Retirement

Planning for retirement is one of the most important steps you'll take in your career. At NKY Health, we are committed to providing you with the resources you need to build a secure financial future. Your total retirement picture is made up of three main components: your NKY Health pension plan, your personal savings, and Social Security.

Here is an overview of the retirement benefits available to you:

1. 💼 Employer-Sponsored Retirement Plans

NKY Health offers two (2) distinct retirement plans to help you achieve your goals:

• Kentucky Public Pensions Authority (KPPA): This is a pension plan, meaning your retirement benefit is pre-defined by a formula based on factors like your years of service and salary, rather than solely relying on market performance.

  • Participation: Full-time employees are required by Kentucky statute to participate in KPPA (except in rare circumstances). Part-time employees are generally ineligible.

• Voluntary Retirement (401k, 457, etc.): This is a more traditional, market-based savings plan. Employees may elect to withhold money from their pay to invest in a 401(k), IRA, 457, or other qualified plan. The benefits received upon retirement are based on your contributions and the investment's market performance.

  • Participation: Any NKY Health employee is eligible to participate in our voluntary retirement plans.

2. 🛡️ The Third Pillar: Social Security

Social Security is a crucial part of your overall financial security, providing income replacement in retirement, as well as disability and survivor benefits. It is funded through FICA payroll taxes paid throughout your working years.

Think of Social Security as the foundation upon which your KPPA and Voluntary Retirement savings are built.

We encourage all employees to:

• Check Your Statement: Access your my Social Security account on the official SSA website to view your detailed earnings history and get an estimated benefit projection.

• Plan Ahead: Understand that the age you choose to start receiving benefits will significantly impact your monthly payout.

Learn More About Social Security

We have a dedicated page with helpful links and educational resources to guide you in understanding and claiming your Social Security benefits when the time is right.