Eligibility for Retiree Benefits (2024)

Rule of 75

You are eligible to receive retiree benefits if you meet the “Rule of 75”. This rule states that you must be a minimum of 55 years of age and have a minimum of 10 years of full-time service without any intervening breaks in service*; if you meet both minimums, then the total of your age and years of service must equal at least 75. Age and years of service must be in whole years.

The Rule of 75 applies to eligibility for all retiree benefits, including tuition, life insurance, and dental and vision plans. Please see the applicable sections for more details.

*Bridging of separate periods of service doesn't apply to the Rule of 75. Time-in-service for the Rule of 75 accumulates from the most recent hire date.

Eligibility before 2009:If by December 31, 2008, you met either of the following minimums, you are eligible for retiree benefits regardless of the Rule of 75: 55 years of age and 15 years of service, or 62 years of age and 10 years of service.


If you terminate employment and do not meet the eligibility requirements described above, you may be eligible to continue your existing medical, dental or vision benefit through COBRA for up to 18 months. For more information on COBRA, review Penn’s Health and Welfare Summary Plan Description or contact the Benefits Solution Center (powered by Health Advocate) at 1-866-799-2329.

Voluntary Phased Staff Retirement Program

If you’d prefer a gradual transition into retirement, consider participating in the Voluntary Phased Staff Retirement Program. If you’re approved for Phased Retirement, you’ll work reduced hours but still be eligible for the same benefits that you receive as a full-time staff member. Phased Retirement cannot last more than two years, at which point you’ll officially retire and be entitled to Penn’s retiree health benefits.

To participate in the Voluntary Phased Staff Retirement Program, you must meet the Rule of 75. Participation also depends on the business needs of your department. To learn more about this program, visit theVoluntary Phased Staff Retirement Programwebpage.


Eligible dependents include your spouse and dependent children who meet the requirements for eligibility on your last day of service. You and your dependents do not need to be enrolled in a medical plan on your last day of service in order to be eligible for retiree health benefits. However, you must register your eligible dependents with Penn within the 90-day period prior to your last day of service in order to cover them under Penn’s retiree health benefits at a later date. Eligible dependents who are not registered by the above date will not qualify for any retiree health benefits at a later time.

Note the following about your dependent children:

  • Dependent children may continue to receive coverage up to the end of the month in which they turn age 26.
  • Children are eligible for coverage regardless of their student, marital or IRS dependent status.
  • Children do not have to live with you or depend on you for financial support to be eligible.
  • Children over age 19 no longer have to be full-time college students to remain on coverage.
  • Disabled children who are unable to earn a living may be covered beyond age 26, provided the disability began before age 26 and has been certified by your insurance carrier.
  • The coverage does not extend to your child’s spouse or children.
  • If you have a dependent child who is disabled and has been approved and certified by your insurance carrier, that child may be covered under the University’s retiree medical plan past the limiting age as described above as long as your carrier continues to consider them to be disabled. If your dependent child is collecting Social Security and is eligible for Medicare Parts A and B, then they must enroll for Medicare. Contact your insurance carrier for more information on coverage for disabled dependent children.

In the event of your death:

  • Your surviving spouse may continue to receive coverage until remarriage or death.
  • Your eligible unmarried dependent children may continue to receive coverage up to age 26.
  • Your eligible unmarried disabled dependent children may continue to receive coverage past age 26 as long as your insurance carrier continues to consider them to be disabled.

For more information about eligibility rules for dependents, see the Retiree Health Plan Summary Plan Description (SPD).

Eligibility for Retiree Benefits (2024)


How do you qualify for retirement benefits? ›

You must earn at least 40 Social Security credits to be eligible for Social Security benefits. You earn credits when you work and pay Social Security taxes. The number of credits does not affect the amount of benefits you receive.

How is eligibility determined for receiving Social Security retirement benefits? ›

You can receive Social Security benefits based on your earnings record if you are age 62 or older, or a person with a disability or blindness and have enough work credits. Family members who qualify for benefits on your work record do not need work credits.

Which factors determine retirement eligibility? ›

It is determined by your age at retirement and the retirement formula that applies to your classification. Log in to your myCalPERS account at my.calpers.ca.gov for information on determining which formula applies to you. You can refer to your CalPERS Annual Member Statement to verify your retirement formula.

How do I know if I have enough work credits to retire? ›

It's easy to check your work credit status online: Go to the Social Security website. Create an account or sign in if you already have an account. Once you're logged in, your credit earnings are listed under "Eligibility and Earnings."

