What you can buy
Active members can buy public service, K-12 educational service, up to six years of military service, leave of absence (up to two years per leave, within four years of return), workers' compensation periods, previously withdrawn service, State ORP service, and up to five years of non-qualified service (needs five years of earned service). Most purchases are actuarially neutral, at least 16% of career-highest fiscal-year earnable compensation per year (withdrawn service: at least 35%). Installment interest is prime + 2%: 8.75% for installments started July 1, 2026-June 30, 2027. Must be paid in full before retirement or termination. SCRS Handbook FY2027, pp. 8-10, Purchasing service credit Withdrawn service is what you gave up with a refund when leaving teaching.
- Military: up to 6 years. SCRS Handbook FY2027, p. 9, Military service
- Non-qualified service: up to 5 years, once you have 5 years of earned service. SCRS Handbook FY2027, p. 10, Non-qualified service
What it costs
Most purchases cost at least 16% of your career-highest fiscal-year pay for each year; withdrawn service at least 35%. Installments carry 8.75% interest for plans started July 1, 2026 to June 30, 2027. SCRS Handbook FY2027, pp. 9-10; SCRS Handbook FY2027, p. 8, Purchasing service credit
Retiree health
Some purchased service cannot be used for retiree health eligibility; non-qualified service is not earned service for retiree insurance. SCRS Handbook FY2027, p. 8; Retiree Insurance Eligibility, Funding (state), PDF p. 1 See retiree health.
From the sources
- You can buy credit for other public or K-12 teaching service, up to six years of military service, approved leave, refunded SCRS service, State ORP years, and up to five years of non-qualified service (after five earned years).SCRS Handbook FY2027, pp. 8-10, Purchasing service credit
- Most purchases cost at least 16% of your highest fiscal-year pay per year bought; refunded service costs at least 35%. Installments started from July 2026 to June 2027 carry 8.75% interest.SCRS Handbook FY2027, pp. 8-10
- Purchased service like non-qualified service isn't earned service, so it may not help you qualify for retiree health insurance.SCRS Handbook FY2027, p. 8; Retiree Insurance Eligibility, Funding (state), PDF p. 1
Questions
How much does a year cost?
Usually at least 16% of your highest fiscal-year pay for each year (35% for service you withdrew). PEBA gives you the exact cost.
Can I pay over time?
Yes, in installments at prime + 2% (8.75% for installments started July 1, 2026 to June 30, 2027). It must be paid in full before you retire or leave.
Do bought years count for retiree health?
Not always. Non-qualified service isn't earned service, so it doesn't count toward retiree insurance.
Related: a bought year can move your full-pension date; see what one more year adds.
Source: South Carolina Retirement System Member Handbook, Fiscal year 2027 (SCPEBA 082026, expires June 30, 2027), pp. 8-10, 8, 9-10, 9, 10. Also: Retiree Insurance Eligibility, Funding (state). Last reviewed .