Virginia VRS Calculator: How to Use It
VRS has three plans: Plan 1, Plan 2 and the Hybrid. Each has its own multiplier, AFC window and retirement ages. Your membership date, and for Plan 1 whether you were vested by 2013, decides which one you're in.
What this calculator does
It applies your plan's multiplier to your projected service and AFC: 1.7% for Plan 1, 1.65% for Plan 2 service from 2013 on (1.7% for earlier years), and 1.0% for the Hybrid defined benefit. Then it checks whether you'd retire unreduced, reduced or not at all at the age you enter. For Plan 1 it applies the published reduction. For Plan 2 and Hybrid early retirement it shows the unreduced number and tells you to confirm the cut with VRS, because VRS doesn't publish that factor.
Hybrid members also get a DC projection based on the mandatory 1% plus 1% and whatever voluntary rate you pick, with the matching employer amount.
What each input means
Plan
Plan 1: membership date before July 1, 2010 and vested by January 1, 2013. Plan 2: membership date from July 1, 2010 to December 31, 2013, or earlier without 5 years by January 1, 2013. Hybrid: membership date on or after January 1, 2014. myVRS shows which one you're in.
Current age and years of VRS service
Your service credit today. The calculator adds a year for every year between now and your retirement age. Your birth year is taken as 2026 minus your age, which sets your Social Security normal retirement age for Plan 2 and Hybrid.
Service before 2013 (Plan 2 only)
Plan 2 pays 1.7% on service before January 1, 2013 and 1.65% after. Enter the years you'd earned by the end of 2012.
Average final compensation
The annual average of your 36 (Plan 1) or 60 (Plan 2, Hybrid) consecutive months of highest creditable pay.
Planned retirement age
Plan 1 is unreduced at 65 with 5 years or 50 with 30, and reduced at 55 with 5 or 50 with 10. Plan 2 and Hybrid are unreduced at Social Security normal retirement age with 5 years or when age plus service hits 90, and reduced from 60 with 5.
Understanding the outputs
A Plan 1 member retiring at 62 with 20 years is 36 months from 65. At 0.5% a month that's an 18% cut. Someone at 55 with 5 years is 120 months out: 60 months at 0.5% plus 60 at 0.4%, or 54%. If you'd hit 30 years before 65, the clock runs to that date instead, so a 55-year-old with 25 years is only 60 months out and loses 30%.
The 20- and 30-year totals leave out the COLA. Plan 1 COLAs go up to 5% and Plan 2 and Hybrid up to 3%.
Related calculators
Frequently asked questions
What is the difference between Plan 1, Plan 2 and the Hybrid?
Plan 1: 1.7% multiplier, 36-month AFC, unreduced at 65 with 5 years or 50 with 30. Plan 2: 1.65% for service from 2013 on (1.7% before), 60-month AFC, unreduced at Social Security normal retirement age with 5 years or when age plus service reaches 90. Hybrid: 1.0% DB multiplier, 60-month AFC, same unreduced rules as Plan 2, plus a DC account.
How does the Rule of 90 work?
Plan 2 and Hybrid members retire unreduced once age plus service equals 90, with no minimum age in the statute. 62 with 28 years qualifies. So does 58 with 32.
How is the early retirement reduction calculated?
Plan 1: 0.5% a month for the first 60 months before your unreduced date (65, or the date you would reach 30 years), then 0.4% a month. 50/10 retirees lose another 0.6% for each month under 55. Plan 2 and Hybrid: an actuarial reduction VRS does not publish as a rate, so the calculator shows the unreduced amount and asks you to confirm with VRS.
How does the Hybrid DC component work?
A mandatory 1% from you and 1% from your employer. Optional 0.5% to 4% more from you, matched up to 2.5%. The calculator projects the account with an assumed 6% return and 4% draw. myVRS shows your real balance.
How is the AFC calculated?
Plan 1: your 36 consecutive months of highest creditable compensation. Plan 2 and Hybrid: your 60 consecutive months of highest creditable compensation. Enter it as an annual figure.