AI (annual increase)
PERA's yearly July increase to retirees' benefits.
Annual Increases fact sheet p. 1More on this →The two terms that matter most for your check are HAS, your highest average salary, and your HAS table (PERA 1 to PERA 9). To see them at work, open the calculator with a PERA 2, age 61, 29 years example.
Automatic adjustment provision
A rule in state law that moves contribution rates and the annual increase up or down a little each year, depending on whether PERA is on track to be fully funded.
Annual Increases fact sheet p. 2; Automatic Adjustment fact sheet pp. 1-2More on this →Cobeneficiary
The one person you name under Option 2 or 3 to receive a monthly benefit after your death. A named beneficiary is different: that person gets any remaining lump sum.
Your PERA Benefits p. 8More on this →Effective date of retirement
The day your retirement starts: the 1st of the month after your last day on the job or your termination date, whichever is later.
Retirement Process p. 4, Effective Date of RetirementMore on this →HAS (Highest Average Salary)
The monthly average of your highest 3 or 5 years of PERA salary, with raises capped.
Your PERA Benefits p. 7More on this →HAS table
PERA's chart of the percentage of HAS paid at each age and number of years of service. Shaded boxes are reduced retirements.
Your PERA Benefits p. 16More on this →Money purchase benefit
A benefit worked out from your account balance, a match and your life expectancy. With five or more years of service PERA pays it only if it is higher than the formula benefit.
Your PERA Benefits p. 7, Money Purchase Benefit CalculationMore on this →Option 1
The largest monthly benefit, paid for your life. Any account balance left when you die goes to your named beneficiary with a 100% match.
Your PERA Benefits p. 8, Benefit OptionsMore on this →PERACare
PERA's health, dental and vision coverage for retirees. PERA pays a monthly subsidy toward the health premium only.
Retirement Process p. 11; PERACare Pre-Medicare 2026 p. 16More on this →Reduced service retirement
Retiring before you qualify for a full benefit. You get a smaller percentage of HAS, from the shaded boxes on your HAS table, for life.
Your PERA Benefits p. 7, Reduced Service Retirement Eligibility; p. 16More on this →Rule of 80, 85, 88 or 90
Full benefits once your age plus your years of service reach that number, from a minimum age that depends on when you joined PERA.
C.R.S. 24-51-602More on this →School Division
The part of PERA for Colorado school district employees, other than Denver Public Schools, which has its own DPS Division.
Your PERA Benefits p. 1, Program OverviewMore on this →Service credit
The time you have worked in PERA-covered jobs, in years and months. It counts toward when you can retire and toward the formula. School employees who work at least 8 months of the August-through-July year earn a full year.
Your PERA Benefits p. 3, Service Credit; School and DPS Service Credit fact sheet PDF pp. 1-2More on this →Service retirement
A full (unreduced) benefit: 2.5% of your HAS for each year of service credit, up to 100% of HAS. These are the unshaded boxes on your HAS table.
Your PERA Benefits p. 7, Defined Benefit Calculation; p. 16More on this →Vested
Having at least five years of service credit, which keeps your right to a future monthly benefit if you leave.
Your PERA Benefits p. 13More on this →Working retiree
A PERA retiree who works for a PERA employer. Most can work up to 110 days or 720 hours a calendar year without losing benefits.
Working After Retirement p. 1, Workday Limit DefinitionMore on this →Source: Your PERA Benefits: A Summary of the Colorado PERA Defined Benefit Plan, Revised April 2026, pp. 1, 3, 7, 8, 13, 16. Also: Annual Increases fact sheet pp. 1, 2; Automatic Adjustment fact sheet pp. 1-2; Retirement Process pp. 4, 11; PERACare Pre-Medicare 2026 p. 16; C.R.S. 24-51-602; School and DPS Service Credit fact sheet; Working After Retirement p. 1. Last reviewed .