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Modernization to Provide Flexible Purchase of Prior Service Options
Posted: June 6, 2011
Purchasing service from previous public employment, an eligible period of leave or VRS refunded service can enhance a member's retirement benefit. When myVRS Navigator launches, employees using a payroll deduction or salary reduction contract can purchase prior service in increments of one quarter of a month up to eight months per month. This option will allow members to customize purchase agreements to meet their individual budgets and schedules.
myVRS Navigator will calculate the employee's monthly cost based on how much he or she wishes to purchase each month. It will alert you of the monthly deduction amount and send you a notification to confirm the payroll deduction set up if the employee has chosen a contract method to purchase service. If an employee receives a salary increase while under contract to purchase prior service, myVRS Navigator will provide the new payroll deduction amount.
Learn More: Review Understanding Modernization's Calculations to Reconcile in Your Payroll System 
279kb for more information on the new options for purchasing prior service.
