Section 286.551 - Determination of monthly service retirement allowance Except as otherwise required as a result of NRS 286.535 or 286.537:
1. Except as otherwise provided in subsection 2:(a) For a member who has an effective date of membership before January 1, 2010, a monthly service retirement allowance must be determined by multiplying the member's average compensation by 2.5 percent for each year of service earned before July 1, 2001, and 2.67 percent for each year of service earned on or after July 1, 2001.(b) For a member who is a police officer or firefighter and who has an effective date of membership on or after January 1, 2010, a monthly service retirement allowance must be determined by multiplying the member's average compensation by 2.5 percent for each year of service earned.(c) For a member who is not a police officer or firefighter and who has an effective date of membership on or after January 1, 2010, and before July 1, 2015, a monthly service retirement allowance must be determined by multiplying the member's average compensation by 2.5 percent for each year of service earned.(d) For a member who is not a police officer or firefighter and who has an effective date of membership on or after July 1, 2015, a monthly service retirement allowance must be determined by multiplying the member's average compensation by 2.25 percent for each year of service earned.2. A member: (a) Who is not a police officer or firefighter and who has an effective date of membership on or after July 1, 2015, is entitled to a benefit of not more than 75 percent of the member's average compensation with the member's eligibility for service credit ceasing at 33 1/3 years of service.(b) Who is not a police officer or firefighter and who has an effective date of membership on or after July 1, 1985, and before July 1, 2015, is entitled to a benefit of not more than 75 percent of the member's average compensation with the member's eligibility for service credit ceasing at 30 years of service.(c) Who is a police officer or firefighter and who has an effective date of membership on or after July 1, 1985, is entitled to a benefit of not more than 75 percent of the member's average compensation with the member's eligibility for service credit ceasing at 30 years.(d) Who has an effective date of membership before July 1, 1985, and retires on or after July 1, 1977, is entitled to a benefit of not more than 90 percent of the member's average compensation with the member's eligibility for service credit ceasing at 36 years of service. In no case may the service retirement allowance determined pursuant to this section be less than the allowance to which the retired employee would have been entitled pursuant to the provisions of this section which were in effect on the day before July 3, 1991.
3. For the purposes of this section, except as otherwise provided in subsections 4, 5 and 6, "average compensation" means the average of a member's 36 consecutive months of highest compensation as certified by the public employer.4. Except as otherwise provided in subsection 5, for an employee who becomes a member of the System on or after January 1, 2010, the following limits must be observed when calculating the member's average compensation based on a 60-month period that commences 24 months immediately preceding the 36 consecutive months of highest compensation: (a) The compensation for the 13th through the 24th months may not exceed the actual compensation amount for the 1st through the 12th months by more than 10 percent;(b) The compensation for the 25th through the 36th months may not exceed by more than 10 percent the lesser of: (1) The maximum compensation amount allowed pursuant to paragraph (a); or(2) The actual compensation amount for the 13th through the 24th months;(c) The compensation for the 37th through the 48th months may not exceed by more than 10 percent the lesser of: (1) The maximum compensation amount allowed pursuant to paragraph (b); or(2) The actual compensation amount for the 25th through the 36th months; and(d) The compensation for the 49th through the 60th months may not exceed by more than 10 percent the lesser of:(1) The maximum average compensation amount allowed pursuant to paragraph (c); or(2) The actual compensation amount for the 37th through the 48th months.5. Compensation attributable to a promotion and assignment-related compensation must be excluded when calculating the limits pursuant to subsection 4.6. The average compensation of a member who has a break in service or partial months of compensation, or both, as a result of service as a Legislator during a regular or special session of the Nevada Legislature must be calculated on the basis of the average of the member's 36 consecutive months of highest compensation as certified by the member's public employer excluding each month during any part of which the Legislature was in session. This subsection does not affect the computation of years of service.7. The retirement allowance for a regular part-time employee must be computed from the salary which the employee would have received as a full-time employee if it results in greater benefits for the employee. A regular part-time employee is a person who works half-time or more, but less than full-time:(a) According to the regular schedule established by the employer for the employee's position; and(b) Pursuant to an established agreement between the employer and the employee.Added to NRS by 1975, 1049; A 1977, 1591; 1979, 753; 1983, 483; 1985, 1717; 1987, 412; 1989, 1092, 1562; 1991, 1972, 2365; 2001, 1289; 2009, 2353; 2015, 2727Amended by 2015, Ch. 471,§7, eff. 7/1/2015.Added to NRS by 1975, 1049; A 1977, 1591; 1979, 753; 1983, 483; 1985, 1717; 1987, 412; 1989, 1092, 1562; 1991, 1972, 2365; 2001, 1289; 2009, 2353