> Estimating and Electing the Advance Pension Option

Estimating and Electing the Advance Pension Option

If you wish to estimate or elect the Advance Pension Option, you will need an estimate of your Social Security benefit. The estimate must be less than 12 months old, assume you will have no future earnings after leaving your position and be based on your Social Security earnings record. To create an estimate, follow these steps:

First, create a Social Security estimate through the Social Security Administration website:

Go to http://www.socialsecurity.gov/ and select “Estimate your retirement benefits” from the left column on the homepage. From the next page, select “Estimate Your Retirement Benefits.”
Follow the prompts and enter the required information on the “Verify Your Identity” page. Before you select “submit,” print this page. This is the verification page you will need to submit with your retirement estimate.
Enter your salary from the previous year and select “Next” to see different Social Security retirement scenarios.
From this page, select “Add a New Estimate” to create an estimate based on your Stop Work Age:

Under “What age do you plan to stop working?” select the age you wish to retire from VRS.
Under “What is your average future earnings (per year)?” enter zero (0) if your current age is the same as your Stop Work Age—or—enter your annual salary from the previous year if your current age is less than your Stop Work Age.
Select “Submit.” Print your estimate.

Proceed to the next step.

Next, create an Advance Pension Option estimate through the VRS website:

Use the Member Calculator:

Go to Calculator & Estimator. Under “Use the Member Calculator,” select “Calculate Now.” On the next page, select your employer type and then “Next.”
On the Member Calculator page, complete Rows 1-4. In the Advance Pension Option section, select the “APO Adjuster” link. (Leave the “Monthly Benefit Amount Adjusted for APO” field blank.)
A separate window will open showing the date of birth and retirement date you entered in Rows 1 and 2 of the calculator. Verify this information and then select an APO Reduction Age from the drop-down menu. Type in or copy and paste the result from Step 4 of your Social Security estimate, from “First, create a Social Security estimate through the Social Security Administration website” above, in the “Est. Social Security Benefit” field in the APO Adjuster. Select “Calculate” to see the result. Select “Accept” to automatically copy the APO Adjuster result in the “Estimated Monthly Social Security Benefit” field in the Member Calculator.
On the Member Calculator page, the age you selected for your benefit to permanently reduce will appear in the “Benefit Leveling” age fields. Verify this information and then select “Calculate” to see an Advance Pension Option benefit estimate.

Or, use the myVRS Benefit Estimator (Plan 1 members only):

Log-in or create a secure myVRS online account. From your Account Home page, select the “Benefit Estimator” tab at the top of the page.
On the first page of the Benefit Estimator, in the first box, enter a retirement date if you wish to use a date other than your first opportunity to retire. Complete the second box only if you wish to estimate your benefit based on deferring retirement. In the third “Benefit Payout Options” box, select “Advance Pension Option” from the drop-down menu. Complete the Prior Service Credit information in the last box if applicable and then select “Next.”
On the next page, select the average final compensation you wish to use for your estimate and then select “Next.”
On the next page, under “Enter Advance Pension Option Information,” enter the age at which you would like your benefit to reduce. You can select an age from the drop-down menu. Then select the “APO Adjuster” link. (Leave the “Monthly Benefit Amount Adjusted for APO” field blank.)
A separate window will open. Enter your date of birth and retirement date. Type in or copy the result from Step 4 of your Social Security estimate, from “First, create a Social Security estimate through the Social Security Administration website” above, in the “Est. Social Security Benefit” field in the APO Adjuster. Select “Calculate” to see the result. Select “Accept” to automatically copy the result in the “Monthly Benefit Amount Adjusted for APO” field provided on Benefit Estimator page.
Select “View Estimate” from the Benefit Estimator to see the result.

If you wish to elect the Advance Pension Option when you apply for retirement, follow these steps:

Print a copy of the Verify Your Information page from the Social Security calculator (see Step 2 under “First, create a Social Security estimate through the Social Security Administration website” above).
On the “Create Additional Scenarios” page in the Social Security calculator, enter the age you wish to retire from VRS in the “Stop Work Age” field. Then enter zero (0) in the “Average Future Annual Earnings” field. Print a copy of this page.
Include these two results pages with your VRS retirement application. VRS will create the Social Security estimate needed to calculate your benefit under the Advance Pension Option based on the age you would like your temporary VRS benefit increase to end.

Need assistance?

Call VRS toll free at 1-888-VARETIR (1-888-827-3847).