Benefit Formula

Creditable Service

Creditable Service primarily refers to the length of time you have worked in a benefit-eligible position (a position that typically requires at least 1,040 hours of work per year). If you are employed in a benefit-eligible position with MoDOT or MSHP, you will earn one day of creditable service for each day worked.

Your total creditable service (both active and prior) is one of the key factors used to calculate your retirement benefit. The more creditable service you have, the higher your monthly benefit. You may want to explore the possibility of receiving credit for the following types of prior service:

• Active duty military service
• Employment with another public entity in Missouri, such as a local school district, city, county, or the University of Missouri
• Previous state service that was forfeited or was creditable under the Missouri State Employees’ Retirement System (MOSERS)

Multiplier

A percentage set by state law.

Final Average Pay

Final Average Pay is the average of your highest 36 consecutive months of pay during your service before leaving state employment.

Pay includes all salary and wages payable to you for personal services performed for a department.

Pay includes:

• All salary and wages that would have been payable during a valid workers’ compensation leave of absence
• All salary and wages that would have been payable during a valid medical leave due to your illness
• All salary and wages that would have been payable during valid military leave
• Annual pay-for-performance amounts for which MPERS received retirement contributions

Pay excludes:

• Amounts paid after your employment ends, unless paid as a final installment of salary or wages at the same rate as immediately before termination, in accordance with a state payroll system adopted on or after January 1, 2000
• Payments for unused annual leave or compensatory time upon termination
• Pay exceeding the limits set by Section 401(a)(17) of the Internal Revenue Code and other applicable federal laws or regulations
• Any nonrecurring lump-sum payments
• Annual pay-for-performance amounts for which MPERS did not receive retirement contributions

Monthly Base Benefit

Monthly Base Benefit is the foundational amount of retirement income you are eligible to receive each month after you retire. This base amount does not include optional adjustments such as cost-of-living increases, survivor benefit reductions, or temporary supplements. This amount reflects your long-term service and compensation history and serves as the starting point for calculating your total retirement benefit.