Retirement for Tier 1 Members
When you meet the minimum qualifications for a Formula Pension, you will also qualify for a lifetime spousal/domestic partner continuance, an annual cost-of-living adjustment (up to 3%) based on the Consumer Price Index, and a death benefit (maximum $20,000). You may also qualify for a health plans subsidy. With these valuable benefits, it is important for you to understand the minimum requirements as you progress through your career at the Department.
To qualify for a Formula Pension under Tier 1, you must meet the following:
- You are at least 60 years old and you have at least 5 years of Qualifying Service immediately prior to reaching eligibility, OR
- You are at least 55 years old and have at least 10 years of Qualifying Service immediately prior to reaching eligibility, OR
- You have 30 years of Qualifying Service, regardless of your age, OR
- You are receiving Permanent Total Disability Benefits from the Plan, regardless of your age.
TIER 1 FORMULA
If you meet one of the minimum qualifications, we will apply a formula to calculate your monthly retirement allowance. The formula is based on your:Service Credit with the Plan x
Highest One-Year Average Salary x
Retirement Factor x
Early Retirement Reduction Factor
In Tier 1, there are only 2 Retirement Factors (2.1% or 2.3%). To be eligible for a Retirement Factor of 2.3%, you must be at least 55 years old and have 30 years of Qualifying Service Credit. If you don’t have both, but you qualify to retire, then your Retirement Factor is 2.1%.Highest One-Year Average Salary x
Retirement Factor x
Early Retirement Reduction Factor
To learn more about the retirement formula and the minimum qualifications, please watch our
short video or review the Summary Plan Description. VESTING
If you don't meet the minimum qualifications for a Formula Pension, you may still qualify for a Vested Retirement. Please see the section on Vesting.