If you have at least 20 service credit years, you may retire at or after age 50. Your benefit is reduced because you will probably be receiving it over a longer period of time. Reductions are 3 percent (0.25 percent a month) for each year you retire prior to age 53.
| Age at Retirement | Percentage of Standard Benefit |
|---|---|
| 50 | 91% |
| 51 | 94% |
| 52 | 97% |
| 53 | 100% |
You retire at age 50 with 20 service credit years (240 months) and a final average salary of $5,000. Because you are retiring early, your benefit is 91 percent of what it would be if you were 53.
Your monthly benefit of $1,820 is calculated as follows:
If you work another two years, your benefit at age 52 (with two additional service credit years but the same final average salary), would be $2,134 per month. In reality, your benefit would probably be higher because your final average salary would increase; however, the loss of the effect of a salary increase could be offset by your COLA. See Can my benefits increase after I retire?