Want to retire? Now’s your chance

By SHERRY HALBROOK
State legislators passed an Early Retirement Incentive (ERI) in May and the governor signed it June 2 as a way to reduce state payroll costs without layoffs.

The ERI has two parts. Part A is a traditional ERI the state will offer to employees it’s willing to eliminate. Part B is a limited 25/55 provision available to all eligible employees except those in “essential” positions.

The ERI window for executive branch employees is open July 1 to September 28.

Eligible employees who are offered and accept the ERI will receive one month of additional pension credit for each year of service, up to a maximum of 36 months added credit.

Part A applies to members of pension Tiers 1-4 and will apply only in agencies and positions designated by the director of state operations or, at the state University of New York, by the SUNY trustees.

You must be at least 50 and have at least 10 years of service to retire under Part A. Members of Tiers 2, 3, and 4 between ages 55 and 62 and with less than 30 years of service will be subject to normal penalties.

Under Part A, members of Tiers 1-4 between the ages of 50 and 55 will have an additional penalty of 5 percent for each year below age 55.

Part B provides a temporary opportunity for members of Tiers 2, 3, and 4, including executive branch employees, to retire without penalties if they are 55 or older and have at least 25 years of service. If the SUNY trustees vote to opt-in, it’s 90-day window will be later.

If your position is excluded for Part B, you can challenge it.

You must apply for the ERI at least 14 days before the window closes.

If you apply, but are denied the ERI, your retirement will be processed with full penalties, unless you withdraw your application on or before the retirement date.

More information on the ERI is available on the PEF website.