Alaska Public Employees Association/AFT Web Site

PERS Tier comparison chart

Alaska Division of Retirement & Benefits
Public Employees' Retirement System Plan Comparison Chart
Rev. 1/12/2004

Tier I

1/1/61 - 6/30/86

Tier II

Entered on or after 7/1/86

Tier III

Entered on or after 7/1/96
Pre-tax employee contribution:
  6.75% beginning 1/1/87—All others
  7.5% beginning 1/1/87—police and fire
  9.6% beginning 7/1/99—school district		 Pre-tax employee contribution:
  6.75% beginning 1/1/87—All others
  7.5% beginning 1/1/87—police and fire
  9.6% beginning 7/1/99—school district		 Pre-tax employee contribution:
  6.75% beginning 1/1/87—All others
  7.5% beginning 1/1/87—police and fire
  9.6% beginning 7/1/99—school district
Members vest with 5 years of service. Members vest with 5 years of service. Members vest with 5 years of service.
Normal retirement age is 55, with early retirement at age 50; police/fire members can retire at any age after 20 years of police/fire service; all other members can retire at any age after 30 years of membership service. Early retirement reduction will be ½% per month or 6% per year for every year less than the required normal retirement age. Normal retirement age is 60, with early retirement at age 55; police/fire members can retire at any age after 20 years of police/fire service; all other members can retire at any age after 30 years of membership service. Early retirement reduction will be ½% per month or 6% per year for every year less than the required normal retirement age. Normal retirement age is 60, with early retirement at age 55; police/fire members can retire at any age after 20 years of police/fire service; all other members can retire at any age after 30 years of membership service. Early retirement reduction will be ½% per month or 6% per year for every year less than the required normal retirement age.
Benefit formula is 2% for first 10 years and all years of service prior to July 1, 1986, 2.25% for the next 10 years, 2.5% per year thereafter. Benefit calculation is determined on the average of the high three consecutive years’ salary.

Police/Fire 2% x 10, 2.5% over 10.

 Benefit formula is 2% for first 10 years, 2.25% for the next 10 years, and 2.5% per year thereafter. Benefit calculation is determined on the average of the high three consecutive years salary.

Police/Fire 2% x 10, 2.5% over 10.

 Benefit formulas did not change; however, the benefit calculation is determined on the average of the high five consecutive years' salary. The benefit calculation for police and fire members is the average of the high three consecutive years regardless of tier (effective 2002).
An Alaska Cost-of-Living Allowance is payable to benefit recipients who remain domiciled in Alaska after retirement. The allowance is $50 or 10% of the base benefit, whichever is greater. An Alaska Cost-of-Living Allowance is payable to benefit recipients 65 or older or disability benefit recipients regardless of age who remain domiciled in Alaska after retirement. The allowance is $50 or 10% of the base benefit, whichever is greater. An Alaska Cost-of-Living Allowance is payable to benefit recipients 65 or older or disability benefit recipients regardless of age who remain domiciled in Alaska after retirement. The allowance is $50 or 10% of the base benefit, whichever is greater.
PRPA increases granted on an ad hoc basis. The automatic PRPA legislated in 1986 applied to all members regardless of hire date.  Automatic PRPA adjustments to disabled members, retirees 60 and over, and those who have received benefits for 5 years. Automatic PRPA adjustments to disabled members, retirees 60 and over, and those who have received benefits for 5 years.
Medical coverage is provided to all benefit recipients and their eligible dependents. The retiree medical plan premium is paid by the retirement system. Medical coverage is provided to disabilitants, regardless of age and benefit recipients over age 60 or
  • police/fire members with 25 years of police/fire service
  • all other members with 30 years of membership service

and their eligible dependents. The retirement system pays the retiree medical plan premium. Retirees and survivors under age 60 must pay the full premium cost if they want coverage.

Same as Tier II. However, employees must accrue a minimum of 10 years of credited service*, to have system-paid coverage at age 60. Employees with less than 10 years must pay the full premiums as long as they wish to continue medical coverage.
Disability benefits for members: nonoccupational disability benefits are calculated as a normal retirement. Occupational disability provides 40% of the gross monthly compensation. Different occupational disability formula available before 7/1/76. Disability benefits for members: nonoccupational disability benefits are calculated as a normal retirement. Occupational disability provides 40% of the gross monthly compensation. Disability benefits for members: nonoccupational disability benefits are calculated as a normal retirement. Occupational disability provides 40% of the gross monthly compensation.

*Credited service includes all service used in the calculation of a retirement benefit.