§ 21351 Retirement Annuity Calculation

• •When you retire, the money you get each year is based on how much you put in while working.
• •The amount you get is calculated to be fair, like spreading out your savings over time.
• •You don’t get more or less than what you saved—just a steady amount.

You worked for 30 years and saved $300,000 in your retirement fund.

When you retire, instead of getting all $300,000 at once, you get smaller payments each year (like $20,000 a year) based on how long you’re expected to live. This way, your savings last your whole retirement.