Permissive And Additional Service Credit - State Teachers' Retirement System - CA Education

Section § 22800

If you're looking to claim extra service credit as a teacher or school employee in California, your claim must be verified by a statement from the superintendent of schools or the records keeper where you worked. If the service happened outside the U.S. or in federal schools, the records keeper must still confirm it. If those records have been destroyed, you can use affidavits—basically, written statements—from people who worked with you at that time to prove your claim.

(a) Claims for permissive and additional service credit under this part shall be corroborated by a statement from the superintendent of schools or custodian of records of the employer for which the service was performed.

(b) Claims for creditable service under this part performed outside the United States or in federal schools within the United States shall be corroborated by a statement from the custodian of records.

(c) When the official records of the service have been destroyed, the claim may be corroborated by one or more affidavits of knowledge of the service, preferably by persons who served with the member at the time the service was performed.

service credit claims permissive service credit additional service credit superintendent verification custodian of records federal schools international service service verification affidavit of knowledge education employment records destroyed records corroboration process California teachers school employee service service outside United States

(Amended by Stats. 1998, Ch. 965, Sec. 91. Effective January 1, 1999.)

Section § 22801

If a member wants to buy extra service credit for their retirement benefits, they need to pay the required contributions before retiring. The cost is based on the rates when they make the request. Members must complete payment arrangements or confirm costs within a set timeframe. They can pay in a lump sum or up to 120 monthly installments, but each installment must be at least $25, except for the last one. If they're currently employed, the calculation is based on their highest pay in the current or last two school years. If not employed, it's based on their last year of service and may include extra interest. Their employer might cover some contributions for specific service credits. If payments are late or delayed due to the system's fault, interest might not apply until the system provides required information. Members have options if payments aren't completed in time, including canceling or repurchasing the service credit before retiring.

(a) A member who requests to purchase additional service credit as provided in this chapter and Chapter 14.2 (commencing with Section 22820) shall pay, prior to retirement, all contributions with respect to that service at the contribution rate for additional service credit, adopted by the board as a plan amendment, in effect on the date of the request to purchase additional service credit. A member shall sign and return the completed statement of contributions and interest required from the system to purchase service credit at a specific cost no later than 35 calendar days from the date of the offer. If the system is unable to inform the member or beneficiary of the amount required to purchase additional service credit prior to the effective date of the applicable allowance, the member or beneficiary may make the required payment within 30 working days after the date of mailing of the statement of contributions and interest required or the effective date of the appropriate allowance, whichever is later, except as provided in subdivision (i). The payment shall be paid in full before a member or beneficiary receives any adjustment in the appropriate allowance due because of that payment. Contributions shall be made in a lump sum, or in not more than 120 monthly installments, not to exceed 10 years. No installment, except the final installment, shall be less than twenty-five dollars ($25).

(b) If the member is employed to perform creditable service subject to coverage by the Defined Benefit Program on the date of the request to purchase additional service credit, the contributions shall be based upon the compensation earnable in the current school year or either of the two immediately preceding school years, whichever is highest.

(c) If the member is not employed to perform creditable service subject to coverage by the Defined Benefit Program on the date of the request to purchase additional service credit, the contributions shall be based upon the compensation earnable in the last school year of credited service or either of the two immediately preceding school years, whichever is highest, and additional regular interest shall be added to the contributions from July 1 of the subsequent year in which the member last performed creditable service subject to coverage by the Defined Benefit Program to the date of the request.

(d) The employer may pay the amount required as employer contributions for additional service credited under paragraphs (7), (8), (9), and (10) of subdivision (a) of Section 22803.

(e) The Public Employees’ Retirement System shall transfer the actuarial present value of the assets of a person who makes an election pursuant to paragraph (11) of subdivision (a) of Section 22803.

(f) Regular interest shall be charged on the monthly unpaid balance if the member pays in installments. Regular interest may not be charged or be payable for the period of a delay caused by the system’s inability or failure to determine and inform the member or beneficiary of the amount of contributions and interest that is payable. The period of delay shall commence on the 20th calendar day following the day on which the member or beneficiary who wishes to make payment evidences in writing to the system that they are ready, willing, and able to make payment to the system. The period of delay shall cease on the first day of the month following the mailing of notification of contributions and interest payable.

