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Retirement FAQs

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1. When do I receive my pension check?

Pension benefits are mailed on the second to the last day of each month. If the last day of the month is a Saturday or Sunday, the benefits will be mailed on the previous Thursday. If you have registered for direct deposit, your benefits will be electronically transferred to your bank account on the last day of each month. If the last day of the month is a Saturday or Sunday, your benefits will be credited to your account on the previous Friday.

2. What does it mean to be "vested"?

The term "vesting" is used to signify the employees right to a retirement allowance at a later date. "Vested" benefits are those benefits to which a member is entitled to today.

3. When do I become vested?

A member becomes vested once they have ten years of creditable service.

4. What if I leave the Town's employ after I am vested but before I am old enough to retire?

If you leave the employ of the town after you are vested but before reaching retirement age, you may leave your contributions in the system and receive a benefit at age 55.

5. What if I leave the Town's employ before I am vested?

If you leave the employ of the Town prior to becoming vested, you may receive a refund of your retirement contributions less 20% withheld for federal taxes. Under certain circumstances there may be a penalty for early withdrawal. You may also choose to roll over your contributions into a tax-qualified IRA to avoid the tax penalties.

6. When am I eligible to retire?

A member must have ten years of creditable service and be age 55 or have at least twenty years of creditable service to retire at any age.

7. How are my benefits determined?

Your benefits are determined according to the following formula: Your Highest Three Year Average Annual Rate of Regular Compensation X Your Benefit Rate X Your Creditable Service. For detailed infomation, please visit the Retirment Benefits Page.

8. Can I borrow from my retirement account now and pay it back later?

No, you can not borrow money from your retirement account. Under Massachusetts state law, your retirement account has no provisions for withdrawal under any circumstances

9. Why do I pay a higher percentage of my regular compensation towards my retirement than some other members pay?

The rate that members contribute towards their retirement varies depending on the date they became a member of the system.

• If you became a member prior to January 1, 1975, you have 5% deducted from your regular compensation.


• If you became a member between January 1, 1975 and December 31, 1984, the deduction will be 7%.


• If you became a member between January 1, 1985 and June 30, 1996, you will have 8% deducted from your salary.


• If you became a member after June 30, 1996, the deduction is 9%.


• If your membership began on or after January 1, 1979, an additional 2% will be withheld from any regular compensation in excess of $30,000.

10. When should I sign up for Medicare benefits and where do I apply?

Any current employee or retiree who may be Medicare eligible should contact the local Social Security Office three months before reaching the age of 65 for assistance in determining eligibility and, if eligible, in processing your application. For more information, visit the Social Security Website.

11. When can retired employees join one of the Town's health insurance plans?

Retired Town employees may become a member of one of the Town's health insurance programs during the annual open enrollment period. Open enrollment for the Town is the month of May, with coverage beginning in July.

12. Will my Social Security benefits, based upon my own earnings, be affected by receiving a government pension?

Please refer to the following link for information: Windfall Elimination Provision

13. Will my Social Security benefits, based upon my spouse's earnings, be affected by receiving a government pension?

Please refer to the following link for information: Government Pension Offset