For ERS Tier 3 and 4 Members
(Articles 14 and 15)
Your pension is based on your years of credited service, your age at retirement and your final average salary (FAS). FAS is the average of the wages you earned during any 36 consecutive months of service when your earnings were highest. This is usually the last three years of employment.
The calculation of your FAS can include, but is not limited to, the following types of payments. In some cases, certain restrictions may apply.
- Regular salary.
- Overtime earned in the FAS period.
- Holiday pay.
- Noncompensatory overtime earned in the FAS period.
- Longevity payments (maximum of three), if earned in the FAS period.
- Payment for up to 30 days of accumulated vacation, if the FAS is based on the 36 months immediately preceding retirement.
The following types of payments are not considered regular compensation and, in most cases, will not be included in your FAS calculation.
- Unused sick leave.
- Payments made as a result of your working during your vacation.
- Any form of termination pay.
- Payments made in anticipation of retirement.
- Lump sum payments for deferred compensation.
- Any payments made for time not worked.