Rule of 85 Calculator

Calculate Rule of 85



Formula

The formula to calculate the Rule of 85 (R85) is:

\[ R85 = A + Y \]

Where:

What is the Rule of 85?

The Rule of 85 is a provision in some pension plans that allows an employee to retire early if their age plus the number of years they have worked for the company equals 85 or more. This rule is designed to provide retirement benefits to employees who have dedicated a significant portion of their career to the company, even if they haven’t reached the traditional retirement age. The specifics of how the Rule of 85 is applied can vary depending on the pension plan.

Example Calculation

Let's assume the following values:

Using the formula:

\[ R85 = A + Y = 55 + 30 = 85 \]

The Rule of 85 Score ((R85)) is 85, making the employee eligible for early retirement under the Rule of 85 provision.