What happens if I leave PSRS-covered employment before reaching retirement eligibility?
A. If your employment ends, you have the right to withdraw your contributions and interest in a lump-sum payment, in which case you forfeit your service credit and any rights to future benefits. If you have fewer than five years of credit (not vested), you can leave your funds with PSRS for the next five school years and receive interest. If you return to PSRS within the five-year period, you will continue with the same membership. If you do not earn any retirement credit within the five-year period, your membership terminates and you will be encouraged to withdraw your funds. Your funds do not accrue additional interest once your membership terminates. If you have five or more years of service credit (vested), you may leave your funds and they will continue to accrue interest. You may withdraw at any time or apply for lifetime monthly benefits when you reach retirement eligibility.
