Did you know your monthly MOSERS pension benefit is based on your final average pay and credited service? Unused sick leave can add to your service credit at retirement.

Here’s how it works. Each block of 168 hours of unused sick leave converts to one month of service credit when you retire, which increases your lifetime monthly benefit payment amount in retirement.

This means that if you have 336 hours of unused sick leave, you will receive credit for two additional months of service (336/168 = 2) when your retirement benefit is calculated. Keep in mind, there is no partial credit for unused sick leave. If you have less than 168 hours, it will not count as additional service credit.

It’s important to note that unused sick leave only increases your benefit amount—it does not affect your retirement eligibility. In other words, it does not allow you to retire sooner. You will still need to meet the age and service requirements for your plan to be eligible to retire.

Using sick leave near your retirement date can change any prior benefit estimate amounts you have received. As you get closer to retirement, pay attention to the number of hours you have accrued in sick leave. MOSERS can only use the final sick leave balance reported to us by your last employer.

• MSEP 2011 members: If you left state employment after January 1, 2018, but before you were eligible for early or normal retirement, you will not receive service credit for unused sick leave.
• MSEP members: If you leave state employment before you are eligible for early or normal retirement, you will not receive service credit for your unused sick leave.
• Legislators, statewide elected officials, and judges: You do not accrue sick leave.

Thinking about electing BackDROP? If eligible, you will receive credit for any unused sick leave accrued during your BackDROP period. It will not make you eligible for retirement (or BackDROP) any sooner, but it will increase your monthly benefit and BackDROP payment amount when you retire.

Unlike sick leave, your unused annual leave has no impact on your MOSERS pension benefits. The amount of annual leave you’re paid for is determined by your employer, not by MOSERS.

Your employer may have a limit on how much they will pay out, and these limits can vary from one employer to another. It’s best to check with your agency’s human resources office before your retirement date to learn about your specific employer’s guidelines for accruing and using annual and sick leave.

See our Life Events page for more information about unused annual leave and sick leave.