Members of the New York State and Local Retirement System (NYSLRS) may receive additional service credit for their unused, unpaid sick leave at retirement. If you’re a New York State employee, or if your employer has adopted Section 41(j) for the Employees’ Retirement System (ERS) or 341(j) for the Police and Fire Retirement System (PFRS) of the Retirement and Social Security Law, you may be eligible for this credit.
How It Works*
Your unused, unpaid sick leave may add up to 165 days (7½ months) to your service credit. The credit is calculated on a 260 annual workday basis—165 days divided by 260 days equals 7½ months—so you may receive an added credit of .63 of a year.
The additional credit for most ERS members can’t exceed 165 days. Most Tier 6 ERS members can receive up to 100 days (.38 of a year) of additional credit. For State employees in certain negotiating units, up to 200 days of unused, unpaid sick leave (.77 of a year) may be credited.
Also, depending on your employer, your unused sick leave may be used to cover some of the costs of your health insurance premiums during your retirement. (Please check with your employer for more information.)
*This section was revised on 12/5/14.
Calculation Example
If you have 130 unused, unpaid sick leave days when you retire, we would divide 130 by 260 and you would get .50 of a year, or 6 months, additional service credit.
Restrictions
While you may receive additional service credit for your sick leave under Sections 41(j) or 341(j), there are some restrictions. Credit for unused sick leave at retirement can’t be used to:
- Qualify for vesting. For example, if you have nine years and ten months of service credit and you need ten years to be vested, your sick leave credit cannot be used to reach the ten years.
- Qualify for a better retirement benefit calculation. For example, if you have 19¾ years of service credit, but your pension will improve substantially if you have 20 years, your sick leave credit cannot be used to reach the 20 years.
- Increase your pension beyond the maximum amount payable under your retirement plan.
- Meet the service credit requirement to retire under a special 20- or 25-year plan.
Check your retirement plan booklet for more information about this benefit. You can also check page 4 of your Member Annual Statement to see if this optional benefit is available to you.
I am in a local retirement system and we have a contract provision that allows members to apply unused sick leave towards the members portion of health care. My members have been told that because the payout is restricted to the health care benefit, and not available in cash, they can receive the local health care benefit and the service credit. Are you familiar with this at all.
Members of the New York State and Local Retirement System (NYSLRS) may receive additional service credit for their unused, unpaid sick leave at retirement, if their employer has adopted this benefit.
Also, depending on your employer, your unused sick leave may be used to cover some health insurance costs during your retirement. Please check with your employer for information about health insurance.
For account-specific questions about the unused, unpaid sick leave credit, members can message our customer service representatives using the secure email form on our website. Filling out the secure form allows them to safely contact you about your personal account information.
So if I have 29.5 years of service credit and am already 55 (tier 4), can I use my 6 months of sick leave to get to 30 years of service credit? Is that considered a milestone?
Unused sick leave cannot be used to reach the 30-year milestone.
If you have additional questions, you can email our customer service representatives using our secure email form. Filling out the secure form allows them to safely contact you about your personal account information.
I note the calculation on sick time is based on 260 days. I am a SUNY academic and according to the tier 4 booklet, the full college year is 170 days. does this mean the 165 day maximum is divided by 170 rather than 260?
Our customer service representatives should be able to help you with this question. We suggest emailing them using our secure email form. Filling out the secure form also allows us to safely contact you about any personal account information.
My mother has almost 16000 sixteen thousand hours of sick time and in the next few years will retire she has been at a.r.c. for about 24 years at this point. My question is are they just gonna give her a gold pen or is she obligated money towards this. If she isn’t and has worked this hard in her life with three grown children at this point I feel she should be rewarded. We my family are still really not ahead of the game and she is looking at 1300.00 a month in retirement which seems absurd I’ve never heard of anybody putting forth that much effort to justly own a gold pen, there’s gotta be compensation I believe let me know your thoughts please and thank you and thank god .
If your mother is a NYSLRS member and she has questions about her specific retirement benefits, we recommend she calls our customer service representatives at 1-866-805-0990 (518-474-7736 in the Albany, New York area). She can also send an email using our secure email form. One of our representatives will review her account and address her questions.
We have an option to be paid for 20% of our sick time upon retirement from our school district. Is it possible to be both paid and also claim the 41J credit.
The sick leave benefit under Section 41(j) — if your employer offers it — provides additional service credit specifically for unused, unpaid sick leave.
If you have account-specific questions about NYSLRS benefits, please email our customer service representatives using our secure email form. One of our representatives will review your account and respond to your questions. Filling out the secure form allows us to safely contact you about your personal account information.
if I leave service at age 52 and continue health coverage through cobra, can I use my sick time credit to offset the cost of medical once I turn 55 and change from vestee coverage to retiree coverage
NYSLRS doesn’t administer health insurance programs for its members or retirees. Whether you work for New York State or another public employer, your employer’s health benefits administrator (HBA) should be able to answer your questions.
For New York State employees, once you retire, the New York State Department of Civil Service will handle your health benefits.
