Updated October 7, 2026. Quick answer: A Stanislaus County Employees’ Retirement Association (StanCERA) Tier 6 member who leaves before retirement can take a refund of contributions and refundable interest, which waives every other benefit and any employer-paid money, or leave the contributions on deposit. Vesting takes five years (10,400 hours). At retirement the member picks a payment option: Unmodified leaves an eligible spouse or registered domestic partner 60%, Option 3 pays a surviving beneficiary 50% and Option 2 pays 100% of a reduced allowance, and the handbook calls Option 2 irrevocable. These documents cover Tier 6 General and Safety members.
What this page covers and what it does not
This page works from two documents published by the Stanislaus County Employees’ Retirement Association (StanCERA): its Tier 6 member handbook (marked as created March 2, 2017) and its Tier 6 Plan Summary (edition 07.22), both read on October 7, 2026. Every figure is StanCERA’s, or is labeled as a computed example from stated inputs.
StanCERA is a county system, and the handbook says its benefits are “as governed by the County Employees’ Retirement Act of 1937 (Government Code Sections 31450 et seq.) and the Public Employees’ Pension Reform Act (PEPRA)”. “Tier 6 became effective on January 1, 2013. All new StanCERA employees are placed into Tier 6.” The page therefore covers Tier 6 General and Tier 6 Safety members; “StanCERA has two membership classifications: general and safety.” StanCERA runs other tiers, and a member in an older tier needs that tier’s own handbook, which this page did not read. State income tax questions are on California retirement taxes and does California tax pensions.
The decisions in order
A Tier 6 member faces up to three decisions at different times. The first, on leaving employment, is whether to take a refund, leave the contributions on deposit, or carry them into a reciprocal system. The second is when to retire, which sets the age factor. The third, made at retirement, is the payment option, which decides what a survivor receives. The handbook warns about order: “APPROPRIATE FORMS MUST BE FILED WITH STANCERA BEFORE ANY ACTION IS TAKEN.”
Who is in Tier 6 and when a pension can start
Tier 6 covers employees of the participating employers “hired on or after January 1, 2013”. “If you were hired on or after January 1, 2013 into a permanent position with benefits and the position did not require you to perform active, criminal law enforcement or fire suppression, you are a General (non-safety) member.”
Vesting is a service test. “A member becomes vested once five years (10,400 hours) of StanCERA retirement service credit has been reached.”
“General Tier 6 members are first eligible to retire at age 52 with 5 years of service credit or age 70 regardless of service credit.” “Safety Tier 6 members are first eligible to retire at age 50 with 5 years of service credit or age 70 regardless of service credit.”
How the monthly allowance is calculated
“Your regular service retirement allowance is calculated by multiplying your pensionable compensation by your years of service and then multiplying by an age factor.” “Your final average compensation earnable (FACE) is computed by adding up a consecutive period of compensation for your services rendered as an employee equal to three years and then dividing by thirty-six (36).”
Timing matters through the age factor. For General members the handbook says “the age factor increases for every quarter year of age through age 67”, and that “THERE IS NO AGE FACTOR BENEFIT BEYOND AGE 67”.
The two documents do not agree on the General headline formula. The handbook says “The Tier 6 retirement benefit formula for general members is generally known as 2.5% at age 67”, while the Plan Summary (the later edition by its printed dates) lists “General: 2% at age 62” for General members. For Safety the summary lists “Safety: 2.7% at age 57”, matching the handbook. The handbook’s own General age table, used below, runs from a factor of 0.01000 at age 52 to 0.02000 at age 62 and 0.02500 at age 67. Which headline is current should be confirmed with StanCERA.
| Retirement age | Age factor in the handbook table | Monthly allowance for 20 years of service and $4,800 monthly pensionable compensation |
|---|---|---|
| General, age 52 | 0.01000 | $960 (computed) |
| General, age 55.50 | 0.01350 | $1,296 (handbook’s printed result is $1,296) |
| General, age 62 | 0.02000 | $1,920 (computed) |
| General, age 67 | 0.02500 | $2,400 (computed) |
| Safety, age 55.50 | 0.02550 | $2,448 (handbook’s printed result is $2,448) |
The handbook’s printed example reads “Factors: Age 55.50; years of service 20; Monthly Pensionable Compensation $4,800” and gives “Monthly Retirement Benefit = .0135 x 20 x 4800 = $1,296”. For Safety it prints “Monthly Retirement Benefit = .0255 x 20 x 4800 = $2,448”. A computed check: 0.0135 times 20 years times $4,800 is a computed $1,296, and 0.0255 times 20 times $4,800 is a computed $2,448, both matching the handbook. The other three rows are computed examples from the same example inputs of 20 years and $4,800, not StanCERA figures for any member: only the age factor, read from the handbook’s General table, changes. The same service and pay produce a computed $960 a month at 52, $1,920 at 62 and $2,400 at 67.