Can you be denied retirement benefits? ›

If your claim is denied, the plan must give you notice with a detailed explanation and a description of the appeal process. —Check your eligibility for benefits before filing a claim. Read your SPD and contact your plan administrator if you have questions.

How many years do you have to work to get retirement benefits? ›

The Social Security system is set up to start providing monthly benefits as early as age 62. If you start working at age 18, you'll be eligible after working for 44 years. If you spend four years in college before starting your career at 22, you'll work for 40 years before you can claim your Social Security benefits.

Can you get Social Security if you never worked? ›

But even if you never worked and therefore don't have an earnings record, you're not necessarily out of luck. If you're married (or were married) to someone who's entitled to Social Security, you can collect spousal benefits equal to 50% of your husband or wife's benefits at full retirement age.

What documents do you need to file for Social Security retirement benefits? ›

Your Social Security card or a record of your number. Your original birth certificate, a copy certified by the issuing agency, or other proof of your age. We must see the original document(s), or copies certified by the agency that issued them. We cannot accept photocopies or notarized copies.

What is the 10 year rule for Social Security? ›

If you've worked and paid taxes into the Social Security system for at least 10 years and have earned a minimum of 40 work credits, you can collect your own benefits as early as age 62. We base Social Security benefits on your lifetime earnings.

What factors reduce Social Security benefits? ›

What four things can affect your Social Security benefits?
  • Work history. When calculating your monthly Social Security benefit, the SSA will take your 35 highest-earning, inflation-adjusted years into consideration. ...
  • Earnings history. ...
  • Birth year. ...
  • Claiming age.

What factors determine Social Security benefits? ›

Understand the factors that influence Social Security benefit...
  • Earnings and the primary insurance amount (PIA) An individual's benefit amount is primarily determined by earnings. ...
  • Filing age. ...
  • Inflation adjustments. ...
  • Tax on benefits. ...
  • Employment. ...
  • An estimated benefit amount. ...
  • Get your Social Security Toolkit.

What are the three sources of retirement income? ›

Common income sources include: Guaranteed Income (i.e. Social Security, Annuities) Pension plans (i.e., defined benefit plans) IRAs.

How can I check to see if I have enough credits for Social Security? ›

The best way to verify your earnings record is to create or sign in to your personal my Social Security account. You should review your earnings carefully every year and confirm them using your own records, such as W-2s and tax returns. Keep in mind that earnings from this year and last year may not be listed yet.

How can I check if I have enough Social Security credits? ›

You can go online to get a copy of your Social Security statement or view it online. Go to www.ssa.gov/myaccount/ and open an account with Social Security to view your statement. (You can no longer request a printed statement using Form SSA 7004.) Find out if you qualify for SSDI benefits.

What's the lowest amount of Social Security you can get? ›

Social Security's special minimum benefit pays at least $49.40 per month in 2023 and $50.90 in 2024. Social Security's special minimum benefit tops out at $1,033.50 per month in 2023 and $1,066.50 in 2024. You'll receive 100% of the benefit if you file at full retirement age or later.

Are retirement benefits based on income? ›

Many people wonder how we figure their Social Security retirement benefit. We: Base Social Security benefits on your lifetime earnings. Adjust or “index” your actual earnings to account for changes in average wages since the year the earnings were received.

Can you apply for retirement benefits and still work? ›

You can continue working and start receiving your retirement benefits. If you start your benefits before your full retirement age, your benefits are reduced a fraction of a percent for each month before your full retirement age.

Can you retire after 20 years of work? ›

Bottom Line. Whether one can comfortably retire after 20 years of work depends on individual circ*mstances such as age, income, savings and debt. It requires you to take a close and honest look at your finances and consider the type of lifestyle you want in retirement.

Top Articles
Latest Posts
Article information

Author: Jeremiah Abshire

Last Updated:

Views: 6090

Rating: 4.3 / 5 (54 voted)

Reviews: 85% of readers found this page helpful

Author information

Name: Jeremiah Abshire

Birthday: 1993-09-14

Address: Apt. 425 92748 Jannie Centers, Port Nikitaville, VT 82110

Phone: +8096210939894

Job: Lead Healthcare Manager

Hobby: Watching movies, Watching movies, Knapping, LARPing, Coffee roasting, Lacemaking, Gaming

Introduction: My name is Jeremiah Abshire, I am a outstanding, kind, clever, hilarious, curious, hilarious, outstanding person who loves writing and wants to share my knowledge and understanding with you.