Normal (full-formula) Retirement Benefits are Calculated as Follows:
Final Average Salary |
X |
.0161 (Formula Factor) |
X |
Years of Credit |
= |
Option 1-Single Life Monthly Benefit |
Example: $2,000 |
X |
.0161 |
X |
25 |
= |
$805 |
If you are eligible for the additional temporary .8% benefit, it is calculated as follows and would be added to the permanent portion of your monthly benefit until you reach age 62.
Final Average Salary |
X |
.008 (Temporary Benefit) |
X |
Years of Credit |
= |
Option 1-Single Life Monthly Benefit |
Example: $2,000 |
X |
.008 |
X |
25 |
= |
$400 |
Retirement benefits are based on a formula consisting of three factors:
1. Final Average Monthly Salary is determined by adding your three highest consecutive annual salaries (including board paid health, dental and vision insurance), and dividing the total by 36.
2. Applicable Formula Factor is set by the Missouri Legislature and based on a member’s age and/or years of credit.
3. Years of Credit include credit earned for PEERS-covered service and any credit you may have reinstated and/or purchased for other service, as permitted by law.