Leaving before retirement: refund, deferred, or reciprocity
The summary lays out the basic paths. “Any member leaving StanCERA employment may choose to leave their contributions on deposit which will accrue interest.” “A member who is vested upon termination has the option of applying for retirement on a future date.” “Alternatively, a refund of member contributions and refundable interest may be requested upon termination (employer contributions are not refundable).”
The handbook names three routes. The refund is the first. The second is reciprocity, open to members who are “employed and covered by a reciprocal retirement system within 6 months after the employee leaves employment within StanCERA”. The third is a deferred retirement for those who “have completed five or more years of service”. For a deferred member the handbook adds a timing warning: “IF YOU ARE ON DEFERRED RETIREMENT-NON-TRANSFER STATUS YOU SHOULD NOT WAIT PAST YOUR 67th BIRTHDAY TO APPLY FOR REGULAR SERVICE RETIREMENT BENEFITS” (General), and “IF YOU ARE ON DEFERRED RETIREMENT-NON-TRANSFER STATUS YOU SHOULD NOT WAIT PAST YOUR 57th BIRTHDAY TO APPLY FOR REGULAR SERVICE RETIREMENT BENEFITS” (Safety).
Taking a refund: what it ends
“All Tier 6 members are eligible to have their contributions refunded to them upon termination.” “If you choose to be refunded, you waive all other retirement benefits and will NOT receive a benefit of any employer paid monies.”
That is the cost of the decision: the refund returns the member’s own money and gives up the lifetime benefit and the employer’s share. The two documents give no interest rate for refundable interest, no payout timetable and no spousal consent rule for a refund, so each of those is a question for StanCERA before filing. For the general trade-off between cashing out and leaving the money in, see pension refund versus leaving it.
Reciprocity: moving to another public system
A member who elects reciprocity cannot cash out meanwhile. “YOU ARE NOT ELIGIBLE TO WITHDRAW YOUR RETIREMENT CONTRIBUTIONS, WHICH ARE ON DEPOSIT WITH STANCERA, UNTIL YOU LEAVE AND WITHDRAW FROM THE RETIREMENT SYSTEM TO WHICH YOU TRANSFERED.”
The handbook gives the advantage: “Upon retirement, both systems will use the highest final average salary and you can use the years of service from both systems to meet one or both retirement systems’ minimum qualifications for retirement benefits (vesting requirements).” The limit: “When calculating actual retirement benefits, each system will use its own unique formula with the years of service within its own system.”
Buying back service credit
The handbook describes two buybacks. For a refunded period, a member can add that service by “re-depositing your withdrawn contributions plus the interest the contributions would have earned had you left the money on deposit within the Association from the date of refund to the date of full redeposit/payoff”. For earlier part-time or extra-help work, “the dollars which were paid to you as a part-time employee are added up on a month-by-month basis. The total made each month is multiplied by your contribution percentage to derive your basic contribution”, and “interest is added from your date of entrance into membership until the amount is paid off in full”. “Most Personal Service Contracts do not allow for retirement benefits or the purchase of time for retirement service credit.”
Some lost service can be restored. “If the leave of absence was due to illness, you may reinstate up to 1 year (2,080 hours) per leave to count towards your retirement service credit.”
The handbook prints no price for a buyback. To weigh a purchase against the pension it adds, the pension buyback calculator sets out the break-even arithmetic.
Applying to retire and the paperwork
“The first step is to complete an application packet for retirement and submit it to StanCERA.” On timing, the handbook cites the statute: “a member’s retirement date cannot be effective earlier than the official date the retirement application is filed with the Retirement Board, and not more than 60 days after filing the application”. “Domestic partners must be registered with the California Secretary of State at least one year prior to retirement.” “StanCERA benefits are considered community property.”