(g) If the payment described in subdivision (a) is not received at the system’s headquarters office within 120 calendar days of the due date, the election pursuant to this section shall be canceled. The member shall receive credit for additional service based on the payments that were made or the member may request a return of their payments.

(h) If the election to purchase additional service credit is canceled as described in subdivision (g), the member may, prior to the effective date of their retirement, elect to purchase additional service credit pursuant to this section.

(i) The measurement of time within which the purchase of additional service credit described in subdivision (a) shall be made is subject to Section 22337.

additional service credit retirement benefits contribution rate payment installments compensation earnable Defined Benefit Program employer contributions actuarial present value unpaid balance interest purchase cancellation installment payments school year pay employer coverage contributions and interest service credit election

(Amended by Stats. 2024, Ch. 117, Sec. 1. (AB 2770) Effective January 1, 2025.)

Section § 22801.5

This law section describes a process for members who choose to have their state service covered by a specific retirement program. Members can get extra service credit for time they were part of the Public Employees' Retirement System between July 1, 1991, and the date they switch to the new program. To get this credit, they must pay extra contributions, which can be paid all at once or over up to 10 years. Payments start within 120 days after choosing the new coverage, and regular, minimum payments are required. The total amount they need to pay is based on their highest recent earnings. If they're not working when they switch, it's based on their highest past earnings from their credited service. Also, any payments received from the Public Employees' Retirement System reduce the amount they owe, but these funds cannot be individually given to members or their families.

(a) A member who elects pursuant to Section 22508.6 to have his or her state service subject to coverage by the Defined Benefit Program shall receive additional service credit for the time spent subject to coverage by the Public Employees’ Retirement System between July 1, 1991, and the effective date of the election.

(b) A member described in subdivision (a) shall pay all contributions with respect to his or her state service as a member of the Public Employees’ Retirement System at the contribution rate for additional service credit, adopted by the board as a plan amendment, in effect at the time of the election. Contributions shall be made in a lump sum or in not more than 120 monthly installments, not to exceed ten years. Payment shall be made or shall commence within 120 days after the date of the election. No installment, except the final installment, shall be less than twenty-five dollars ($25). The member may not be credited with any service pursuant to this section until the contributions have been paid in full.

(c) If the member is employed to perform creditable service at the time of the election, the contributions shall be based upon the compensation earnable in the current school year or either of the two immediately preceding school years, whichever is highest.

(d) If the member is not employed to perform creditable service at the time of the election, the contributions shall be based upon the compensation earnable in the last school year of credited service or either of the two immediately preceding school years, whichever is highest.

(e) The total amount of contributions due from the member under subdivision (b) shall be reduced by the amount received from the Public Employees’ Retirement System pursuant to Section 20309.5 of the Government Code. Under no circumstances may the assets received from the Public Employees’ Retirement System, pursuant to that section, be allocated or awarded to individual members or their spouses or beneficiaries.

extra service credit Defined Benefit Program Public Employees' Retirement System cover state service additional contributions payment installments highest salary year creditable service retirement switch payment terms lump sum payment installment payment school year compensation unallocated retirement funds

(Amended by Stats. 2003, Ch. 859, Sec. 11. Effective January 1, 2004.)

Section § 22802

If you're a current member of California's Defined Benefit Program but weren't always part of it, you can choose to buy service credit for specific types of past work. This includes substitute teaching, part-time jobs, or work under different terms, like adult education or being a school nurse, provided certain conditions are met. Before doing so, you need to stop receiving benefits from any other related retirement systems for that work. You'll also have to pay for these additional credits yourself, and you can only buy credits if they won't overlap with credits from other programs, ensuring you don't exceed earning one year of credit per school year.

(a) A member, other than a retired member, who was previously excluded from membership in the Defined Benefit Program may request to purchase service credit for:

(1) Service as a substitute excluded under Section 22602.

