Eligibility Service vs. Contributory Service: What’s the Difference?

Understanding how service is defined in your pension plan is key to making informed decisions about your retirement. So, what’s the difference between eligibility service and contributory service?

Eligibility Service
Eligibility service determines when you can retire with an unreduced pension. Contract teachers, whether on a full contract or partial contract, receive full eligibility service for each month worked in the school year, up to 10 months (one school year). For example, if your contract is 50 per cent and you work 10 months in the school year, you will get a full year of eligibility service for that year.

Substitute teachers accrue eligibility service based on the actual number of days they work in the school year. For example, if you substitute teach five days every month for 10 months, your eligibility service is 0.25 years.

Your earliest unreduced retirement date is the earliest of:
• 30 years of eligibility service (no minimum age)
• Your age + eligibility service = 85 (minimum age 55)
• Age 60 + at least 20 years of eligibility service
• Age 65

Contributory Service
Contributory service determines the amount of your pension benefit at retirement. Contract teachers and substitute teachers accrue contributory service based on the actual number of days they work in the school year. For example, a 50 per cent contract over a full school year equals half a year of contributory service.

Because contributory service directly impacts your pension calculation, increasing it is one of the most effective ways to enhance your retirement income.

Want to know how much eligibility service versus contributory service you have? Log in to your MySTF account to view your most recent annual pension statement.