At Early Retirement
If you are vested and retire on or after age 55 (and before age 65), your annual retirement benefit is subject to reduction and calculated as follows:
| Highest Average Compensation x 1.5% x Credited Service |
| = Your Total Annual Normal Retirement Benefit |
| Less |
| 5% x each year (approximately 0.4167% per month) your early retirement date is short of age 65, with a maximum total reduction of 50% |
| = Your Total Annual Early Retirement Benefit |
Special Transition Rule for Grandfathered Members: If you were age 50 or older as of December 31, 2017, you will be grandfathered under different early retirement reduction factors, which are described below:
- If you retire on or after age 55 and before age 60, your benefit will be reduced according to a schedule (ranging from a minimum total reduction of about 12% to a maximum total reduction of approximately 40%).
- If you retire on or after age 60 and before age 65, your benefit will be reduced by 2.4% per year (or 0.2% per month) that your early retirement date occurs prior to age 65, with a maximum total reduction of 12%.