Calculating a Reduced Pension For Early Retirement

Let’s say Ashley wants to retire at age 58, but her earliest unreduced retirement date based on her 5 years of eligibility service is age 65. She can still retire, but her pension will be reduced by 6% for each year she retires before age 65. Since Ashley wants to retire seven years before age 65, her pension will be reduced as follows:

For service after June 30, 2015

$6,619 x (100% - 42%)

 

Ashley’s reduced pension: $3,839 per year, or $320 per month

Let us do the math for you!

It’s easy to get a personalized estimate of how much your pension could be! Simply log in to MySTF and go to the Pension Estimator.

Pension Estimator