Who can buy: Vested with 5 years of ATRS service credit; not retired or in T-DROP; not drawing a benefit from another system for the same years.
Cost: Actuarial cost, paid in one lump sum (rollover, check, cashier's check or money order); the cost changes each July 1. Ask ATRS for a cost estimate.
What it counts for: Retirement eligibility, early retirement, T-DROP and the benefit amount; not vesting (except repay refund), the lump-sum death benefit or the stipend. Member Handbook p. 12, Free and Purchased Service Credit; pp. 42-44, Appendix B - Purchasable Service Credit; 24 CAR §§ 10-501 to 10-516; Actuarial valuation 2025 p. C-7, item 18 (actuarial cost since July 1, 2011)
Purchased service and repaid refunds are bought as contributory service. Member Handbook p. 43, Appendix B (Noncontributory to Contributory); Actuarial valuation 2025 p. C-7, item 16 (repurchase of refunded service is as contributory years)
What you can buy
| Type of service | Up to |
|---|---|
| Domestic federal (schools on U.S. military bases) | 10 years |
| Federal retirement | 10 years |
| Military (active duty or reserve) | 5 years |
| Free military (entered 7/1/1937-6/30/1973 or during a federal draft) (free) | 5 years |
| National Guard | 5 years |
| Noncontributory to contributory | no set limit |
| Out-of-state | 15 years |
| Overseas / Peace Corps / VISTA | 10 years |
| Private school (certified) / Head Start | 15 years |
| Private school (noncertified) | 5 years |
| Repay refund | no set limit |
| Sabbatical (on or after June 28, 1985) | no set limit |
| Gap period (classroom teachers) | 5 years |
Member Handbook p. 12, Free and Purchased Service Credit; pp. 42-44, Appendix B - Purchasable Service Credit; 24 CAR §§ 10-501 to 10-516; Actuarial valuation 2025 p. C-7, item 18 (actuarial cost since July 1, 2011)
Out-of-state and private school service can be bought only if no other system (other than Social Security) would pay a benefit for it. Member Handbook pp. 43-44, Appendix B
From the sources
- Vested members (5 years) who aren't retired or in T-DROP can buy service at actuarial cost, paid in one lump sum. Examples include out-of-state teaching (up to 15 years), private school (15 certified / 5 noncertified), military (5), federal (10) and converting noncontributory years to contributory.Member Handbook pp. 12, 42-44
- Bought service counts toward retirement, early retirement, T-DROP and your benefit amount. It doesn't count toward vesting, the 10-year death benefit or the $50 stipend.Member Handbook pp. 12, 42
Questions
Who can buy ATRS service credit?
Vested members (5 years of ATRS service) who aren't retired or in T-DROP.
How much does it cost?
The actuarial cost, which changes each July 1. You pay it in one lump sum. ATRS gives cost estimates.
Does bought service count toward vesting or the stipend?
No. It counts toward retirement, early retirement, T-DROP and the benefit amount, but not vesting (except repaying a refund), the 10-year lump-sum death benefit or the $50 stipend.
Source: ATRS Member Handbook, 2026-2027 school year (current as of July 2026), pp. 12, 26, 42, 42-44, 43, 43-44. Also: Actuarial valuation 2025 p. C-7; ATRS rules, 24 CAR §§ 10-501, 10-516. Last reviewed .