(2) Creditable service subject to coverage under the Cash Balance Benefit Program if the member is currently contributing to the Defined Benefit Program and has terminated all service subject to coverage under the Cash Balance Benefit Program. Upon requesting to purchase service credit under this paragraph, the member shall cease to be eligible for a benefit for the same service or time previously credited under the Cash Balance Benefit Program pursuant to Part 14 (commencing with Section 26000).

(3) Service performed on a part-time basis excluded under Section 22601.5 or Section 22604, other than service credited under paragraph (2).

(4) Adult education service excluded under Section 22603, as it read on December 31, 1995.

(5) Service as a school nurse excluded under Section 22606, as it read on December 31, 1995.

(6) Service performed in a position prior to the date the position was made subject to coverage under the Defined Benefit Program.

(7) Service subject to coverage under the Defined Benefit Program performed while a member of another California public retirement system, provided the member has ceased to be a member of, and has ceased to be entitled to benefits from, the other retirement system. The member shall not receive credit for the service if the member may redeposit withdrawn contributions and subsequently be eligible for any benefits based upon the same service or based upon other full-time service performed during the same period, from another California public retirement system.

(b) A member who requests to purchase service credit under this part for service performed while excluded from membership under the Defined Benefit Program shall pay all of the required contributions for all or the portion of that service for which the member requests to purchase service credit.

(c) A member shall not request to purchase service credit for service or time described in paragraphs (1) and (3) to (7), inclusive, of subdivision (a) if, after the request, the member would continue to receive credit for the same service or time in the Cash Balance Benefit Program under Part 14 (commencing with Section 26000) or another public retirement system.

(d) A member shall not purchase service credit for any school year if the purchase would result in more than one year of service for that school year.

Defined Benefit Program service credit purchase substitute teaching part-time service Cash Balance Benefit Program retired member public retirement system adult education service school nurse service member contributions exclusion from membership creditable service redeposit contributions eligibility for benefits one year service limit

(Amended by Stats. 2021, Ch. 186, Sec. 3. (SB 634) Effective January 1, 2022.)

Section § 22803

If you're an active member of certain California retirement systems, you might be able to buy service credit for various types of past employment. This includes teaching in state universities, special schools like those for the deaf or blind, Indian schools, the Peace Corps, or even approved leave like sabbaticals or maternity leave. However, you can't double-dip by getting credit for the same time period in another public retirement system.

(a) A member, other than a retired member, may request to purchase service credit for any of the following:

(1) Service performed in a teaching position in the University of California or California State University that is not covered by another public retirement system.

(2) Service performed in a certificated teaching position in a child care center operated by a county superintendent of schools or a school district in this state.

(3) Service performed in a teaching position in the California School for the Deaf or the California School for the Blind, or in special classes maintained by the public schools of this state for the instruction of the deaf, the hard of hearing, the blind, or the semisighted.

(4) Service performed in a certificated teaching position in a federally supported and administered Indian school in this state.

(5) Time served, not to exceed two years, in a certificated teaching position in a job corps center administered by the United States government in this state if the member was employed to perform creditable service subject to coverage under the Defined Benefit Program within one year prior to entering the job corps and returned to employment to perform creditable service subject to coverage under the Defined Benefit Program within six months following the date of termination of service in the job corps.

(6) Time served, not to exceed two years, in a teaching position as a member of the Peace Corps if the member was employed to perform creditable service subject to coverage under the Defined Benefit Program within one year prior to entering the Peace Corps and returned to employment to perform creditable service subject to coverage under the Defined Benefit Program within six months following the date of termination of service in the Peace Corps.

(7) Time spent on a sabbatical leave, approved by an employer in this state after meeting the requirements of Section 44969.

(8) Time spent on an approved leave, approved by an employer in this state, to participate in any program under the federal Mutual Educational and Cultural Exchange Program.

(9) Time spent on leave approved by an employer in this state as maternity or paternity leave, not to exceed 24 consecutive months, regardless of whether or not the leave was taken before or after the addition of this subdivision.

(10) Time spent on an employer-approved leave based on the guidelines for the Family and Medical Leave Act or the California Family Rights Act, or both, up to a total of 12 workweeks in any 12-month period.

