The PERS - DBRP provides retirement, disability and death benefits to the State of Montana, the university system, local governments and certain school district employees. In a defined benefit plan, both the amount you contribute and your future benefit is known. Your benefit will be calculated using a formula based on your salary and years of service.
If you were hired on or after July 1, 2011, click here.
SUMMARY OF PERS - DBRP BENEFITS
FOR MEMBERS HIRED BEFORE JULY 1, 2011
Monthly Benefit Formula:
Membership Service Factor (see below) x years of Service Credit x HAC
1.7857% - If you have less than 25 years of membership service
2% - If you have 25 years or more of membership service.
Highest Average Compensation (HAC): Highest consecutive 36 months of gross salary. Also, bonuses have been removed from the definition of compensation for all retirement systems effective for bonuses paid on or after July 1, 2013.
Required age and years of service to be eligible for a benefit
Full service retirement:
- Any age with 30 years of membership service
- Attain age 65 while employed, regardless of years of membership service
- Age 60 with 5 years of membership service
- Age 50 with 5 years of membership service - actuarially reduced
- Any age under 60 with 25 years of membership service - actuarially reduced
Vesting: 5 years of membership service
Guaranteed Annual Benefit Adjustment (GABA): Members hired before July 1, 2007 will have a 3% increase each year once they become eligible.
Members hired after July 1, 2007 and before July 1, 2011 will have a 1.5% increase each year once they become eligible.