You earn service credit for each year or partial year you work for a CalPERS covered employer. It accumulates on a fiscal year basis (July 1 through June 30) and is one of the factors they use to calculate your future retirement benefits.
Your CalPERS retirement benefits are based on your:
- Age at retirement
- Highest salary for either a 1- or 3-year period, depending on your employer's contract
- Years of service credit
To earn a full year of service credit during a fiscal year, you must work at least:
- 1,720 hours (hourly pay employees)
- 215 days (daily pay employees)
- 10 months full time (monthly pay employees)
CalPERS doesn't recognize overtime hours towards service credit.
Service credit for retirement purposes may differ from the service credit used by your employer for accrual of leave time. Refer to your Annual Member Statement for details.