62-5 SPD:62/5 SPD.qxd - NYCERS

SUMMARY PLAN DESCRIPTION - 62/5 TIER 4 MEMBERS VERSION APRIL 2012CALCULATING YOURRETIREMENT BENEFITMembers in the 62/5 Plan must be at least age 62 and have five or more years of Credited Service,of which two years is Membership Service, to be eligible to receive an unreduced ServiceRetirement Benefit. Each year of service is calculated at a certain percentage contingent uponthe years of Credited Service you've accumulated. The calculation is as follows:Members with less than 20 years of Credited Service1 .67% for each yearMembers with 20-30 years of Credited ServiceMembers with more than 30 years of Credited Service2% for each year2% for each year up to 30 years, PLUS 1.5%for each year in excess of 30LR: Chapter 266 of the Laws of 1998SR: RSSL §604 subdivisions a,b and cAt retirement, the number of years of Credited Service you have will be confirmed and the MaximumRetirement Allowance payable to you will be calculated by multiplying:Years of Credited Service X Applicable percentage X Final Average SalaryThe following table illustrates hypothetical Maximum Retirement Allowances for members in the62/5 Plan with 16-25 years of Credited Service. The table assumes a range of Final AverageSalaries (calculating Final Average Salary is discussed on the next page). Meeting the 20-yearthreshold allows members to attain a higher benefit calculation, since reaching 20 years ofCredited Service increases the calculation to 2% for each year. It is urged that you pay particularattention to the difference between the Maximum Retirement Allowance of a member with19 years of Credited Service and a member with 20 years of Credited Service.EXAMPLES OF MAXIMUM RETIREMENT ALLOWANCESYEARS OF SERVICEIF YOU MAKE BETWEEN $60,000 - $90,000FINAL AVERAGE SALARY$60,000 $65,000 $70,000 $75,000 $80,000 $85,000 $90,00016 $16,000.00 $17,333.33 $18,666.67 $20,000.00 $21,333.33 $22,666.67 $24,000.0017 $17,000.00 $18,416.67 $19,833.33 $21,250.00 $22,666.67 $24,083.33 $25,500.0018 $18,000.00 $19,500.00 $21,000.00 $22,500.00 $24,000.00 $25,500.00 $27,000.0019 $19,000.00 $20,583.33 $22,166.67 $23,750.00 $25,333.33 $26,916.67 $28,500.0020 $24,000.00 $26,000.00 $28,000.00 $30,000.00 $32,000.00 $34,000.00 $36,000.0021 $25,200.00 $27,300.00 $29,400.00 $31,500.00 $33,600.00 $35,700.00 $37,800.0022 $26,400.00 $28,600.00 $30,800.00 $33,000.00 $35,200.00 $37,400.00 $39,600.0023 $27,600.00 $29,900.00 $32,200.00 $34,500.00 $36,800.00 $39,100.00 $41,400.0024 $28,800.00 $31,200.00 $33,600.00 $36,000.00 $38,400.00 $40,800.00 $43,200.0025 $30,000.00 $32,500.00 $35,000.00 $37,500.00 $40,000.00 $42,500.00 $45,000.00SERVICE RETIREMENTWWW.NYCERS.ORG39