Kathleen Kiely-Becchetti, Esq., Interim Executive Officer

Early Retirement Incentive

As a means of keeping our membership informed with the most recent news and facts regarding an early retirement incentive and to eventually make preparations easier for any potential participants, the Boston Retirement Board will offer regular updates on our web page.

• Posted on October 3, 2002 The 350-person cap on City of Boston Group 1 employees has been eliminated. Consequently, all applicants are accepted and will join those from Boston Public Health Commission, Boston Water & Sewer Commission, and Suffolk County Sheriff's Department and may retire under the ERI.
  
  

Agency	Number of Participants	Effective Retirement Date
City of Boston	504	October 31, 2002
Public Health Commission	32	October 31, 2002
Water & Sewer Commission	44	October 31, 2002
Suffolk County Sheriff's Dept.	59	November 30, 2002
Total Number of ERI participants	639 (As of October 3, 2002)

In order to successfully complete the retirement process, please take into account the following:

1. Final papers will be sent, including any outstanding bills for service purchases, within the next two months;
   
   
2. Please forward to the Retirement Board, as soon as possible, any and all outstanding and pertinent documentation that may have been requested during your counseling session;
   
   
3. It is important to practically plan your personal finances for the period between your retirement date and receipt of your first benefit check. After completed final papers are returned & certified, you will be enrolled on the next available monthly benefits payroll;
   
   
4. Usually, relocation from the active payroll to the pension payroll may take up to several months. However, with the large number of ERI participants you are cautioned to plan for possible delays;
   
   
5. For Health Insurance information and severance buybacks, please contact your departmental Human Resources unit.

IMPORTANT NOTE: If you decide to rescind your retirement application, you must do so in writing both to the Boston Retirement Board and to your respective employer. These actions are independent. BRB will accept rescinding letters no later than the close of business, October 31, 2002 (Sheriff's Department personnel: November 30, 2002). You are strongly encouraged to consult with your employer regarding your continued employment prior to rescinding your retirement with SBRS.

Please refer to this web page on a regular basis for the latest information regarding ERI 2002.
Click here to view an archive of E.R.I. postings.

FAQ's

1. Who is eligible?
   a)You must be employed on the date the E.R.I. is accepted by the Mayor & City Council.
   b)You must be eligible for a retirement benefit, generally this means you must be age 55 with 10 years of service, or if under age 55, you must have 20 years of service.
   c)You are a member of Group 1, Group 2 or Group 4.
   
   
2. Who is not eligible?
   a)BPS teachers are not entitled to participate in this E.R.I.
   
   
3. How does the E.R.I. add to my pension benefit?
   a)Adding, either 5 years to your age or 5 years to your creditable service, or a combination of both age and service not to exceed five years in total, enhances your benefit calculation formula. However, your maximum retirement benefit cannot exceed 80% of the (highest) three-year average salary used in the calculation.
   
   
4. Can I add partial years to my age or service for the ERI benefit's formula?
   a) The Boston Retirement Board has adopted the provisions regarding partial age and service approved by The Public Employment Retirement Administration Commission (PERAC). Previously, the additional five years could only be awarded in whole years. For example, you could add a combination of 1 to 5 years to your age or service, 1 to age 4 to service, 2 to age 3 to service etc. Now, in order to maximize benefits, months may be applied (the maximum remains 5 years/60 months total time). For example, a participant may now add 1 year and 3 months to their age, and add 3 years and 9 months to their creditable service or any combination of years and months not to exceed 5 years.
   
   
5. For personal planning purposes, what are the important dates and deadlines?
   a)The Mayor & Council must accept the E.R.I. by November 1, 2002.
   b)The Mayor will set an application deadline (T.B.A.) and retirement date.
   
   
6. I am a member of SBRS but I do not work for the City of Boston, may I participate?
   a)In the case of BWSC, BRA, BHA & PHC employees, as long as the Executive Authority of the commission or authority accepts the provisions of the E.R.I. you are authorized to participate.
   b)For Suffolk County Sheriff's Department employees, the City Council must authorize an E.R.I.
   
   
7. Will everyone who applies be allowed to participate in the E.R.I.?
   a)The executive authority can cap the number of employees who may retire under the ERI. However, priority will be granted to members with the most years of creditable service.
   
   
8. Is there any type of preparation I can make before I apply?
   a) There are several steps that you can take in order to make sure that your benefit is maximized:
   If you worked for the Commonwealth of Massachusetts, County government or another Massachusetts municipality you can check with the Boston Retirement Board to see if those funds and creditable service have been transferred to your SBRS account.
   If you have refunded your money from the system, you may wish to buy this time back. Inform the retirement board whether you refunded from SBRS or if you refunded from another Massachusetts board. If your refund was not issued by SBRS, you will need to identify the system, the year of the refund, and number of years worked so SBRS can request a breakdown from the other system and to provide you with a make-up bill.
   You may also purchase "pre-membership time" in SBRS. However, if you worked for one of the governmental entities that are part of the state retirement system, you may be able to buy this time back even though no retirement deductions were taken. A letter of verification must be provided to the Retirement Board for validation of your claim. The letter of verification from your previous employer must detail your period of service and salary history.
   Another preparatory measure is gathering all pertinent, official documentation such as birth certificate(s), marriage license(s), and social security number(s).
   
   
9. Can I estimate my own E.R.I. benefit?
   a)Yes, your age at the time of your date of retirement (remember you can add up to five years to your age for E.R.I. purposes) corresponds with a benefit rate from the age factor chart; multiply this factor by your years and months of creditable service (once again you can add up to five years for E.R.I. purposes**); multiply this product by your consecutive three year average annual rate of regular compensation.
   b)** Reminder!! Add either 5 years to your age or 5 years to your creditable service, or a combination of both age and service not to exceed five years in total.
   c)Another quick reference to approximate the best combination of age and year of service to maximize your benefit is the following chart. Locate your age on the left hand side and proceed across until you come to your years of service. The corresponding number is your pension percentage rate to be applied to your three-year average compensation.
   
   
10. How will I be made aware of filing dates and important deadlines regarding the E.R.I.?
    a) The Boston Retirement Board web page will be updated on a regular basis; several seminars are planned and of course, you can call the office at 635-4305 for personal retirement counseling.