Calculating 25-and-Out Service Retirement Benefits

25-and-Out early retirement benefits are calculated using this formula:

Benefit FactorXFinal Average SalaryXYears of Service=Lifetime Single Life Benefit

Benefit Formula Components

  • The Benefit Factor is set by law. For 25-and-Out early retirement, the benefit factor corresponds to your years of service at retirement, and ranges from 1.51% to 1.59%. View Benefit Factors
  • Final Average Salary is a monthly average of your three highest consecutive years of PEERS-covered salary (including employer-paid health, dental and vision insurance premiums).
  • Years of Service includes the number of years of service you have earned, reinstated and purchased with PEERS.
  • The Lifetime Single Life Benefit is the highest lifetime monthly benefit. It does not provide any monthly payments for your beneficiaries after your death. Learn more
25-and-Out Benefit Factors
 Years of Service
Benefit FactorAt LeastBut Fewer Than