Retirement Calculators

NYSLRS Tier 6 Retirement Calculator

Q: Why does the 20-year mark matter so much for Tier 6?

Reaching 20 years retroactively increases your benefit multiplier for your entire career, pushing your total percentage from around 31.5% at 19 years to roughly 40% at 20 years.

Q: How is final average earnings calculated for Tier 6?

As of 2024, based on your 3 highest consecutive years of earnings, improved from the original 5-year average.

The single most important number in this formula is 20 — the year your multiplier retroactively jumps, turning one extra year of work into thousands of dollars a year for life.

Estimate your Tier 6 pension

For NYSLRS members who joined on or after April 1, 2012 (ERS and most PFRS Tier 6 members).

Final average earnings (3 highest years)

Years of credited service

Estimated annual pension

—

Benefit multiplier applied to FAE0%

Estimated monthly pension$0

vs. one year less service (comparison)$0

This is a planning estimate for Tier 6 only — Tiers 1-5 use different formulas. Verify your specific figures at osc.ny.gov/retirement or with NYSLRS directly.

Tier 6, and why it matters which one you're in

NYSLRS assigns every member to a tier based on when they joined — Tier 6 applies to anyone who joined on or after April 1, 2012, and covers the Employees' Retirement System (ERS), the Teachers' Retirement System, and most Police and Fire Retirement System members. Compared to earlier tiers, Tier 6 generally requires higher career-long employee contributions and a later full retirement age, but it's also been meaningfully improved by two recent laws worth knowing about.

The threshold that changes everything: year 20

For roughly the first 20 years of service, each year adds about 1.66% to your benefit multiplier. But once you reach exactly 20 years, that multiplier retroactively increases for your entire career to date — pushing your total benefit percentage to around 40% of your final average earnings, up sharply from about 31.5% at 19 years. Every year after 20 then adds a full 2%. The practical effect: 15 years of service is worth roughly 24.9% of your FAE, 20 years jumps to about 40%, and 30 years reaches about 60%. If you're at 18 or 19 years and weighing whether to leave, the financial case for staying just a bit longer is substantial — this single threshold is worth more than almost any other single year in your entire career.

Years of service	Approximate % of FAE
15 years	~24.9%
19 years	~31.5%
20 years	~40%
30 years	~60%

Two real improvements, both recent

2022: vesting was shortened from 10 years to 5 years for Tier 6 members — meaning you now lock in a permanent right to a future pension after just 5 years of service, rather than needing to stay a full decade.

2024: the final average earnings calculation improved from a 5-year average back down to a 3-year average of your highest consecutive years — the same standard used in earlier tiers — for ERS members retiring on or after April 20, 2024, and PFRS members retiring on or after April 1, 2024. A shorter averaging window generally means a higher FAE for anyone whose earnings grew over their career.

What else to know

Full, unreduced retirement is available at age 63 for most Tier 6 members with at least 5 years of credited service.
Contribution rates run 3% to 6% of gross salary on a sliding scale based on earnings, and apply for your entire NYSLRS career under Tier 6 — unlike some earlier tiers where contributions eventually stopped.
A federal ceiling exists regardless of your formula result — IRC Section 415(b) caps any defined benefit plan's annual payout at $290,000 for 2026, though most Tier 6 members will never approach it.

The Tier 6 formula structure, the year-20 retroactive multiplier increase, the 2022 vesting reform, and the 2024 FAE calculation improvement verified across multiple independent 2026 sources and the NYS Comptroller's own published legislative updates (osc.ny.gov). The precise mechanics of the year-20 transition showed minor inconsistency across sources beyond the 30-year mark; figures through 30 years of service are well-corroborated. This is a planning estimate, not an official benefit calculation — NYSLRS is the authoritative source for your specific figures.

Frequently asked questions

Before you plan your NYSLRS retirement.

What is NYSLRS Tier 6?

The current retirement tier for New York public employees who joined on or after April 1, 2012, covering ERS, TRS, and most PFRS members, with its own contribution rates, vesting rules, and benefit formula.

Why does the 20-year mark matter so much for Tier 6?

Reaching exactly 20 years of service retroactively increases your benefit multiplier for your entire career to date, pushing your total percentage of final average earnings from around 31.5% at 19 years to roughly 40% at 20 years.

How long do I need to work to vest in Tier 6?

5 years, following a 2022 law that shortened vesting from the original 10-year requirement.

How is final average earnings calculated for Tier 6?

As of 2024, it's based on your 3 highest consecutive years of earnings, improved from the original 5-year average that applied when Tier 6 first launched.

At what age can I retire with a full, unreduced Tier 6 pension?

Age 63, provided you have at least 5 years of credited service.