I apologize if this question was already asked and answered but, I have 132 sick days remaining before the school year ends. I will receive another 15 days in September 2018 when school resumes. I am in the BUP union (nurse). I will turn 62 Feb. 2019. I would love to retire in February. I need 15 years in before I could receive heath care benefits. Fifteen years will not be until June 2019. Could I use my unused sick leave as credit so I wouldn’t have to wait until June 2019 to retire?
Unfortunately, NYSLRS doesn’t administer health insurance benefits, so we can’t tell you how your sick leave might affect your health benefits. You‘ll need to check with your health benefits administrator.
Hello I have been worrying about my mother she has over 14000 sick time in the last 26 years at A.R.C. I’m curious if she can claim anything for that . Thank you .
If you’re referring to getting anything toward health insurance costs in retirement, your mother will have to check with her employer or with New York State Civil Service. NYSLRS doesn’t administer health benefits.
As for her retirement, some employers provide a benefit which lets eligible employees receive service credit for unused, unpaid sick leave at retirement. To be eligible, she must retire directly from public employment or within a year after separating from service.
Your mother can read more about this benefit in her plan publication, which is available on our Publications page.
For questions about her specific situation, we recommend she call our customer service representatives at 1-866-805-0990 (518-474-7736 in the Albany, New York area). She can also send an email using our secure email form. One of our representatives will review her account and address her questions.
I am an employee of the city of Buffalo’s White collar union Local 650. I have 2400 hours of unused sick time. I can sell back sick time to the city at a rate of 2 to 5 using 1600 hours. this = 80 days pay. The remainder which is 800 hours that equals 100 days. Is the 100 days added to my service time 100/260 (.384 years)? is this correct? is it different for tier 2 opposed to tier 3 and 4? Thank you.
For account-specific information, please email our customer service representatives using our secure email form and one of our representatives will review your account to address your questions. Filling out the secure form allows us to safely contact you about your personal account information. Please allow five to seven business days for a response.
Can I take my sick time in the form of a cash payment? I am tier 4 and work for a local government municipality.
Please check with your employer to find out what options you have as far as lump sum payments at retirement.
Some employers provide an optional sick leave benefit called Section 41(j). If your employer has chosen to offer this benefit, you may receive service credit for your unused, unpaid sick leave days at retirement. If you cash in your sick leave, you would not be able to use it toward retirement service credit.
Also, if your employer offers health insurance cost reductions for unused sick leave, that benefit may be affected as well. You can check with your health benefits administrator for questions about your health benefits.
For NYSLRS…
Your answer does really answer the question. You say you can add sick time to your service credit but as stated above the credit won’t result in a better pension calculation. I don’t see the benefit in adding sick time to your service credit if in doing so it doesn’t increase your pension calculation. Can you clarify your point?
If your retirement plan allows, and if your employer has adopted this benefit, sick leave can be used to increase your total pension, but not to change how we calculate it. For most members, their retirement plans have certain milestones where the percentage of your earnings that you’re entitled to goes up. You can’t use sick leave to get that higher percentage, but you would receive credit for more years at the lower percentage.
There are other restrictions as well. For example, if you’re in a plan that requires 20-years of police service, you have to work the 20 years; you can’t use sick leave to get you to the 20 years faster.
It may be easier to explain using your specific pension plan information. For account-specific information, and to find out if you are eligible and how your benefit would be affected by retiring with unused, unpaid sick leave, please email our customer service representatives using our secure email form (see link below), and one of our representatives can review your account to address your questions. Filling out the secure form allows us to safely contact you about your personal account information. Please allow five to seven business days for a response.
http://www.emailNYSLRS.com
So, if you can’t use the sick leave credits to retire early or get a better pension, then I may as well use them up. I am a Tier 4. I currently have 94 sick days and want to retire at age 62 in approximately 2 1/2 years. I will then have 28.6 years in the system….what exactly is the additional sick credit used for?
Your total service credit is a factor in your retirement benefit calculation. Additional service credit from unused, unpaid sick leave can increase your total service credit if your employer has adopted the sick leave benefit.
If you have 94 unused, unpaid sick days at retirement, that may translate into extra service credit on top of your 28.6 years.
Please email our customer service representatives using our secure email form to find out if your employer offers this benefit, and how it would affect your pension. One of our representatives can review your account to address your questions. Filling out the secure form allows us to safely contact you about your personal account information. Please allow five to seven business days for a response.
Is there an electronic sick leave credit calculator available? Or would make the calculation much easier to just “plug” in numbers on a webpage.
Sorry, we don’t have an online calculator for sick leave credit, but we can explain how to calculate the credit. It’s easiest to think of it as a two-step process:
Please remember: You can’t use credit from unused sick leave to qualify for vesting; qualify for a better benefit calculation; increase your pension beyond the maximum payable under your plan; or meet the service credit requirement for a special 20- or 25-year plan. For more information, check your plan booklet, which is available from our Publications page.
Ok. I am able to lower the cost,of my health insurance after I retire, based on my sick leave hours I have on the books when I retire.
How do I figure out how much my health insurance will cost when I retire?
NYSLRS doesn’t administer health insurance programs for its members or retirees. If you are still working, you should check with your health benefits administrator to find out how much your health insurance will cost.
