Rule of 75

A member is eligible to retire under the Rule of 75 when:

The member's age and earned service credits add to the sum of 75 or more. A benefit reduction will apply if the member is under 60 years of age. (A reduction of a member’s benefit is applicable only when the member is less than age 60 and has less than 25 years of earned service credit.) The reduction is 2.4% for each of the first five years under age 60 plus 7.2% for each year under age 55. Age is considered in quarters; for example the reduction at age 59 ½ is 1.2%. You can also count your age by quarters to add to your earned service credit to total 75.

If the member has purchased allowed service credit and plans to retire under the Rule of 75, the allowed service credit will be added to the total years of service in the retirement benefit calculation. Under the Rule of 75, allowed service does not count as "air time" towards an earlier retirement date.

 

Rule of 80 (for those hired on or after July 1, 2010)

A member is eligible to retire under the Rule of 80 when:

The member's age and earned service credits add to the sum of 80 or more. A benefit reduction will apply if the member is under 65 years of age. (A reduction of a member’s benefit is applicable only when the member is less than age 65 and has less than 25 years of earned service credit.) The reduction is 2.4% for each of the first five years under age 65 plus 7.2% for each year under age 60. Age is considered in quarters; for example the reduction at age 64 ½ is 1.2%. You can also count your age by quarters to add to your earned service credit to total 80.

 

Earned service is credit for employment with an ERB covered entity. Allowed service credit is credit available to purchase and credited to an active member's account. Click here for more information on service credit.

 

When members have accrued five or more years of earned service credit, they may terminate employment, leave their contributions in the retirement fund and retire: (1) when they meet the Rule of 75/80 or (2) at age 65/67, whichever is sooner. To receive retirement benefits when the eligibility requirements are met, a member must submit the retirement application directly to the ERB 60-90 days before the desired effective date of retirement.

 

To calculate a retirement estimate, you can log into your ERB account and use the benefit estimator.

 

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