After a divorce, the packet list includes: “Court endorsed settlement agreement, if the member had a dissolution of marriage (divorce) prior to retirement” The summary adds that “StanCERA must be notified and joined in any pending dissolution of marriage/registered domestic partnership before any benefits are paid”.
The retirement payment options
The handbook calls the formula result the Unmodified allowance and builds the other options from it. The table summarizes each option and what a survivor receives.
| Option | What the member receives | What a survivor receives |
|---|---|---|
| Unmodified | The full formula allowance | 60% lifetime continuance to a spouse or registered domestic partner of at least one year; with no spouse, a declining lump sum of remaining contributions (if any) to nominated beneficiaries |
| Option 1 | A slightly lower allowance | A declining lump sum remainder of contributions (if any) to beneficiaries |
| Option 2 | An actuarially reduced allowance, the lowest of the options | 100% continuance for one beneficiary’s lifetime |
| Option 3 | An actuarially reduced allowance, the second lowest of the options | 50% continuance for one beneficiary’s lifetime |
| Section 31810 modification | A higher allowance before age 62 and a lower one from 62 on | No change to the beneficiary’s payments |
Neither document prints the size of any reduction, so a formal quote from StanCERA for each option is the only way to price the survivor protection. The general trade-off is covered on single-life versus joint-and-survivor pension.
What each option does for a survivor
Unmodified: “If you have chosen your spouse/registered domestic partner as your beneficiary and you have been married/registered to this spouse/domestic partner for at least one year prior to retirement, this spouse/domestic partner will receive a 60% lifetime continuance of your unmodified monthly retirement allowance if the spouse/domestic partner is still married/registered to you at the time of your death and there have been no intervening marriages/registrations between the date of your retirement and the date of your death” “If upon retirement your spouse/registered domestic partner subsequently dies or you get divorced and you do not have any minor children upon your death, NO ONE will receive the monthly continuance.”
Option 2: “Your allowance will be the lowest of all of the options available and will not increase if your beneficiary dies before you do and is thereby ineligible for the monthly continuance.” “There are no alternate beneficiaries.” “Whenever a non-spousal beneficiary is more than ten years younger than the member, the continuance percentage is actuarially adjusted.”
Option 3: “Your allowance will be the second lowest of all of the options available and will not increase if your beneficiary dies before you do and is thereby ineligible for the monthly continuance.” “If your beneficiary does survive after you, then the beneficiary will receive 50% of your monthly allowance as it was at your death plus any future cost of living increases, which you would have received.”
A computed example from assumed figures, not StanCERA figures: suppose the Unmodified allowance is an assumed $2,000 a month. An eligible spouse then gets 60% of $2,000, a computed $1,200 a month. If Option 2 reduced the allowance to an assumed $1,700 (StanCERA does not print the reduction), the member would give up a computed $300 a month while alive, and a surviving beneficiary would receive 100% of $1,700, a computed $1,700. If Option 3 reduced it to an assumed $1,850, a beneficiary would receive 50% of $1,850, a computed $925. A real quote replaces every assumed input. See also survivor benefit with a government pension.
What is irrevocable
The handbook states the lock-in expressly for one option: “Choosing Option 2 at the time of retirement is an irrevocable election and cannot be changed after retirement.” Its descriptions of Unmodified, Option 1 and Option 3 do not use the word irrevocable, and the pages read do not say whether those choices can be changed after retirement. Confirm that with StanCERA before signing.
Section 31810 is a separate choice about timing, not survivors. “A member may receive an increased monthly allowance before age 62 (earliest possible receipt of Social Security benefits) and then take a reduced monthly allowance at age 62 and after for the rest of the member’s life.” “THIS OPTION DOES NOT ALTER ANY MONTHLY PAYMENTS TO YOUR BENEFICIARY.” “In order to calculate your modified allowances precisely, StanCERA will need a current written estimate of your Social Security benefits payable.”
Lump sums and payouts of unused leave
The two documents read do not describe a lump-sum retirement option, a partial lump sum or a deferred retirement option plan (DROP). Lump sums appear in the refund, in the declining remainder under Unmodified and Option 1, in a lump sum death benefit option when a member with five or more years of service dies while employed, and in the $5,000 retiree death benefit.
Unused vacation and sick leave are a separate payout: “StanCERA does not process your lump out of unused vacation or sick time.” “The lump out is processed through your employer’s normal payroll process in accordance with your particular bargaining unit memorandum of understanding (MOU).” Ask the employer’s HR office about both.
