Retirement Plans at a Glance
The Company offers two benefit plans that help you plan and save for your financial security after your retirement:
  • The Pacific Gas and Electric Company Retirement Plan
    • The Retirement Plan is a "defined benefit" plan, which means eligible participants receive a fixed pension benefit that is based on a defined formula. There are two retirement benefit formulas that may apply, based on your employment date and, in some cases, your benefit election. These formulas are:
      • The Final Pay Pension formula, for employees who were participants in the Retirement Plan prior to January 1, 2013; and
      • The Cash Balance Pension formula, for employees who were hired after January 1, 2013 or employees who elected a Cash Balance Pension during the one-time pension choice period offered in 2013.
    • If you elected the Final Pay Pension formula, the Retirement Plan will pay you a monthly income based on your years and months of credited service and your pay when you retire at age 55 or later.
    • Under the Retirement Plan's Cash Balance formula, you can receive your vested cash balance account in a one-time lump sum payout or as a monthly paid annuity payable for your lifetime at any time beginning the first of the month after your employment ends.
    • For either formula option:
      • The benefit does not increase with inflation or otherwise over time; it is a fixed monthly amount for your lifetime.
      • You may also elect a pension payment option which will continue payments to your spouse or another named beneficiary after your death.
  • The PG&E Corporation Retirement Savings Plan for Union-Represented Employees
    • The plan is a 401(k) plan, or a "defined contribution" plan. Eligible participants receive Company contributions made to the plan based on a defined matching contribution schedule.
    • A participant's benefit varies with the amount of personal and Company contributions made to the plan as well as investment gains and losses on these contributions.
    • When you participate in the Retirement Savings Plan (RSP) for Union-Represented Employees, the Company provides you access to Financial Engines — an unbiased, independent advisory firm offering RSP participants support and assistance in making RSP investment decisions.
More Retirement Plan Highlights
  • Participation in the Retirement Plan begins on your first day with the Company; there is no waiting period to begin earning a benefit. See the "Participating in the Cash Balance Pension" and the Participating in the Final Pay Pension Benefit sections for information regarding eligibility to participate.
  • In the event of your death while you are employed, the Retirement Plan may provide a benefit for your spouse or another beneficiary you designate.
  • Under the Retirement Plan's Final Pay Pension formula, you earn a pension benefit based on your pay and your years of credited service at retirement.
  • Under the Retirement Plan's Cash Balance Formula, you can receive your vested cash balance account in a one-time lump sum payout or as a monthly paid annuity payable for your lifetime at any time beginning the first of the month after your employment ends.
  • You may retire under the Final Pay Pension formula as early as age 55, but the benefits will be reduced for early retirement unless you have enough credited service to qualify for an unreduced pension. If you retire before age 65 and have at least 30 years of credited service, there will be no reduction in your monthly pension benefit for early retirement.