Purchase of Service Credit
If eligible, members may Purchase Additional Service Credit to increase their annuity.
Service credit may be purchased by making a lump sum payment to the retirement system or, if eligible, by making payroll-deducted or bank draft installment payments. Purchases of service credit may also be made as permitted under the Internal Revenue Code by rolling over or transferring funds from another qualified plan.
Service that has been or will be used in qualifying for an annuity with another retirement system that is financed in whole or part by public funds cannot be purchased as service credit with KTRS.
Categories of service that may be purchased include:
- Reinstatement of previously withdrawn KTRS service;
- Current and non-current leaves of absence;
- Fractional service/balance of the year;
- Military Service
- Military service prior to KTRS Employment
- Military Service interrupting KTRS Employment
- Out-of-State teaching service;
- Peace Corps service;
- Federal Head Start service;
- Mental health and mental retardation service; or
- Nonqualified service
For more detailed information about the KTRS Service Credit, please see pamphlet:
Ways to Increase Service Credit