Michigan MPSERS Retirement Calculator: How to Use It
The calculator applies the pension rules in the Public School Employees Retirement Act (1980 PA 300) and the Office of Retirement Services member pages. It covers MIP, Pension Plus and Pension Plus 2.
The inputs
Plan
MIP if you first worked before July 1, 2010. Pension Plus if you first became a member from July 1, 2010 through January 31, 2018. Pension Plus 2 if you first worked on or after February 1, 2018 and are in the hybrid plan. Members in the DC-only plan have no pension.
MIP pension factor
MIP only. Pick the structure miAccount shows for you. If you kept your old contribution rate in 2012, enter your service before February 1, 2013; the calculator uses 1.5% on that and 1.25% on the rest. MIP 7% members use 1.5% throughout, or 1.25% after 30 years if they set an attainment date.
Years of service so far
Your credited service from your ORS statement. The calculator adds one year for each year between your current age and the age you stop working.
Final average compensation
Your highest 36 consecutive months (MIP) or 60 consecutive months (Pension Plus and Plus 2) of pay, averaged per year.
Age you stop working
The calculator checks every route open to your plan at that age. If you aren't eligible yet but have 10 years, it shows the deferred pension starting at 60.
How the result is built
Annual pension = service x 1.5% (or 1.25% on the post-2013 or post-30-year portion for MIP) x FAC. An MIP early reduced pension is cut 1/2 of 1% for each month before 60. The figure is a straight life amount; survivor options pay less.
Pension Plus 2's retirement age of 60 can rise after an ORS mortality study. The calculator uses 60. Confirm your age with ORS if you're more than 5 years from it.
Frequently asked questions
Does Pension Plus have a 30-year retirement?
No. Pension Plus and Pension Plus 2 pay only at age 60 with 10 years of service (MCL 38.1381c). The 30-years-at-any-age rule belongs to MIP.
How is final average compensation figured?
It is your highest 36 consecutive months of pay for MIP, or your highest 60 consecutive months for Pension Plus and Pension Plus 2, averaged per year (MCL 38.1304(12)). ORS looks back from your last day in the pension plan and uses an earlier window if it was higher.
Can I retire early with a reduction?
Only in MIP (and the Basic Plan). With 15 to 29 years you can retire from age 55 while still working, and the pension is cut 1/2 of 1% for each month before 60. Pension Plus and Pension Plus 2 have no early reduced option.
Does Michigan MPSERS provide a COLA?
MIP retirees get 3% of their initial pension added each October after a full year of retirement, without compounding. Pension Plus and Pension Plus 2 get no increase.