(11) Time spent employed by the Board of Governors of the California Community Colleges in a position subject to coverage by the Public Employees’ Retirement System between July 1, 1991, and December 31, 1997, provided the member has elected to return to coverage under the State Teachers’ Retirement System pursuant to Section 20309 of the Government Code.

(b) In no event shall the member receive credit for service or time described in paragraphs (1) to (11), inclusive, of subdivision (a) if the member has received or is eligible to receive credit for the same service or time in the Cash Balance Benefit Program under Part 14 (commencing with Section 26000) or another public retirement system.

service credit purchase teaching position University of California California State University child care center California School for the Deaf California School for the Blind federally supported Indian school job corps Peace Corps sabbatical leave maternity leave paternity leave Family and Medical Leave Act California Family Rights Act

(Amended by Stats. 2010, Ch. 207, Sec. 8. (AB 2260) Effective January 1, 2011.)

Section § 22804

This law outlines when a 'war with a foreign power' is considered to exist: when Congress declares war and peace isn't restored, when the U.S. is involved in military operations against another country even without a formal war declaration, or when the U.S. is helping the United Nations use military force to maintain or restore peace and security in the world.

For the purposes of this chapter, war with a foreign power exists under any of the following conditions:

(a) Whenever Congress has declared war and peace has not been formally restored.

(b) Whenever the United States is engaged in active military operations against any foreign power, whether or not war has been formally declared.

(c) Whenever the United States is assisting the United Nations, in actions involving the use of armed force, to maintain or restore international peace and security.

war declaration military operations foreign power Congress international peace armed forces United Nations military engagement peace restoration military assistance active military operations formal war declaration

(Repealed and added by Stats. 1993, Ch. 893, Sec. 2. Effective January 1, 1994.)

Section § 22805

If you've served in the military, including in roles recognized by Congress or the state, or with the American Red Cross before September 1957, you might be eligible to get credit for that time towards your retirement benefits. This applies if your service was during a war, national emergency, or if you were drafted in peacetime, as long as you were working in a job covered by the Defined Benefit Program just before enlisting. However, any time you were absent from service without pay doesn't count.

(a) A member may request to receive credit under this part for time served in the active military service of the United States or of this state, including active service in any uniformed auxiliary to any branch of that military service authorized as an auxiliary by Congress or the Legislature, or in the full-time paid service of the American Red Cross prior to September 1957, if both of the following conditions exist:

(1) The time served was during war with any foreign power or during other national emergency, or in time of peace if the member was drafted for that service by the United States government.

(2) The member was employed to perform creditable service subject to coverage under the Defined Benefit Program within one year prior to entering that service. Time included under this section shall be considered as served in the state in which the member was last employed before entering that service.

(b) Time during which the member was absent without compensation for other cause, on leave or otherwise, shall not be included.

military service credit active military service uniformed auxiliary American Red Cross national emergency Defined Benefit Program war time service drafted service employment prior to service absent without compensation retirement benefits creditable service peace time service state employment served time recognition

(Amended by Stats. 2009, Ch. 304, Sec. 9. (SB 634) Effective January 1, 2010.)

Section § 22806

If you retired after December 31, 1981, and served in the U.S. Armed Forces or Merchant Marine, you might be able to add up to four years of service credit to your pension. You must have served at least one year before joining the Defined Benefit Program, and your discharge must not have been dishonorable. You'll need at least 10 years of credited service to qualify. However, if you get military retirement pay for over 20 years of service or disability retirement pay, this option doesn't apply, with some exceptions. You also need to pay for any administrative costs and contributions related to this credit. Importantly, you can't get this credit if you're also getting credit for the same service elsewhere. Finally, the board isn't responsible for informing members about this option.

(a) A member who retired on or after December 31, 1981, may elect to receive credit under this part, of not to exceed four years, for time served of not less than one year, prior to membership in the Defined Benefit Program, in the Armed Forces of the United States or in the Merchant Marine of the United States. Service credit shall not be granted if that service terminated with a discharge under dishonorable conditions. The service credit to be accorded pursuant to this section for that service shall be on the basis of one year of credit for each five years of credited service, but shall not exceed a total of four years of service credit regardless of the number of years of either that service or subsequent service. A member electing to receive credit under this part for that service shall have been credited with at least 10 years of service on the date of election.

