Benefit Formula

There are several factors used to determine your retirement benefit. First we consider your length of service. Then we calculate your high-five average salary, using your highest five years of salary. We take your years and months of service and convert these to a percentage using a formula.

Under the retirement formula, you receive 3% for each year of service. For example, if you have 25 years of service, you would receive 75% of your high five salary.

Example of how we calculate your full retirement benefits using a formula:

 

The assumptions

  Age at retiremet

  55

  Allowable service

  25 years

  Average monthly salary

  $5,000

  Benefit payment option

  Single-Life

The calculation

   25 years x 3% = 75%

   $5,000 (your average monthly salary)
      X 75%

   $3,750 per month


 

Full retirement benefit
Full retirement age is 55. This means if you retire at age 55, there is no reduction in your monthly benefit. We call this an unreduced benefit.

 

Early retirement reduction
If you retire before full retirement age, your monthly benefit is reduced by an early retirement factor.


For more detail
If you would like more information about your benefit calculation and the early retirement factors, please contact MSRS at 1-800-657-5757, or see the State Patrol Retirement Handbook.