Thank you for visiting MOSERS online. My name is Bette Rovik, and I am a Senior Benefit Counselor here at MOSERS. In this video, I will discuss how your retirement benefit is calculated including the factors which affect the amount of your Base Benefit and possible Temporary Benefit, and how you can get an estimate of your MOSERS benefit amount.

First of all, how is your retirement benefit calculated? When you are eligible for retirement, your Base Benefit is calculated using a formula that takes into account three factors, which are multiplied together:

• Final Average Pay (or FAP);
• A Multiplier; and
• Credited Service.

If you become eligible for retirement under the Rule of 80 (that is, if the combination of your age and service totals 80 or more), you could receive a Temporary Benefit until age 62, in addition to the Base Benefit. The formula for calculating the Temporary Benefit is the same as the formula for calculating your Base Benefit, with one difference: the Multiplier is set at point 8 percent, instead of 1.7%.

The first factor, Final Average Pay, takes into account your entire pay history. Although the term includes the word “FINAL,” this factor is actually based on your HIGHEST 36 consecutive months, whenver that occurs during your career. Only your gross salary, without any deductions, is used.

The second factor, the Multiplier, is set by the Missouri General Assembly. The Multiplier for the Base Benefit is 1.7%. and 0.8% for the Temporary Benefit.

Your retirement benefit also takes into consideration the amount of Service Credit you have accumulated, the third factor in the formula. You earn one day of Service Credit for each day worked. There are also other ways to acquire additional service, including active duty military service or other public service in Missouri. In general, the more service you have, the higher your benefit amount.

Sick Leave may also apply to your benefit amount. For every 168 hours of Sick Leave you have accrued but not used, you will receive one more month of service to increase your benefit amount. Sick Leave does not affect your eligibility to retire. Here is an example: Let’s say that your Final Average Pay was $2000 and you had 23 ½ years of credited service. Your monthly Base Benefit would be calculated by multiplying $2,000 (your FAP) times 1.7% (the Base Benefit multiplier), times 23 ½ years (your credited service) for a monthly Base Benefit of $799.

If you were under age 62 at retirement and qualified using the Rule of 80, you would also receive a monthly Temporary Benefit. The Temporary Benefit is calculated using your FAP, times the multiplier for the temporary benefit (point 8 percent), times your credited service including sick leave, for a monthly Temporary Benefit of $376. The Temporary Benefit ($376) is added to the Base Benefit ($799) until age 62 for a total monthly benefit of $1175. The Temporary Benefit ends at age 62 but the Base Benefit continues to be paid every month for the rest of your life.

To find out when you are eligible for retirement and to get an estimate of your benefit, please contact a Benefit Counselor at (800) 827-1063 or visit our website at www.mosers.org. On our website, request a password so you have access to your personal benefit information online. You will also receive a yearly benefit statement from MOSERS, indicating your eligibility date and approximate benefit amount.

Let’s review what has been discussed: your monthly Base Benefit is calculated using the formula of your Final Average Pay, times 1.7% Multiplier, times your Creditable Service. If eligible, you can also receive the Temporary Benefit, payable until age 62, which is calculated using the formula of Final Average Pay, times 0.8% Multiplier, times Creditable Service. Unused sick leave you have accrued also counts toward additional Service Credit. You get a month of service for each 168 hours of unused Sick Leave.

I hope you find this information helpful. For additional information regarding your MOSERS benefits, I encourage you to explore our website. In addition to videos, the MOSERS website contains other benefit information, such as forms, handbooks and brochures, and provides secure access to your personal data through our Member Login.

Thank you