Retirement Eligibility

Tier One - ERB Membership Prior to July 1, 2010:
If your ERB membership began before July 1, 2010, and you have not withdrawn all of your contributions, you are eligible to retire on the earliest date at which you meet any of the following criteria:

1. “25 and Out” – Earned service credits + allowed service credits = 25 or more years. There is no minimum age required.

2. “Rule of 75” – Your age + earned service credits = 75 or more. Under the Rule of 75, allowed service credits are used to calculate your retirement benefit but do not count toward eligibility. If you retire under the Rule of 75 and are under age 60 and have less than 25 years of earned service credit, your retirement benefit will be reduced by:
• 0.6% for each ¼ year, or portion thereof, that retirement occurs before the member’s 60th birthday but after the 55th birthday (equal to 2.4% per year), plus

• 1.8% for each ¼ year, or portion thereof, that retirement occurs prior to age 55 (equal to 7.2% for each year under age 55).
For example, if you are six months past your 59th birthday, the reduction in benefits is 1.2%.

3. “65 and 5” – If you are at least 65 years old and have at least five years of earned service credit, you are eligible for retirement.

 

Tier Two - ERB Membership Beginning on or after July 1, 2010 but prior to July 1, 2013:

If your ERB membership began on or after July 1, 2010, or if you were employed before July 1, 2010, terminated your
employment and subsequently withdrew all of your contributions and returned to work for an ERB covered employer in the time period from July 1, 2010 to June 30, 2013, you must meet one of the following requirements to be eligible for retirement:

1. “30 and Out” – 30 or more years of earned service credit. There is no minimum age required. Allowed service credits are used to calculate your retirement benefit but do not count toward eligibility.

2. “Rule of 80” – Your age + earned service credits = 80 or more. Allowed service credits are used to calculate your retirement benefit but do not count toward eligibility. If you are under age 65 and have less than 30 years of earned service credit, your retirement benefit will be reduced by:
• 0.6% for each ¼ year, or portion thereof, that the retirement occurs prior to the member’s 65th birthday but after the 60th birthday (equal to 2.4% per year), plus
• 1.8% for each ¼ year, or portion thereof, that the retirement occurs prior to the member’s 60th birthday (equal to 7.2% per year).

3. “67 and 5” – If you are at least 67 years old and have at least five years of earned service credit, you are eligible for retirement.

 

Tier Three - ERB Membership Beginning on or after July 1, 2013:

If your ERB membership began on or after July 1, 2013, or if you were employed before July 1, 2013, terminated your employment and subsequently withdrew all of your contributions and returned to work for an ERB covered employer on or after July 1, 2013, you must meet one of the following requirements to be eligible for retirement:

1. “30 and Out” – 30 or more years of earned service credit; Soft minimum retirement age of 55; COLA starts at age 67. Allowed service credits are used to calculate your retirement benefit but do not count toward eligibility.


2. “Rule of 80” – Your age + earned service credits = 80 or more. Allowed service credits are used to calculate your retirement benefit but do not count toward eligibility. If you are under age 65 and have less than 30 years of earned service credit, your retirement benefit will be reduced by:
• 0.6% for each ¼ year, or portion thereof, that the retirement occurs prior to the member’s 65th birthday but after the 60th birthday (equal to 2.4% per year), plus
• 1.8% for each ¼ year, or portion thereof, that the retirement occurs prior to the member’s 60th birthday (equal to 7.2% per year).


3. “67 and 5” – If you are at least 67 years old and have at least five years of earned service credit, you are eligible for retirement.

 

See the 2013 Legislative Summary on the Tier 3 requirements.

 


When you have met the eligibility requirements and are ready to retire, you must complete a Retirement Application. We recommend that you begin the process 60-90 days prior to your planned retirement date in order to avoid any interruption in your income. If you have not worked for an ERB employer within the last six months, you only need to complete page 1 of the application.

 

For more information please see the ERB Member Handbook or email ERB-memberhelp@state.nm.us.