My KP Pension
Your KP pension is a valuable benefit that provides access to guaranteed future income. It's important to understand how it works so you can plan accordingly, no matter what stage you’re at.*
Video Library
How Your Pension Works
The Differences Between Your Pension and 401(k) / 403(b) Plans
Interest Rate Impact on Lump Sums
*Subject to eligibility requirements. For detailed provisions, refer to the individual Summary Plan Description for your plan(s).
Key Definitions
Pension: A trust account that is managed and contributed to by Kaiser Permanente. KP manages the investments for the purpose of providing eligible participants access to retirement income for life, regardless of how the investments perform.
Monthly Annuity: The set amount you receive every month once you commence your benefit, from your retirement date for the rest of your life ("an annuity").
Lump Sum: A one-time payment of your pension benefit—typically represents the present value of your future pension benefit. Not all pension plans offer a lump-sum option (refer to the individual Summary Plan Description).
Vesting Period: The amount of time (typically measured in years of service) that must elapse before your pension benefit is fully yours (subject to early retirement rules).
Retirement Age: Full retirement age is 65. For complete details, review your Summary Plan Description.
Benefit Commencement Date: The date upon which you will begin to receive payments from your pension plan.
Interest Rates: A percentage used to convert your normal annuity form into other annuities and the one-time lump-sum payment. Higher interest rates generally result in a lower lump-sum payout.
