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The PTS Plan is a deferred compensation plan in which contributions are made automatically each pay period on a pre-tax basis. Federal and State of California income taxes are deferred until you withdraw your PTS funds (or assets).
The PTS Deferred Compensation Retirement Plan was established in 1996 by Chapter 88F, Hawai`i Revised Statutes as an alternative retirement program for part-time, temporary, and seasonal/casual (PTS) employees.
Employees in this plan are eligible to retire at age 62 with a minimum of 10 years of credited service or at age 55 with a minimum 30 years of credited service. Employees at age 55 with 20 years of credited service may elect early retirement with reduced benefits.
One of the most important retirement benefits State employees have is the opportunity to participate in the Island $avings Plan, the State of Hawai'i deferred compensation plan. This is a voluntary pre-tax retirement savings plan designed to give employees a tax break today and build a nest egg for their future.
Hawaii does not collect income tax on pensions or benefits from the state's retirement system. It also doesn't tax Social Security benefits.
Eligibility. You are eligible to retire at any age after completing 20 years of creditable service. You may also receive a service retirement benefit at age 62, even if you do not have 20 years of creditable service.
The full retirement age is 66 if you were born from 1943 to 1954. The full retirement age increases gradually if you were born from 1955 to 1960 until it reaches 67. For anyone born 1960 or later, full retirement benefits are payable at age 67.
Frequently Asked Questions Retirement Since you can earn 4 credits per year, you need at least 10 years of work that subject to Social Security to become eligible for Social Security retirement benefits.
The PTS Plan is a deferred compensation plan in which contributions are made automatically each pay period on a pre-tax basis. Federal and State of California income taxes are deferred until you withdraw your PTS funds (or assets).
One of the most important retirement benefits State employees have is the opportunity to participate in the Island $avings Plan, the State of Hawai'i deferred compensation plan. This is a voluntary pre-tax retirement savings plan designed to give employees a tax break today and build a nest egg for their future.