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Types of Purchases

Various types of service purchases are available to eligible members. Some are based on previous non-PSRS-covered employment or time away from work, with the cost calculated by formula. Others are based on a previous leave from your PSRS-covered work, with the cost based on missed contributions.

Formula-Based Purchases

Many service purchases are based on previous non-PSRS-covered employment or time you had away from work. The cost is calculated using a formula set by Missouri law. For a good estimate, use our online purchase cost estimator.

Leave-Based Purchases

Some purchases are based on a previous leave of absence. The cost is based on contributions you would have made if you had been working during the time you were on leave. Specific applications and deadlines apply for each type of purchase. The best way to get an accurate estimate of costs for these purchases is to contact our office.

  • Formula-Based Purchases

    The Basic Purchase Cost Calculation is used to determine the cost of these types of purchases.

    Purchase Cost Calculation Formula

    You can estimate your cost using our online Service Purchase Calculator

    One factor to help you determine if purchasing or reinstating service will be cost-effective is to determine the time it will take to recover the cost in the form of monthly retirement benefits. You can use our Purchase Cost Recovery Calculator to determine this point.

    Active Duty Military Leave

    • Service for a military leave before or during your PSRS membership
    • Requires an honorable discharge
    • If your service occurred after December 11, 1994, it may be less expensive to purchase it under the USERRA leave purchase provision.

    Request more information »

    Maternity or Paternity Leave

    • Service for time spent on maternity or paternity leave from a PSRS-covered employer
    • Requires a return to PSRS-covered employment after the leave
    • Up to one year for each natural birth, legal adoption or terminated pregnancy
    • If the leave was unpaid and during the current or previous two school years, it may be less expensive to purchase it using the unpaid sick leave provision

    Request more information »

    Non-Federal Public Service

    • Service at a non-federal, public employer in any location for at least 20 hours per week on a regular basis
    • Service at a non-federal, public employer in Missouri for at least 17 hours per week and not covered by a retirement plan, if you are vested

    Request more information »

    Not-for-Profit Educational Service

    • Work performed while on leave from a PSRS-covered employer
    • At least 20 hours per week on a regular basis at a not-for-profit corporation or agency
    • Primary purpose of the work must have been the support of education or educational research

    Request more information »

    Part-Time Certificated Service

    • At least 17, but fewer than 20 hours per week on a regular basis
    • between August 28, 1991 and August 28, 2003
    • You held a valid Missouri educator certificate

    Request more information »

    PEERS-Covered Service

    • Service forfeited from the Public Education Employee Retirement System of Missouri (PEERS)
    • Part of the cost is offset by a transfer of the PEERS employer contributions to PSRS, not to exceed 50% of the purchase cost

    Request more information »

    Employment at Private Schools

    • At least 20 hours per week on a regular basis
    • Service at a private secondary or post-secondary school

    Request more information on Private School Service Purchases »

    Employment at Public Non-PSRS-Covered Schools

    • At least 20 hours per week on a regular basis
    • Service at a public secondary or post-secondary school not covered by PSRS

    Request more information on Non-PSRS covered Public Secondary or Post-Secondary School Service Purchases »

    Vo-Tech Work Experience

    • Can be purchased if you are, or were, certified as a vo-tech teacher
    • Requires the work to be in the area of your vo-tech certification
    • Up to two years can be purchased

    Request more information »

    Social Security-Covered Employment

    • At least 20 hours per week on a regular basis while you were age 18 or older
    • You must be vested with PSRS to purchase
    • IRS regulations categorize some purchases of Social Security-covered service or employment as "non-qualified." Non-qualified purchases are limited to a lifetime total of five years purchased with after tax dollars.

    NOTICE to Members Planning to Purchase Social Security-Covered Service

    When purchasing service with PSRS for previous Social Security-covered employment, we require that you send us a copy of your Itemized Statement of Earnings, which you must get from Social Security.

    We use this document to verify:

    • The employment you are requesting to purchase is eligible under our Social Security purchase provision
    • Social Security earnings and FICA paid on that employment

    At present, Social Security is running behind on processing such requests We recommend that you request your Itemized Statement of Earnings as soon as possible.

    To do so, fill out a Request for Social Security Earning Information form found at www.ssa.gov On the website, you will find information about fees and how to send this form to the Social Security Administration’s main office. However, you may want to contact your local Social Security office to see if they can process it for you, as well.

    Request more information »

    Supplemental Service

    • You must be within five years of retirement eligibility
    • Can purchase up to .5 of a year
    • Does not require any prior service, employment or leave period
    • Does not count toward vesting
    • Counts toward retirement eligibility
    • IRS regulations limit the amount of supplemental service you can purchase if you also purchase service for Social Security-covered employment.

    Request more information »

  • Leave-Based Purchases

    You may be able to purchase service for time you were on leave from PSRS-covered employment. You and your employer are required to pay contributions that would have been made had you been working during the period of leave. Specific deadlines apply to each type of purchase.

    Contact us or your employer's human resources officer for the estimated cost of these types of purchases. The online Service Purchase Calculator does not provide accurate costs for these purchases.

    Unpaid Sick Leave or Workers' Compensation Leave

    • You can purchase service for unpaid sick leave or workers' compensation leave that occurs during the current or previous two school years.
    • You pay to your employer the contributions you would have made to PSRS on your full salary during the leave period.
    • Your employer sends both employee and employer contributions for the leave period to PSRS.

    Please contact us or your human resources officer for more information on Unpaid Sick Leave or Workers' Compensation Leave service purchases.

    Leave for USERRA-Covered Military Service

    USERRA-covered leave can be granted or purchased.

    Granted USERRA-Covered Leave

    • Granted leave has no cost to you.
    • It counts toward vesting your membership and eligibility for benefits.
    • To receive granted USERRA leave, submit a copy of your DD214 to PSRS.

    Purchased USERRA-Covered Leave

    • There is a cost to purchase leave for USERRA-covered service.
    • Purchased service counts toward vesting and eligibility for benefits, and is also used in the calculation of your benefits.
    • To purchase this service, you pay the contributions you would have made to PSRS on your full salary during the leave period. Your employer also pays contributions.
    • You must apply within five years of your return to employment after the leave.
    • You can purchase up to five years of USERRA-covered service.

    If your active duty military service is not USERRA-covered, you may still be able to purchase it.

    Request more information »

    Leave of Absence

    • You can purchase service for a leave of absence (not sick leave) that occurs during the current school year.
    • Your employer must pay you at least 50% of your regular salary during the leave.
    • You pay to your employer the contributions you would have made to PSRS on your full salary during the leave period.
    • Your employer sends both employee and employer contributions for the leave period to PSRS.
    • You must apply during the school year the leave occurs.

    Please contact us or your human resources officer for more information on Leave of Absence service purchases.