Rule of 85 Retirement: How It Works & Who Qualifies

By Brent Meyer — SafeMoney.com Founder & Editor Reviewed by Licensed Financial Professionals  |  SafeMoney.com — Trusted Since 2011  |  Updated Regularly Quick Answer: Learn how the Rule of 85 lets you retire early with full pension benefits. See how to calculate if you qualify and what it means for your retirement timeline. Related Articles Retirement Planning Services | Retirement Planning Retirement Planning For Women | Retirement Planning Retirement Income Planning | Retirement Planning Retirement Tax Planning | Retirement Planning Key Takeaways The Rule of 85 allows early retirement with full pension benefits if your age and service years total 85. Calculate your eligibility using retirement calculators for accurate planning. Understanding your pension plan is crucial for maximizing benefits under the Rule of 85. Consult a SafeMoney certified advisor for personalized retirement strategies. Consider guaranteed solutions to supplement your retirement income and ensure financial stability. Quick Answer The Rule of 85 allows employees to retire early with full pension benefits if their age plus years of service equals at least 85. This rule is not universal, so check with your employer to see if it applies to your pension plan. SafeMoney Editorial Team  |  Reviewed by Licensed Financial Professionals  |  Updated Regularly Understanding the Rule of 85 The Rule of 85 is a popular formula used by many pension plans to determine eligibility for early retirement with full benefits. If your age and years of service with your employer add up to at least 85, you may qualify to retire early without losing any pension benefits. This rule is prevalent among both private-sector and public employers, making it a significant consideration for those planning their retirement in various states and cities. Calculating Your Eligibility To determine if you qualify under the Rule of 85, simply add your current age to your total years of service with your employer. For example, if you are 55 years old and have worked for 30 years, your total is 85, qualifying you for early retirement, assuming your employer follows this rule. However, it's crucial to verify with your employer as some may have different criteria. Age Years of Service Total Eligibility 55 30 85 Eligible 50 35 85 Eligible Variations and Limitations While the Rule of 85 is common, not all employers adhere to it. Some might use variations like the Rule of 82 or 88, which