For New York State retirees, the New York State Department of Civil Service administers the New York State Health Insurance Program (NYSHIP). You can visit their website or call them at 1-800-833-4344 (518-457-5754 in the Albany, New York area) to learn more.
If you work for a public employer other than New York State (a county, city, town, village or school district), your employer’s health benefits administrator should be able to help you.
I am allowed per the rules of my contract to sell back my sick time over the last 12 months of my employment, will this count towards my final average salary?
Generally payment for unused sick leave does not count toward your final average salary.
However, to get the details for your specific tier and retirement plan, please email our customer service representatives using our secure email form (see link below). One of our representatives will review your account to address your question. Filling out the secure form allows us to safely contact you about your personal account information. Please allow five to seven business days for a response.
http://www.emailNYSLRS.com
Is this credit toward retirement in addition to or instead of using the unpaid sick leave to help cover insurance costs?
While it may be possible to use your sick leave credits for additional NYSLRS service credit at retirement (under Section 41-j or 341-j), we unfortunately can’t speak to how your sick leave might affect your health insurance premiums. NYSLRS does not administer health insurance programs.
If you are a State employee, any questions you have concerning health insurance coverage in retirement should be directed to the New York State Department of Civil Service. You may also be able to find helpful information in the New York State Civil Service publication, Health Insurance Coverage and Related Benefits (PDF).
If you are a non-State employee, please contact your employer health insurance benefits administrator.
If i have 30 years in the system, but am only 52 1/2, can I retire immediately while waiting until 55 to receive payments? Can the sick leave credit still be applied in this case/
For most members, you cannot retire until age 55 (by “retire”, we mean apply for and begin receiving a retirement benefit). You may choose to go off public payroll before age 55, but there are certain benefits that you may not be eligible for if you go off the payroll before your retirement date. For example, if you are off payroll for more than one year before you retire, you would not be eligible for a post-retirement death benefit (for your designated beneficiaries), and you would not be eligible to use any sick leave credits towards retirement service.
If you are considering leaving the payroll before age 55, we encourage you to contact one of our information representatives. They will be able to better assist you by reviewing your specific account information. Please email your question to our customer service representatives using our secure form. Please allow five to seven business days for a response.
There may also be health insurance implications if you leave the payroll before your retirement date. The Retirement System does not administer health insurance programs, but if you are a State employee, contact New York State Civil Service. For all non-state employees, check with your employer’s benefits administrator.
I am tier 4 and eligible for this benefit. With the additional 7 1/2 months of service credit would this add yo my current service credit and allow me to reach my 30 years and retire early. Presently I have 2 1/2 years to go?
Credit for your unused sick leave at retirement cannot be used to qualify for a better retirement benefit calculation. In order to retire before age 62 with an unreduced benefit, you would need to earn 30 years of service credit before adding your sick leave credit.
I think if this restriction was removed there would be more people retiring and more jobs available, at full SS retirement age the restriction should be removed.
they should let people with 19 years service and being 65 use unpaid sick leave to get to 20 would also boost NYS tax income and the NYS retirement system. with those new employees.
I am in the UUP union. Do I qualify for this benefit ?
Steven,
There are some UUP-represented negotiating units that are eligible. Our best advice is for you to contact our customer service representatives using our email form at https://nysosc9.osc.state.ny.us/product/ccsub.nsf/fsWeb?OpenFrameset. One of our representatives should be in touch with you within 48 hours to help answer your question.
We hope you find this helpful,
NYSLRS
Please specify which units are eligible for 200 hours — maybe a chart?
Matthew,
Because of the considerable variables involved, it’s impractical for us to publish a comprehensive point-in-time list. Whether you are eligible to receive credit for 200 or 165 unused, unpaid sick days at retirement depends on your negotiating unit. If the root of your question has to do with your circumstances, and you can tell us your negotiating unit, we can answer your question. Your employer’s Human Resources’ office should be able to provide you with your negotiating unit, if you don’t already know it.
We hope you find this helpful,
NYSLRS.
Please let me know if MC employees (06 bargaining unit) are eligible to receive for 200 unused, unpaid sick days at retirement. Thank you.
John,
Some MC employees in negotiating unit 06 are eligible for the 200-day sick leave benefit, however, certain restrictions do apply. We recommend that you contact us via our NYSLRS email form at https://nysosc9.osc.state.ny.us/product/ccsub.nsf/fsWeb?OpenFrameset to get more detailed information about the specifics of your question. One of our representatives should be in touch with you within 48 hours.
We hope you find this helpful,
NYSLRS
For a Tier 1 member of the retirement system, is the sick leave at retirement limited to 165 days or can the full 200 ( if accrued)be used to add to the service credit?
**Note: This response was revised 12/05/14**
Ed,
If you are a State employee, whether you are eligible to receive credit for 200 or 165 unused, unpaid sick days at retirement depends on your negotiating unit. If you can tell us your negotiating unit, we can answer your question. Your agency’s Human Resources’ office should be able to provide you with your negotiating unit, if you don’t already know it.
If you work for a participating employer who has chosen to offer this benefit, you would be eligible to receive credit for 165 unused, unpaid sick days at retirement.
NYSLRS