Alaska TRS · Service credit

Buying Alaska TRS service: more years in the formula

The Alaska Teachers' Retirement System (Alaska TRS), administered by the Division of Retirement and Benefits (DRB) lets you claim some service you didn't earn as a member, and adds your unused sick leave at retirement. Each year adds 2% or 2.5% of your average base salary.

Check with Alaska TRS From the 2011 handbook. Service purchase rules and costs on this page come from the 2011 handbook, checked against the statute. Why that matters

Short answer: every year you add is another year in the Alaska TRS formula, worth 2% of your average base salary (or 2.5% past 20 years). Claimed service can also help you reach the years for unreduced retirement. Not all claimed service counts toward vesting; see leaving and vesting. Change the years in the calculator to see the difference.

What you can claim

Leave without pay, Alaska BIA service, outside (out-of-state or Alaska private school) teaching service, and military service. Outside service up to 10 years; military up to 5; the two together up to 10. Handbook (2011), pp. 9-10, Claimed Service; Bureau of Indian Affairs Service Credit; Outside Service Credit; Claim for Prior Military Service; AS 14.25.060, 14.25.075, 14.25.100, 14.25.107

Percentages are of base salary per year claimed, plus interest. Outside service cost depends on entry date and salary; members who joined on or after July 1, 1978 pay the full actuarial cost (AS 14.25.060(b)). Post-1990 entrants cannot claim military service that also earns a federal benefit. Handbook (2011), pp. 9-10, Claimed Service; Bureau of Indian Affairs Service Credit; Outside Service Credit; Claim for Prior Military Service

BIA service: cost per year

BIA service: cost per year (Alaska TRS)
Entry date% of base salary
Entered before July 1, 19705%
Entered before July 1, 19907%
Entered on or after July 1, 19908.65%

Military service: cost per year

Military service: cost per year (Alaska TRS)
Entry date% of base salary
Entered before July 1, 19907%
Entered on or after July 1, 19908.65%

Plus interest. Handbook (2011), pp. 9-10, Claimed Service; Bureau of Indian Affairs Service Credit; Outside Service Credit; Claim for Prior Military Service

The sources disagree Check with Alaska TRS

The handbook says buying military service costs 8.65% of pay if you were hired "after June 31, 1990", a date that doesn't exist. The statute (AS 14.25.060(d)) applies 8.65% to members who first joined on or after July 1, 1990. We follow the statute.

Handbook (2011), p. 10, Claim for Prior Military Service; AS 14.25.060(d)

Leave without pay and military service from before you joined raise your benefit but don't count toward vesting or retirement eligibility. Handbook (2011), p. 9, Leave Without Pay; p. 11, NOTE; Retirement booklet (June 2023), p. 4; Seminar handout (Jan. 6, 2025), slide 13

Days to years

Credit for a school year (July 1 to June 30) by days worked. Part-time service is credited in proportion to full-time credit. Example: 188 days at 75% time = 0.7 year. Must work at least 50% of the normal week. Handbook (2011), p. 9, Membership Service Chart; p. 35, Glossary, Year of Service; Seminar handout (Jan. 6, 2025), slide 7; AS 14.25.220(47); Handbook (2011), p. 9

Days to years (Alaska TRS)
DaysCredit
9–260.1
27–440.2
45–620.3
63–800.4
81–990.5
100–1170.6
118–1350.7
136–1530.8
154–1710.9
172 or more1.0

DRB's example: 188 days at 75% time = 0.7 year. Handbook (2011), p. 9

Unused sick leave

At retirement, unused sick leave (not personal or annual leave) earned as an active member after June 30, 1977 can be added to credited service, using the membership service chart, with no contributions. It must be verified by your last employer and received within one year of retirement. It raises the benefit only after you have been retired for as many days as you claimed, from the first of the following month. It does not count toward eligibility. Handbook (2011), p. 22, Unused Sick Leave; Retirement booklet (June 2023), p. 29, Section X; Seminar handout (Jan. 6, 2025), slide 13; AS 14.25.115

94 days = 0.5 year. Retiring July 1, 2026, the increase starts November 1, 2026.181 days = 1.1 years.
Retirement booklet (June 2023), p. 29; Handbook (2011), p. 22

Unpaid indebtedness

Unpaid indebtedness for claimed or refunded service at retirement: members who first entered after June 30, 1982 take a lifetime actuarial reduction. Earlier entrants have other choices (handbook p. 11). Claimed service is left out if its reduction would lower the benefit, and the payments are refunded. Handbook (2011), p. 11, Indebtedness Payments; Retirement booklet (June 2023), p. 1, Must-Do Checklist

The facts

Add the years to your service in the calculator to see what they're worth.

Questions

What service can I buy in Alaska TRS?

Leave without pay, Alaska Bureau of Indian Affairs (BIA) teaching, outside teaching (out of state or in an Alaska private school) and military service.

Does bought service count toward retiring?

Some of it raises your benefit only. Leave without pay and military service from before you joined don't count toward vesting or the 20-year rule.

Does unused sick leave count?

Yes, at retirement. Unused sick leave earned as a member after June 30, 1977 is added to your credited service, using the same days-to-years chart.

Source: Alaska Teachers' Retirement System Information Handbook (Tiers I and II), 2011 edition (current on drb.alaska.gov), checked against the TRS Retirement Application Instruction Booklet (June 2023), pp. 9-10, 9-11, 22, 35. Also: Seminar handout (Jan. 6, 2025), slides 7, 13; Retirement booklet (June 2023), pp. 1, 4, 29; AS 14.25.060, 14.25.075, 14.25.100, 14.25.107, 14.25.115, 14.25.220. Last reviewed .