Buying back prior service, what you should know

I’m eligible to buy back prior state service credit I earned earlier in my career. Is it better to buy it now or wait until I’m closer to retirement?

The earlier in your career you purchase prior New York state service credit the better. The cost of prior service includes interest, which means the total cost increases over time. The cost is also dependent on tier. To get prior service credit questions answered, send a secure message through your MyNYSTRS account or call NYSTRS at 800-348-7298.

Why does buying back prior service credit matter?

Although buying back prior service can’t change your membership enrollment date, or your pension tier, having more service credited to your membership allows you to reach service milestones quicker. So, remember when it comes to buying back service credit, earlier is better, preferably well before retirement. It can take months for the buy-back process to complete and will cost you less. For more information on purchasing prior service or other eligible credit (i.e., military service, reinstatement or transfer), watch “PSI: Prior Service Investigation” or read You Deserve the Credit.