(b) A member who elects to become subject to this section shall pay all reasonable administrative costs and contributions, sufficient to cover the total employer and employee cost plus interest of the military service credit, to be calculated in a manner consistent with other permissive service credit purchases in this chapter, as determined by the board.

(1) Military retirement pay based on 20 or more years of active duty with the Armed Forces of the United States, except for credit toward military retirement pay that is earned by a combination of active duty and nonactive duty with a reserve component of the Armed Forces of the United States and where the retirement pay is payable only upon the attainment of a specified age.

(2) Disability retirement pay that is paid by one of the Armed Forces of the United States, except for a member who is receiving disability compensation from the Veterans Administration and is not receiving retirement pay from one of the Armed Forces of the United States.

(d) A member shall not receive credit for service or time under this section if the member has received or is eligible to receive credit for the same service or time in the Cash Balance Benefit Program under Part 14 (commencing with Section 26000) or in another public retirement system.

(e) The board has no duty to locate or notify any member or to provide the name or address of any member, agency, or entity for the purpose of notifying those persons.

armed forces service credit merchant marine credit defined benefit program dishonorable discharge 10 years service prerequisite military retirement pay exception disability retirement pay administrative costs permissive service credit purchase public retirement system service credit limit board notification responsibility

(Amended by Stats. 2022, Ch. 196, Sec. 1. (SB 1402) Effective January 1, 2023.)

Section § 22807

This section of the law deals with how military service time counts towards benefits for members of the Defined Benefit Program. If a member extends their military service voluntarily, they won't receive credit for the extra time if it was after December 31, 1958. Additionally, there's a cap of four years for counting military service performed after June 30, 1998, unless specific exceptions are stated elsewhere in the law.

(a) A member of the Defined Benefit Program who voluntarily requests or agrees to an extension of his or her original term of enlistment, service, or tour of duty shall not receive credit under this part for time served during the extension of military service after December 31, 1958.

(b) In no event shall a member receive credit for more than four years of military service performed after June 30, 1998, except where otherwise authorized in accordance with Chapter 14.5 (commencing with Section 22850).

Defined Benefit Program military service extension service credit limit enlistment extension voluntary extension military service credit time served Chapter 14.5 service credit exception benefits eligibility Section 22850 military enlistment time limit on service credit

(Amended by Stats. 1998, Ch. 965, Sec. 95. Effective January 1, 1999.)

Section § 22808

This section says that if you're part of the Defined Benefit Program, you don't have to pay extra to get credit for certain past work if it meets specific criteria. For example, if you worked after September 15, 1940, and returned to a covered job before March 19, 1948, or if you went back to a covered job within six months after some defined service dates, you qualify. There's also a specific note that if you worked before January 1, 1992, and returned or retired shortly after, you could qualify for this benefit. Employers aren't required to pay certain contributions if these conditions are met.

A member of the Defined Benefit Program shall not be required to pay contributions under this part to receive credit for service under Section 22805 under any of the following conditions:

(a) The service was performed after September 15, 1940, and the member returned to employment subject to coverage under the Defined Benefit Program prior to March 19, 1948.

(b) The service was performed prior to January 1, 1950, and the member was continuously performing the service prior to that date and returned to employment subject to coverage under the Defined Benefit Program within six months following the termination of the service.

(c) The service was performed prior to September 14, 1978, and the member entered that service after December 31, 1949, and returned to employment subject to coverage under the Defined Benefit Program within six months following the termination of the service.

(d) The service was performed prior to January 1, 1992, and the member entered that service after August 1, 1990, and retired or returned to employment subject to coverage under the Defined Benefit Program and earned additional service credit within six months following the termination of that service or within six months after the completion of any period of rehabilitation offered by the United States government, excluding rehabilitation solely for educational purposes. Notwithstanding Section 22250, 22251, or 22253, employers of members subject to this section shall not be required to make the contributions required by Chapter 16 (commencing with Section 22950).

