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| High-Five Average Salary | |||||||||||||||
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Your retirement benefits are calculated based on your years of
service, age at retirement and high-five year average salary. Your
high-five average salary is based on your gross salary.
Contributions to a deferred compensation plan, Social Security, health care
premiums, etc. do not lower your high-five average salary. When calculating your
high-five average salary, we use the highest sixty month period (5 x 12
months = 60 months), rather than a calendar year or fiscal year
salary. For example, your high-five could start on March 1, and run
through February five years later.
For most employees, the high-five is the last sixty-month period, but does not necessarily have to be your last five years of employment. For example, you may decide to work fewer hours when you get closer to retirement, or maybe you had several years where you earned overtime which will generate a higher high-five average salary. Your employer reports your salary along with your retirement deduction each pay period to MSRS. This allows us to accurately calculate your high-five average salary. Retirement deductions are not taken on unused sick or vacation leave you receive after termination of public service. These unused leaves are not included in your high-five average salary. Used sick and vacation leave taken before termination are included in your high-five average salary. Example of high-five average salary calculation: |
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| $180,000 / 60 = $3,000 average monthly salary | |||||||||||||||
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Please Note: How the high-five average salary is used in the
benefit calculation can be found in the retirement and disability
benefit sections.
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