SBCERA Cover Story

Ok, so you’ve signed your retirement application and other required forms and submitted them to SBCERA, notified your employer that you are retiring, and are quickly approaching your last day of work. In case you ever wondered what happens “behind the scenes,” here is a timeline that generally occurs from the last day on your employer’s payroll until you receive your first retirement check from SBCERA.

  1. Last day of work/on employer payroll. Your department’s payroll office will take you off employment payroll. From your employer, you will receive your final paycheck, which will be followed by payment for your unused vacation/holiday accruals. (Sometimes this is all on one check.)
  2. Final pay reported to SBCERA. Within two weeks of your last day of work/on employer payroll, your final pay will post in SBCERA’s system.
  3. Account audit. SBCERA’s Accounting Technicians perform a complete audit of your account to verify your total service credit, your Final Average Compensation (FAC), and ensure all employee and employer contributions have been paid.
  4. Retirement benefit setup. SBCERA’s Retirement Specialists complete the final benefit setup in our system. When you submitted your completed service application, your benefit set up was initiated. We entered your tax withholding and direct deposit information, so at this point the monthly benefit amount is entered and activated. You’re in the home stretch now!
  5. SBCERA runs payroll. SBCERA’s Fiscal Department runs the monthly benefit payroll, capturing all of our new retirees receiving their first benefit payment. Since direct deposit is required, and applies to most of our benefit recipients, your first benefit payment is submitted electronically to your bank. Your financial institution will post this electronic payment to your checking (or savings) account on the last business day of the month. (Remember: Your first retirement check is retroactive to your date of retirement, so it might be a bit (or a lot) larger than subsequent benefit payments.)
  6. Direct deposit advice. Following the payroll run, SBCERA either mails a paper direct deposit advice to your home or sends you an email notifying you that your benefit can be viewed in your Member Direct account. Even if you choose to receive a paper direct deposit advice, you can still view your pay information in your Member Direct account. The direct deposit advice provides a breakdown of your benefit (gross pay, deductions, net pay).
In general, this entire timeline of events occurs over just a few weeks. We hope this brief outline helps provide you with a better understanding of the transition and process between your last employment paycheck and your first retirement check from SBCERA.

Congratulations! Your lifetime monthly benefit has begun!