MSRS - Disability Benefit Calculation Example

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Last Updated: 05/27/2009

Home >> Correctional Plan >> Disability Benefit Calculation

Disability Benefit Calculation Example

Disability benefits under the Correctional Employees Retirement Plan are different depending on whether or not your disability is job related or not job-related. If your disability benefit is job related, your benefits are credited as if you have 20 years, 10 months of service which generates a benefit of 50 percent of your high- five average salary. If you have more than 20 years, 10 months of service, you receive 2.4 percent for each year of service. If your disability is not job related, you are entitled to a minimum benefit based on 15 years of service, which generates 36 percent of your high-five average salary. If you have has more than 15 years of service you receive 2.4 percent for each year of service.

Job-Related Disability Benefits Calculation:

Example 1
High-Five Average Salary	$ 36,000 ($3,000 per month)
Years of Service	10 years
Age at Disability	35 years
$3,000	Monthly average salary
x 50%	Minimum job - related disability formula
$1,500	Monthly Disability Benefit

Example 2
High-Five Average Salary	$ 36,000 ($3,000 per month)
Years of Service	25 years
Age at Disability	49 years
$3,000	Monthly average salary
x 60%	25 years x 2.4%
$1,800	Monthly Disability Benefit

Non Job-Related Disability Benefits Calculation:

Example 1
High-Five Average Salary	$ 36,000 ($3,000 per month)
Years of Service	10 years
Age at Disability	35 years
$3,000	Monthly average salary
x 36%	Minimum non job - related disability formula
$1,080	Monthly Disability Benefit

Example 2
High-Five Average Salary	$ 36,000 ($3,000 per month)
Years of Service	25 years
Age at Disability	49 years
$3,000	Monthly average salary
x 60%	25 years x 2.4%
$1,800	Monthly Disability Benefit

How your MSRS benefit may impact benefits payable from Workers' Compensation
If you qualify for MSRS disability and receive Workers' Compensation because of your disability, your Workers' Compensation benefit likely will be reduced by the amount of the disability benefits payable from MSRS. MSRS will pay your entire disability amount, and Workers' Compensation likely will apply the reduction.

How your MSRS benefit may impact benefits payable from your Long-Term disability insurance plan
If you purchase an optional Long-Term Disability plan, the amount you are paid from MSRS may reduce the amount you are paid from your disability plan. Any amounts received from Social Security may also lower payments from your Long-Term Disability plan. For more information regarding your Long-Term Disability plan, state employees may contact Ochs, Inc., at (651) 665-3789 or (800) 392-7295.

f you would like an estimate of your MSRS disability benefit, you may contact MSRS.

Minnesota State Retirement System
60 Empire Drive, Suite 300, St. Paul, MN 55103-3000
Telephone: (651) 296-2761, Toll Free: (800) 657-5757, Fax: (651) 297-5238
E-Mail: info@msrs.us
Please do not include confidential information, such as social security numbers, in email
correspondence with MSRS.
An Equal Opportunity Employer