As a Colorado PERA member, your monthly contribution to your PERA Defined Benefit (DB) Plan is the backbone of a great retirement. However, if you want to boost your income in retirement, consider enrolling in the PERAPlus 401(k) and 457 Plans.
The PERAPlus Plans can supplement your retirement savings and help you reach your financial goals. These are voluntary savings plans on top of your PERA DB Plan that put aside more pre-tax money from every paycheck to help you plan for the future that you want. And now the PERAPlus Plans also have lifetime income options to help make savings go even farther in retirement! The earlier you save in these accounts, the more opportunity your money has to grow.
You can start today
If you’re able to save more near the end of your working career, you can take advantage of “catch-up” contributions. When you turn 50, the IRS allows you to contribute an extra $7,500 in both 401(k) and 457 accounts that’s on top of the $22,500 annual limit for 2023.
To find out more about enrolling in the PERAPlus Plans, go to coperaplus.org. Check out our online financial wellness library that has great resources on creating a budget, investment basics, protecting your assets, and much more.