Employees Retiring After Age 60 or After Age. 58 with 30 or More Years of Service — Eligible employees who retire at age 60 or older or after age 58 with 30 or more years of service effective May 1, 2004 will have their retirement allowance calculated by the following normal retirement formula: Average high Years of Yearly 260 Weeks X 1.5% X Benefit Service = Retirement of Pay Allowance Effective January 1, 2011, the basis for the determining average 260 weeks of pay for determining final average compensation is the highest non-consecutive 260 weeks over the employee’s last 10 years. This definition of final average compensation will continue to be based on “normal compensation” for the employee’s standard work week (base pay, step-up pay for temporary promotions, premium pay shifts, work area differential, Sunday work premium, and cost-of-living allowance paid to certain employees), but it does not include any bonuses, overtime or other special pay. This definition of final average compensation will, however, include any lump sums paid in lieu of general increases from June 5, 1995 to June 7, 1999 and the 1% lump sum payments paid on June 3, 2003, June 3, 2002 and June 2, 2001. Lump sums paid in lieu of general increases after June 6, 2010, are included only if paid during the highest non-consecutive 260 weeks of eligible earnings during the last 10 years of credited service. With this change, the employee’s benefit will not be less than the employee’s accrued benefit as of December 31, 2010 calculated using the highest 260 weeks of pay over the employee’s career. If the eligible employee has less than 15 years of benefit service, the yearly retirement allowance begins at age 65.
Employees Retiring After Age 60 or After Age. 58 with 30 or More Years of Service — Eligible employees who retire at age 60 or older or after age 58 with 30 or more years of service effective May 1, 2004 will have their retirement allowance calculated by the following normal retirement formula: Average high Years of Yearly 260 Weeks X 1.5% X Benefit Service = Retirement of Pay Allowance Effective January 1, 2011, the basis for the determining average 260 weeks of pay for determining final average compensation is the highest non-consecutive 260 weeks over the employee’s last 10 years. This def- inition of final average compensation will continue to be based on “nor- mal compensation” for the employee’s standard work week (base pay, step-up pay for termporary promotions, premium pay shifts, work area differential, Sunday work premium, and cost-of-living allowance 76 paid to certain employees), but it does not include any bonuses, over- time or other special pay. This definition of final average compensation will, however, include any lump sums paid in lieu of general increases from June 5, 1995 to June 7, 1999 and the 1% lump sum payments paid on June 3, 2003, June 3, 2002 and June 2, 2001. Lump sums paid in lieu of general increases after June 6, 2010, are included only if paid dur- ing the highest non-conseuctive 260 weeks of eligible earnings during the last 10 years of credited service. With this change, the employee’s benefit will not be less than the employee’s accrued benefit as of December 31, 2010 calculated using the highest 260 weeks of pay over the employee’s career. If the eligible employee has less than 15 years of benefit service, the yearly retirement allowance begins at age 65.
