CALCULATING YOUR PENSION
There are three ways to retire from the City of Dallas:
Normal Retirement - Under Normal Retirement, you can retire at age 60 with no minimum service requirement.
Service Retirement - Service Retirement states that you can retire after 30 years of credited service regardless of your age; however, if you are under age 50 at retirement, your pension will be actuarially reduced. For example, at age 49, it will be reduced by 6.7%, at age 48 it will be reduced by 12.8% and so on.
Rule of 78 - The Rule of 78 is the most common way City of Dallas employees retire. The rule states that if your age and years of credited service add together to equal 78 or more, you can retire at or after age 50.
Your pension is calculated using a formula that includes your total service credit, the 2.75% multiplier and the average of your monthly pay during your three highest paid years. Your pension may not exceed 100% of your average monthly salary. Following is the formula used to calcuate your pension:
(Years of Service) x (2.75%) = % Monthly Salary Earned
(Average Monthly Salary x (% Monthly Salary Earned = Estimated Monthly Pension
HEALTH BENEFIT SUPPLEMENT
To help manage the costs of healthcare after you retire or to help your beneficiaries after your death, ERF will pay you a health benefit supplement in addition to your pension.
You will receive $25 per month for each full year of service credit, up to $125 per month.
COST OF LIVING ADJUSTMENT (COLA)
Every year, ERF uses the Consumer Price Index to calculate a cost of living adjustment. These adjustments are made in January and may not exceed 5% of your base pension, the pension amount you received when you first retired.