How the Superior Court VSIP May Affect Your LACERA Benefits
The information below is specific to your LACERA retirement benefits under the Superior Court’s Voluntary Separation Incentive Program (VSIP) program. For questions regarding the VSIP itself, including program eligibility, email AskHR@lacourt.org. For questions regarding your Horizons or 401(k) accounts related to the VSIP, call Empower Retirement at 800-947-0845.
The Los Angeles Superior Court announced that it is offering a new Voluntary Separation Incentive Program (VSIP) to Superior Court employees who meet the VSIP criteria and are approved for the program by the Superior Court. Beginning September 21, 2026, the VSIP offers a $35,000 one-time payment to current full-time, regular status Court employees with five or more years of continuous service who elect to resign. Approved employees must voluntarily separate on or before December 24, 2026, and will be ineligible for reemployment with the Court for one year. Please note that the VSIP is not offered by the County of Los Angeles or LACERA. The terms were determined by the Court, and the program neither requires nor prohibits eligible members from retiring.
If you are considering enrolling in the VSIP, it is important to understand how terminating service may impact your LACERA retirement benefits, including retiree healthcare benefits.
Options for Terminating Service
Any LACERA member who terminates service with their employer has four basic options for their LACERA benefits, described below with links to further information. You can:
- Service retire, if you meet the eligibility requirements, to receive lifetime benefits, including retiree healthcare. Separation (termination) from the Superior Court would allow you to elect a retirement date as early as the day after your separation date.
For more about service retirement, visit the Retirement Planning section on lacera.gov.
If you are considering returning to work with a LACERA employer after retiring, review the Return-To-Work page. Keep in mind that under the Court’s 2026 VSIP, approved employees are ineligible for reemployment with the Court for one year after separation.
- Terminate employment and leave your contributions on deposit with LACERA (contributory plans only; not applicable to Plan E members). You will be considered a deferred member, and you will be eligible to service retire when you decide to or meet the minimum requirements. You do not need to take any action to enter a deferred status with LACERA; it is automatic upon termination from active employment.
It’s important to know that it could negatively affect your beneficiaries if you pass away on a deferred status versus a service retirement. Please review the difference in death benefits to ensure you are making the best decision for your family members.
- Establish reciprocity with a reciprocal agency within six months of terminating service. Reciprocal systems protect employees’ earned retirement benefits when those employees transfer between participating agencies.
Please see lacera.gov for more information on establishing reciprocity.
- Withdraw your contributions, which would terminate your LACERA membership and forfeit all LACERA retirement benefits—including retiree healthcare, the right to apply for a disability retirement, and ability to establish reciprocity.
Read Pre-Retirement Withdrawal of Contributions on the Terminating Service page for more details on the process of withdrawing from membership and the impact of waiving your LACERA benefits.
Additional items to consider:
- Retiree Healthcare is a valuable and important part of planning for retirement. Visit Retiree Healthcare for program and plan details.
- Regardless of your termination decision, active members with enough service credit to retire and retired members should consider having a LACERA Special Power of Attorney on file with us. Visit the Special Power of Attorney page for more information.
If you have questions about any of your options, we strongly recommend speaking to a LACERA Retirement Benefits Specialist before making a final decision about terminating service.
How to Connect with Us
We are always here to help. Here's how you can reach us:
- Call us at 800-786-6464 between 7:00 a.m. and 5:30 p.m. (Pacific Time), Monday through Friday, except holidays.
- Make a virtual or in-person appointment.
- Log in to your My LACERA account to send us a secure email.
- Email us at welcome@lacera.gov with general questions.
