| Serving New York Educators Since 1921 |
Active Members
Chapter 45 Retirement Incentive Fact Sheet
Chapter 45 of the Laws of 2010, the 55/25 retirement incentive for educators represented by NYSUT, allows eligible members who have not attained age 62 to retire with an unreduced benefit if they have at least 25 years of credited service. The incentive was signed into law April 14, 2010.
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School Districts, BOCES & Charter Schools |
SUNY, Community Colleges* & Fashion Institute of Technology |
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Election Deadline |
Mandatory open period (no election required). |
If there is no election by 10/3/2010, then the window defaults to 10/3/2010 to 12/31/2010 |
Open Period |
6/1/2010 to 8/31/2010 |
As early as 6/1/2010 but cannot extend beyond 12/31/2010 (must be 90 days in length) |
*A community college's election of a specific open window period may be subject to the approval of its sponsoring agency. The New York State School for the Blind and the New York State School for the Deaf are not included in this incentive.
No additional service credit is granted under this incentive. Instead, this incentive permits an unreduced retirement benefit to eligible Tier 2, 3 and 4 members who:
- At the date of their retirement are at least age 55 but less than 62, and credited with a minimum of 25 but less than 30 years of service, including Benefit Enhancement (Article 19) service.
- Are members of the New York State Teachers' Retirement System and hold a position represented by a recognized collective bargaining unit affiliated with New York State United Teachers (NYSUT).
- Are in active service on Feb. 1, 2010 in that position and have remained in continuous active service to the date immediately prior to the commencement of the open period. "Active service" is defined as being paid on the payroll, or on a leave of absence with pay, or on an approved leave without pay not to exceed 12 weeks.
Employers are not required to waive local retirement incentive programs under this legislation.
Note: Those age 62 or older, or those who have 30 or more years of service, gain no advantage from this incentive. Also, no additional service credit is granted under this incentive.
The appeals process to the Chapter 45 retirement incentive has ended. On January 20, the Appellate Division of New York's Supreme Court affirmed the earlier ruling of the New York Supreme Court that Chapter 45 of the Laws of 2010 is constitutional. (Read the Appellate Division's decision in PDF format.) Plaintiffs did not apply for permission to appeal that decision to New York's Court of Appeals within the required timeframe. That means the Chapter 45 incentive will continue to be administered as written.
Eligible members who attained age 55 and had at least 25 years of service credit and retired during the Chapter 45 open period will receive, upon completion of final processing (refer to our Benefit Payment Information), an unreduced benefit, provided the member was in a position represented by a recognized, NYSUT-affiliated collective bargaining unit.
Chapter 45 FAQs
You've got questions, we've got answers. Read frequently asked questions and answers about Chapter 45.
How to Apply for Retirement
If you are eligible for the retirement incentive, you may file your service retirement application with NYSTRS up to 90 days before your effective date of retirement, or as late as your date of retirement. Your date of retirement must be during the open period pertaining to your employer, as described above. If the application is mailed by registered or certified mail, it is considered received on the date it was postmarked provided it is actually received by NYSTRS.
You can print an Application for Service Retirement (RET-54) from our Web site or call us at (800) 782-0289 to request that one be mailed to you. You can also obtain one from your employer.
Retirement applications may be withdrawn if NYSTRS is notified in writing no later than 14 days after the official date of retirement.
