2008 early retirement factor
For members first hired before May 1, 2013 who retire at 55-64 with 30+ years: 20% off at 55, falling 3 points a year, and no reduction from 62.
3% early retirement factor
The older choice for members with 30+ years first hired before May 1, 2013: 3% off for each year before 65.
5% early retirement factor
For members first hired on or after May 1, 2013 who retire at 55-64 with 30+ years: 5% off for each year before 65, prorated by month.
Actuarial early retirement factor
For Plan 2 and 3 members with fewer than 30 years who retire before 65: the State Actuary's factor for the years and months before 65.
Average Final Compensation (AFC)
The salary average used in your benefit. Plan 1 uses your two highest consecutive fiscal years; Plans 2 and 3 use your highest 60 consecutive months.
COLA
Cost-of-living adjustment. Plans 2 and 3 get one each July after a full year of retirement, up to 3% a year. Plan 1 gets one only with the Optional COLA.
COLA banking
Inflation above the 3% cap is saved and added in later years when inflation is lower.
DRS
The Washington State Department of Retirement Systems, which runs Washington TRS and decides your benefit.
Dual member
Someone with membership in more than one Washington state retirement system, including the Seattle, Spokane and Tacoma city systems. You can combine service to qualify for retirement.
Early Retirement Factor (ERF)
The reduction applied when you retire before meeting normal retirement requirements. The Office of the State Actuary provides the factors.
Maximum Option
Plan 1's highest monthly amount, for your life only.
Option 1
In Plans 2 and 3, the single-life option: the highest monthly amount, for your life only. In Plan 1, the second-highest single-life option, which refunds any contributions you haven't received.
Optional COLA
A Plan 1 choice at retirement: a lower starting pension that then adjusts each July with prices, never below the starting amount.
PEBB
The Public Employees Benefits Board program, run by the Health Care Authority (not DRS). It offers retiree medical and dental coverage.
Plan 1, Plan 2, Plan 3
The three Washington TRS plans. Plan 1 is for members who joined before Oct. 1, 1977. Plan 2 and Plan 3 cover later members; teachers hired from July 1, 2007 chose one within 90 days.
Plan 3 benefit indexing
If you leave Plan 3 with 20+ years and wait to start your pension, it grows 0.25% a month until you start or reach 65.
Plan 3 investment account
The part of Plan 3 you pay into (5% to 15% of pay). Its value depends on your contributions and investment returns.
Post-30-Year Program
A Plan 1 choice at 30 years: later contributions go into a refundable account, and the pension uses the pay years before you joined.
Separation date vs. retirement date
Separation is your last paid day of work; retirement is the first of the next month once you've applied. Pensions are paid on the last business day of each month.
Service credit
Credit for each month you work in a covered position: a quarter, a half or a full month, depending on hours. It sets both when you can retire and how much you get.
Survivor
The one person you name at retirement to get monthly payments for life after you die (Options 2, 3 and 4).
Vested
You have enough service for a lifetime pension. That's 5 years in Plans 1 and 2. In Plan 3 it's 10 years, or 5 years with 12 months after age 44.
Washington TRS
The Washington State Teachers' Retirement System, with Plans 1, 2 and 3. The Department of Retirement Systems (DRS) runs it.
No terms match. Try a shorter word.
Plain English, not the official wordingThese definitions put DRS's materials into everyday words. They aren't DRS's official definitions, and they aren't legal or financial advice. DRS decides your benefit.
Source: DRS plan pages for Washington TRS Plan 1, Plan 2 and Plan 3 (the DRS member handbook is now published as these web pages), retrieved Nov. 11, 2026, DRS plan pages (Plan 1, Plan 2, Plan 3); DRS COLA page; DRS Health Care page; TRS23RAPP (11/2022) pp. 1, 4, 6, 11, 14; TRS1RAPP (11/2022) pp. 3, 6; DRS administrative factors 2026; RCW 41.32.010, 41.32.530, 41.32.765, 41.32.770, 41.32.785, 41.32.831, 41.32.840, 41.32.845, 41.32.851, 41.32.875, 41.32.4986; WAC 415-02-320; DRS withdrawal form MS 287 (10/2026); DRS newly vested checklist (08/2026). Last reviewed .