Purchase of Prior Service

A member may be eligible to purchase service from previous public employment, active duty military service, an eligible period of leave or VRS refunded service as service credit in his or her plan. Prior service credit counts toward the five years needed to become vested and eligibility for retirement and the health insurance credit.

To be eligible to purchase prior service, the member must be an active VRS member. The member is not eligible to purchase prior service if employed in a non-covered position, on a leave of absence without pay, a deferred member or retiree.

Member Purchases Via myVRS

Members may initiate the purchase of prior service (PPS) online through their myVRS accounts. This self-service option allows members to:

• View prior service in their account available for purchase.
• Select the type and amount of service to purchase.
• Choose the order in which to purchase service.
• Determine the cost to purchase.
• See the impact of purchasing service on their future retirement benefit.
• Evaluate the time it will take to recover the purchase cost in retirement.

Members will make lump-sum payments directly to VRS or coordinate purchase payment agreements with the employer. The employer also can assist the member with the purchase process using myVRS and myVRS Navigator. The member must apply for and pay for prior service credit while still an active VRS member.

Employer Tools in myVRS Navigator

Authorized employer roles can use myVRS Navigator to assist members with:

• Adding eligibility for service. (If the member has refunded service before July 1, 1988, call VRS for assistance.)
• Selecting the service they wish to buy.
• Providing cost calculations, in most cases.
• Setting up purchase payment agreements.
• Setting up lump-sum purchases.

Refer to the purchase of prior service section of the member handbook or the member website for details on PPS types, purchase amounts, cost windows and purchase payment requirements.