefits prior to their reduction of their StanCERA benefit.
StanCERA’s administration of the Social Security Modification (Income Leveling) Option is not subject to
any changes to the laws governing Social Security benefits. In the event Social Security modifies the
early retirement age from age 62, StanCERA will not modify the original payment agreement and would
still be required to reduce the StanCERA benefit at age 62.
This Option does not alter monthly continuance payments to the designated beneficiary. The
beneficiary’s continuance is based on the original payment option. The Social Security Modification
(Income Leveling) Option is not available to members who receive a disability retirement from StanCERA.
Understanding your Social Security Statement
Social Security Statements provide estimated benefit amounts using average earnings over a working
lifetime. Social Security assumes one will continue to work until age 62 (earliest eligible age to apply for
benefits), full retirement age (age 65 – 67 depending on birth year), or age 70. Social Security is unable
to provide an actual benefit amount until time of application.
StanCERA members who choose to retire prior to age 62 and elect the Social Security Modification
(Income Leveling) payment option, are required to submit an accurate Social Security estimate of eligible
benefits at 62 at time of application of StanCERA retirement. Members are encouraged to use the Social
Security Benefit Calculator, located on the Social Security Administration’s website, to obtain immediate
and personalized benefit estimate. This Benefit Calculator provides an optional stop-working age, which
would imply no future payments into the Social Security System from the time of retirement until age 62.
This option allows a more realistic estimate of the Social Security benefit. A link to this calculator may be
found by visiting StanCERA’s website at: www.stancera.org
If a member is eligible to receive a pension from employment in which Social Security taxes were not paid
and you also qualify for a Social Security retirement benefit, the Social Security benefit may be reduced
by the Windfall Elimination Provision (WEP). The amount of the reduction, if any, depends on the
earnings and number of years in jobs in which Social Security taxes were paid. To estimate WEP’s effect
on future Social Security benefits, information may be found on their website.
By signing below, you are declaring under penalty of perjury, that an accurate estimate of eligible Social
Security Benefits at age 62 has been provided, which is to be used for StanCERA’s Social Security
Modification (Income Leveling) Payment Option. It is understood that this option is irrevocable upon
activation of StanCERA Retirement Benefits.
Member Signature: Printed Name: Date: