A retirement age is the age at which a vested member can begin to draw a monthly benefit. Members have both early and a normal retirement ages and some may also be covered under an additional early retirement provision called the Rule of 80.
Normal Retirement age is the age in which a vested LAGERS member may retire with no reduction in his or her monthly benefit. A general employee’s normal retirement age is 60 and a police officer or fire fighter’s normal retirement age is 55.
**Police and fire department employees are any regular or permanent uniformed employee of a police or fire department. Any civilian employees of these departments and all other employees not meeting the statutory definition are classified as general employees for LAGERS purposes.
Every vested LAGERS member may elect an early retirement. Early retirement allows a member to retire up to five (5) years before normal retirement age. For a general employee, he or she could retire at age 55, for a police or fire fighter, age 50.
Benefits received under an early retirement are reduced by half a percent (0.5%) for each month the benefit is drawn prior to the member’s normal retirement age (6% reduction per year early).
The reduction in the monthly benefit is permanent and does not increase to the unreduced amount upon attainment of a member’s normal retirement age.
Rule of 80 is an alternate retirement provision that can be elected by each employer to provide an unreduced early retirement age. This option must be elected by each employer and may not benefit all employees.
To be eligible for a Rule of 80 Retirement, the sum of an employee’s age and service credit must total the number 80.
For example: Age at Hire: 20 years old
30 years of service + 50 years old = Rule of 80 Retirement Age
If your Rule of 80 Age is greater than your Normal Retirement Age, you are still eligible to retire when you've attained your Normal Retirement Age.
To be eligible for a Rule of 80 Retirement, he or she must go directly from service to retirement. Deferred retirements do not qualify under Rule of 80.