Cost-of-living adjustments
“Since 1971, retirees have been receiving cost of living adjustments to their retirement allowances with a maximum cap of 3% per year.” The summary is more cautious: “While not guaranteed, increases may be up to 3% annually.”
What the IRS adds on tax
A refund or lump sum from a public pension is a distribution, so the IRS rules apply on top of StanCERA’s own. On withholding, the IRS says that a taxable eligible rollover distribution paid to you “is subject to mandatory income tax withholding (generally at a rate of 20%), even if you intend to roll it over later”, and that if you roll it over yourself “you’ll have to add funds from other sources equal to the amount withheld”. The two StanCERA documents read do not describe a rollover election or tax withholding on a refund, so the paperwork StanCERA supplies at filing is where to confirm how a refund is paid and what is withheld. For the general rule see 20% withholding on a pension lump sum. The rollover clock, if the money is paid to you: “you have 60 days from the date you receive it to roll it over to another eligible retirement plan”.
On early distributions the IRS says “the law imposes a 10% additional tax on certain early distributions from certain retirement plans”. Its list of exceptions includes “Distributions made to you after you separated from service with your employer after attainment of age 55” and “Distributions made to a qualified public safety employee from a governmental plan” if the employee separated from service during or after the year they attained age 50 or 25 years of service under the plan, whichever is earlier. Whether an exception fits a particular refund depends on your own plan and facts, so confirm it with a tax preparer before you take one.
Where the sources disagree
The handbook (created 2017) gives the General Tier 6 formula as 2.5% at age 67, with an age table ending at 0.02500 at 67. The Plan Summary (edition 07.22) lists General as 2% at age 62. The handbook’s table also reaches 0.02000 at 62, but neither document explains the difference between the two headlines.
What this page could not settle
- The two documents read do not state how much Option 1, Option 2 or Option 3 reduces the monthly allowance.
- The documents read do not state the interest rate credited to contributions, on deposit or in a refund, or how long a refund takes.
- The documents read do not state a spousal consent requirement for a refund or for naming a non-spouse beneficiary.
- The documents read do not describe a rollover election, a refund withholding rate or the tax notice StanCERA gives with a refund.
- The documents read do not describe a lump-sum retirement option, a partial lump sum or a DROP.
- The documents read do not give a price for any buyback, only the method.
- The Tier 2 and Tier 5 handbooks, the reciprocity handbook, StanCERA’s refund and buyback forms, and its calculators were not read for this page.
Common mistakes
- Taking a refund without weighing what ends; the handbook says a refund waives all other retirement benefits and pays none of the employer’s money.
- Choosing Option 2 and assuming the beneficiary can be swapped or the allowance restored; the handbook says Option 2 is irrevocable, the allowance does not rise if the beneficiary dies first, and there is no alternate beneficiary.
- Waiting past the age where the age factor stops rising; the handbook says there is no benefit increase past 67 for General members or 57 for Safety members.
- Taking an action before filing the paperwork; the handbook says forms must be filed before any action is taken.
- Assuming the retirement date can be backdated; the application can set a date no earlier than the filing date.
Related on this site: California retirement taxes, does California tax pensions, pension refund versus leaving it, single-life versus joint-and-survivor pension, pension buyback calculator, 20% withholding on a pension lump sum, pension lump sum versus monthly annuity break-even, survivor benefit with a government pension and public pension retirement decisions by system.
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Answer againSources
- StanCERA, Tier 6 Information: 1937 Act Retirement System (member handbook, created 03-02-17) (PDF): https://content.stancera.org/wp-content/uploads/2024/01/Tier-6-FINAL-Handbook.pdf
- StanCERA, Tier 6 Plan Summary (PDF, edition 07.22): https://content.stancera.org/wp-content/uploads/2024/01/T6-SUMMARY.pdf
- IRS, Topic no. 413, Rollovers from retirement plans (irs.gov): https://www.irs.gov/taxtopics/tc413
- IRS, Topic no. 558, Additional tax on early distributions from retirement plans other than IRAs (irs.gov): https://www.irs.gov/taxtopics/tc558
Sources: the primary documents linked above, read on October 7, 2026. General information from each system’s own published materials, not legal, tax or financial advice. Your own member statement and the system’s current rules decide your benefit, and a pension counsellor at the system or a fee-only adviser is the right place to confirm anything consequential.