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PORS - Active Members
Service Retirement - General Information
Service Retirement
Annuity Formula
The following four-step formula is used to calculate your standard
monthly annuity (Option A payment plan).
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Step 1 |
Total your 12 highest
consecutive quarters of earnable compensation and divide by 3.
The
dollar amount of payment for up to 45 days of unused annual leave
paid by your last employer at retirement may be included before
averaging your 12 highest consecutive calendar quarters of earnable
compensation. The result of Step 1 is your average final
compensation (AFC).
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Step 2 |
Multiply the result of
Step 1 by 2.14 percent (.0214) for Class II service.
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Step 3 |
Multiply the result of
Step 2 by years, months, and days of creditable service.
Convert months to days and divide the total days by 360 to determine
a decimal equivalent for partial years. For example, 25 years, 2
months and 10 days equals 25 years, 70 days (60 + 10). 70 ÷ 360 =
.19. This amounts to 25.19 years of service.
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Step 4 |
Divide the result of
Step 3 by 12.
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Example
Average final compensation (AFC) = $25,000
Creditable retirement service = 25 years
$25,000 x 2.14% (.0214) = $535
$535 x 25 = $13,375 annual retirement annuity
$13,375 ÷ 12 = $1,114.58 standard monthly annuity
Approximate Percentages of Monthly Annuity at Retirement
The information
in the table below is based on the
standard monthly annuity (Option A payment plan). Choosing Options B or C to
provide a future annuity for beneficiaries will reduce the amount of your
monthly annuity.
|
Years of Service Credit |
Percentage |
| 25 |
54% |
| 30 |
64% |
| 35 |
75% |
| 40 |
86% |
Approximate Amount of Monthly Annuity at Retirement
The information
in the table below is based on the
standard monthly annuity (Option A payment plan). Choosing Options B or C to
provide a future annuity for beneficiaries will reduce the amount of your monthly annuity.
|
AFC |
Years of Service |
Additional Monthly Benefit for Each
Additional Year |
|
25 |
26 |
27 |
28 |
29 |
30 |
| $ 15,000 |
$ 669 |
$ 696 |
$ 722 |
$ 749 |
$ 776 |
$ 803 |
$ 27 |
| 20,000 |
892 |
927 |
963 |
999 |
1,034 |
1,070 |
36 |
| 25,000 |
1,115 |
1,159 |
1,204 |
1,248 |
1,293 |
1,338 |
45 |
| 30,000 |
1,338 |
1,391 |
1,445 |
1,498 |
1,552 |
1,605 |
54 |
| 35,000 |
1,560 |
1,623 |
1,685 |
1,748 |
1,810 |
1,873 |
62 |
| 40,000 |
1,783 |
1,855 |
1,926 |
1,997 |
2,069 |
2,140 |
71 |
| 45,000 |
2,006 |
2,087 |
2,167 |
2,247 |
2,327 |
2,408 |
80 |
| 50,000 |
2,229 |
2,318 |
2,408 |
2,497 |
2,586 |
2,675 |
89 |
| 55,000 |
2,452 |
2,550 |
2,648 |
2,746 |
2,844 |
2,943 |
98 |
| 60,000 |
2,675 |
2,782 |
2,889 |
2,996 |
3,103 |
3,210 |
107 |
| 65,000 |
2,898 |
3,014 |
3,130 |
3,246 |
3,362 |
3,478 |
116 |
| 70,000 |
3,121 |
3,246 |
3,371 |
3,495 |
3,620 |
3,745 |
125 |
| 75,000 |
3,344 |
3,478 |
3,611 |
3,745 |
3,879 |
4,013 |
134 |
| 80,000 |
3,567 |
3,709 |
3,852 |
3,995 |
4,137 |
4,280 |
143 |
| 85,000 |
3,790 |
3,941 |
4,093 |
4,244 |
4,396 |
4,548 |
152 |
| 90,000 |
4,013 |
4,173 |
4,334 |
4,494 |
4,655 |
4,815 |
161 |
| 95,000 |
4,235 |
4,405 |
4,574 |
4,744 |
4,913 |
5,083 |
169 |
| 100,000 |
4,458 |
4,637 |
4,815 |
4,993 |
5,172 |
5,350 |
178 |
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