Defined Benefit Program service credit September 15 1940 March 19 1948 January 1 1950 service prior continuous service six months September 14 1978 January 1 1992 August 1 1990 retired rehabilitation extra contributions employer contributions

(Amended by Stats. 1998, Ch. 965, Sec. 96. Effective January 1, 1999.)

Section § 22809

If you were of Japanese ancestry and worked as a teacher in a war relocation center during wartime, and now are part of the Defined Benefit Program, you may be able to get credit for your teaching service. This applies if you were put in such a center before joining the program, earned money as a teacher there, and either held a valid California teaching credential or had a bachelor's degree in education from a California college.

A member of the Defined Benefit Program may elect to receive credit under this part for teaching service performed within and outside of this state in a war relocation center administered by the Wartime Civil Control Administration if all of the following conditions exist:

(a) By reason of the member’s Japanese ancestry the member was placed in a war relocation center prior to becoming a member of the Defined Benefit Program.

(b) The member earned compensation for service in a teaching capacity in the relocation center.

(c) The member possessed a valid California teaching credential issued by the State Department of Education or had a bachelor’s degree in education from a California postsecondary institution.

Defined Benefit Program Japanese ancestry war relocation center teaching service credit Wartime Civil Control Administration California teaching credential bachelor's degree in education teaching service relocation centers wartime teacher service education credential requirements

(Amended by Stats. 1998, Ch. 965, Sec. 97. Effective January 1, 1999.)

Section § 22810

This law allows certain teachers who were part of the Defined Benefit Program as of June 30, 1944, to receive credit for their teaching service before July 1, 1944, even if that service was performed outside of California. Eligible service includes teaching in U.S. states or territories, Canada, publicly supported universities, the Civilian Conservation Corps, U.S. Indian schools, or schools for the deaf or blind. However, they can't receive credit if they've already received or can receive credit for the same service from another retirement system.

(a) Any member of the Defined Benefit Program, who was a member of the program on June 30, 1944, may elect to receive credit under this part for the following service performed prior to July 1, 1944, in other states, territories, or possessions of the United States, or in Canada:

(1) Service in a teaching position that in this state would be subject to coverage under the Defined Benefit Program.

(2) Service in a teaching position in a publicly supported and administered university or college.

(3) Service in a teaching position with the Civilian Conservation Corps or in an Indian school supported and administered by the United States government.

(4) Service in a publicly supported residential school for the deaf or the blind.

(b) In no event shall the member receive credit for this service if the member has received or is eligible to receive credit for the same service in another retirement system.

Defined Benefit Program teaching service credit Civilian Conservation Corps Indian school university teaching residential school for the deaf residential school for the blind foreign teaching service retirement system eligibility 1944 membership publicly supported college service credit outside California retirement credit restrictions historical service recognition Canada teaching service

(Amended by Stats. 1998, Ch. 965, Sec. 98. Effective January 1, 1999.)

Section § 22811

This law lets members of the Teachers’ Retirement Fund move money from certain retirement accounts into the fund. They can do this to buy additional service credit or to repurchase any contributions they previously took out. However, these transfers must follow the specific rules set by the board and comply with both federal and state laws.

Pursuant to terms and conditions established by the board, members may transfer funds from eligible retirement plans into the Teachers’ Retirement Fund to purchase service credit or redeposit previously refunded contributions pursuant to this chapter, Chapter 14.2 (commencing with Section 22820), Chapter 14.5 (commencing with Section 22850), and Chapter 19 (commencing with Section 23200), to the extent that the transfer is allowable under, and is completed in a manner prescribed by, applicable federal and state law and any related regulations.

Teachers’ Retirement Fund service credit purchase refunded contributions eligible retirement plans transfer funds federal law compliance state law compliance retirement plan transfer board conditions redeposit contributions Chapter 14.2 Chapter 14.5 Chapter 19 regulations retirement fund eligibility transfer rules

(Added by Stats. 2001, Ch. 803, Sec. 7. Effective January 1, 2002.)

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State Teachers' Retirement System

Chapter 14Permissive and Additional Service Credit