Short answer: Tier 1 can retire early from age 50, Tier 2 from 55, and anyone with 25 years at any age. The pension is cut 5% for each year you're under 60 (Tier 1) or 65 (Tier 2), counted by the month, unless you meet the Rule of 85. Not sure of your tier? Which tier am I? To shrink the cut, see one more year or buying service. Load our Tier 1 example (57, 20 years) in the calculator.
When you can go early
Reduced: Tier 1 at age 50 and vested; Tier 2 at age 55 and vested; either tier with 25 years of service at any age. Handbook p. 11, Taking a Reduced Retirement Benefit; W.S. 9-3-415(b), 9-3-415(k)
The cut
The full benefit is permanently reduced 5% for each year you are under age 60 (Tier 1) or 65 (Tier 2) at retirement; partial years are prorated monthly (5/12% a month). No reduction if you meet the Rule of 85. Handbook p. 11, Taking a Reduced Retirement Benefit
That's 0.4167% for each month. The cut is measured to 60 or 65, not to the date you'd reach the Rule of 85. WRS Board Rules ch. 14, sec. 2(a)(i) and 3(b)
| Years early | Cut | Tier 1 age | Tier 2 age |
|---|---|---|---|
| 1 | 5% | 59 | 64 |
| 2 | 10% | 58 | 63 |
| 3 | 15% | 57 | 62 |
| 4 | 20% | 56 | 61 |
| 5 | 25% | 55 | 60 |
| 6 | 30% | 54 | 59 |
| 8 | 40% | 52 | 57 |
| 10 | 50% | 50 | 55 |
| 15 | 75% | 45* | 50* |
* Under 50 (Tier 1) or 55 (Tier 2), only with 25 years of service. Our table from the 5%-a-year rule. Handbook p. 11, Taking a Reduced Retirement Benefit
Tier 1 at exactly 57 with 20 years: 43.125% of the average = $2,156.25 a month, less 15% = $1,832.81.
Tier 2 at 62 and 6 months with 10 years: 20% = $1,000.00, less 12.5% (30 months × 5/12%) = $875.00.
Tier 1 at 58 with 26 years: age plus service is 84, one point short. The cut runs to 60: 10%, $2,548.13.
Handbook p. 11, Taking a Reduced Retirement BenefitThe law leaves the early-retirement cut to WRS rules. The written rule is from 1995 and only covers Tier 1. The handbook says 5% a year before 60 or 65, counted by the month. We use the handbook.
The details
W.S. 9-3-415(b) and (k) say the early benefit is reduced 'on an actuarial equivalent basis under rules established by the board'. Board Rules ch. 14 (1995) sets 5% a year before age 60 and does not mention Tier 2 or monthly proration. The handbook (p. 11) and valuation (pp. 8, 51) say 5% a year before 60 (Tier 1) or 65 (Tier 2), with partial years prorated monthly. Our calculator follows the handbook.
The handbook counts the early cut by the month but doesn't say how part of a month counts. We count it as a whole month, which gives the slightly bigger cut.
Why
The handbook says partial years are 'prorated on a monthly basis' but not how a partial month is counted. Our calculator counts age in completed months, so a partial month early counts as a full month.
Very early: under 50 or 55
With 25 years you can retire at any age. The 5%-a-year cut still runs to 60 or 65, and no source sets a floor, so it gets very large.
If you retire under 50 (Tier 1) or 55 (Tier 2) with 25 years, the cut can be very large. We apply 5% a year, but WRS might handle it another way. Ask WRS for an estimate.
Why
A member with 25 years under age 50 (Tier 1) or 55 (Tier 2) is eligible for a reduced benefit. The 5%-per-year rule then gives very large cuts (e.g. 75% at 45 in Tier 1) and could reach 100% for Tier 2 under 45. No source shows such a case or a floor. Our calculator applies 5% a year with no floor and caps the cut at 100%.
From the sources
- You can retire early with a reduced benefit at age 50 (Tier 1) or 55 (Tier 2) once vested, or at any age with 25 years of service.Handbook p. 11, Taking a Reduced Retirement Benefit; W.S. 9-3-415(b), (k)
- The early reduction is 5% for each year you are under 60 (Tier 1) or 65 (Tier 2), counted by the month, and it is permanent. For example, a Tier 1 member retiring at exactly 57 gets 15% less, and a Tier 2 member retiring at 62 and 6 months gets 12.5% less. There is no reduction if you meet the Rule of 85.Handbook p. 11, Taking a Reduced Retirement Benefit; WRS Board Rules ch. 14, sec. 3(b)
- Check with WRSWe count part of a month early as a whole month. WRS hasn't published how it counts a partial month, so your official figure may differ slightly.Handbook p. 11
Questions
When can I retire early?
Tier 1 at 50 and Tier 2 at 55, once you're vested. Either tier at any age with 25 years of service.
How big is the cut?
5% for each year you are under 60 (Tier 1) or 65 (Tier 2), counted by the month. It lasts for life.
Does the Rule of 85 avoid the cut?
Yes. If your age plus your service reaches 85, there's no cut at all.
Is the cut measured to my Rule of 85 date?
No. The cut is measured to 60 or 65, even if you'd reach the Rule of 85 sooner.
Source: WRS Public Employee Pension Plan Handbook, Updated August 2026, p. 11. Also: WRS Board Rules ch. 14; Actuarial valuation (2026); W.S. § 9-3-415. Last reviewed .