West Virginia PERS and TRS Retirement Options: Refund and Buyback

Updated October 2, 2026. Quick answer: West Virginia PERS offers three annuity options at retirement: Straight Life, 100% Joint and Survivor and 50% Joint and Survivor. TRS adds a fourth, 10 Year Certain with 120 payments. Once benefits are received the option cannot be changed except under the statutes the Board cites. A member who leaves before retiring may withdraw employee contributions, but withdrawing forfeits all future retirement and disability benefits. PERS adds 4% interest for a member with two or more years of contributing service (the CPRB page’s figure; the statute leaves the interest rate to the board). Withdrawn PERS service can be reinstated by redepositing the funds plus interest.

What this page covers and what it does not

This page works from three documents of the West Virginia Consolidated Public Retirement Board (CPRB): its Public Employees Retirement System (PERS) page, a PERS description PDF, and its Teachers’ Retirement System (TRS) page. It covers which annuity option to elect, whether to take a refund or leave contributions in, and buying or reinstating service. Where a rule is stated in only one plan’s document, the text says which plan.

Two scope limits matter. The PERS eligibility lists apply to members hired for the first time before July 1, 2015, and the TRS page describes Tier I members: “TRS members hired before July 1, 2015 are eligible for Tier I benefits.” Later hires are sent to a Tier II brochure that was not read, so no Tier II rule is stated here. For the state tax side, see West Virginia retirement taxes and does West Virginia tax pensions.

The election at retirement: what each option pays a survivor

Retirement benefits do not start on their own. The PERS page says “Retirement benefits are not automatic.” The TRS page makes the same point about applying to the CPRB. The annuity option is chosen as part of that process, and the CPRB offers an estimate first. For PERS: “An estimate is required prior to receiving a retirement packet.” TRS says an estimate under all 4 annuity options can be provided on request.

The pages read publish no reduction percentages; the CPRB’s estimate gives the reduced amounts. For the general trade, see single-life versus joint-and-survivor pension.

Straight Life and the Joint and Survivor options

Straight Life is the unadjusted benefit, and the PERS page says of it: “There are no beneficiary benefits payable under this option.” The TRS page says “There are no death benefits payable under this option.” Yet another PERS sentence covers every option (W. Va. Code 5-10-23(b) is the statute behind it, quoted below): “Under all options, any unpaid employee contributions, plus 4% interest, remaining at the retiree’s or beneficiary’s death, will be paid to the named beneficiary or the estate.” The pages read do not reconcile the two PERS statements, so the CPRB is the place to confirm what a Straight Life beneficiary can receive. The statute explains the second statement. W. Va. Code 5-10-23(b) pays only a leftover account balance, and only once every claim to benefits has ended: “In the event that all claims to benefits payable to, or on behalf of, a retired member expire, and the accumulated contributions exceed the accumulated net benefit payments paid to or on behalf of the retired member, the balance in the retired member’s account shall be paid to the person or persons as the retired member has nominated by written designation duly executed and filed with the board of trustees.” Section 5-10-23 states no 4% rate. Under that section, a retiree who has already drawn benefits at least equal to the contributions leaves no such balance.

The Joint and Survivor options trade income now for income to a survivor. For PERS at 100%, “the named beneficiary will receive the same amount for his or her lifetime”. At 50% the beneficiary receives “one-half of the monthly payment”. TRS words its options the same way.

A computed example from an assumed $2,200 reduced monthly annuity, not a CPRB figure: under 100% Joint and Survivor the survivor would receive 100% of it, a computed $2,200 a month, and under 50% Joint and Survivor 50% of it, a computed $1,100 a month.

PERS adds a rule about who can be named: “The named beneficiary in both Joint and Survivor 100% and 50% must have an insurable interest in the life of the retiree such as a spouse, child, parent, or other dependent.” The TRS text read states no comparable requirement, so a TRS member naming a non-spouse should ask the CPRB.

For PERS, W. Va. Code 5-10-24(a) states the election and names the two reduced options. It says “Prior to the effective date of his or her retirement, but not thereafter except upon the death of a spouse, a member may elect to receive his or her annuity as a straight life annuity payable throughout his or her life, or he or she may elect to receive the actuarial equivalent, at the time, of his or her straight life annuity in a reduced annuity payable throughout his or her life, and nominate a beneficiary, in accordance with option A or B set forth below:” Under it, option A pays the whole reduced annuity to the nominated beneficiary and option B pays one half of it, and each beneficiary must have an insurable interest in the retirant’s life. The statute calls them option A and option B; the CPRB page’s 100% and 50% labels describe the same two payments.

TRS only: the 10 Year Certain option

The TRS page lists a fourth choice that the PERS page does not. It ties the survivor benefit to a count of payments: “If the retiree dies before receiving 120 monthly payments, the remainder of those 120 monthly payments shall be payable to the retiree’s named beneficiary or the retiree’s estate.”

A computed example from assumed figures, not CPRB figures: if the retiree died after receiving 36 monthly payments, 120 minus 36 leaves a computed 84 payments. On an assumed reduced annuity of $2,000 a month, those remaining payments would total a computed $168,000.

What is locked in once benefits start, and the deadlines

The PERS page says “you will NOT be allowed to change your benefit option” once any benefits are received, unless the member qualifies under a statute section it cites. The TRS page uses the same sentence with its own statute sections. The CPRB pages do not describe what those exceptions allow, but the statute does. W. Va. Code 5-10-24(b) says “Upon the death of a spouse, a retirant may elect any of the retirement options offered by the provisions of this section in an amount adjusted on a fair basis to be of equal actuarial value as the annuity prospectively in effect relative to the retirant at the time the new option is elected.” Subsection (c) lets a retirant change an option to a life annuity of equal actuarial value on divorce or annulment, and subsection (d) lets a retirant name a new spouse after remarriage. Each needs proof of the event and the retirant’s certification under penalty of perjury that no qualified domestic relations order or other court order restricts the change. Ask the CPRB before signing.

For PERS, the date retirement takes effect depends on the application: “If the member is less than age 60 upon termination of employment, and all retirement criteria are met, the effective date of retirement will be the first day of the month following receipt of the retirement application.”

A required start date applies too. The PERS page says “Distributions (whether eligible for lump sum refund or monthly annuity) must start by April 1 of the year following the later of” three dates: age 72 for those born before January 1, 1951, age 73 for those born after December 31, 1950, or the date of terminating employment. The TRS page states the same tests for its distributions.

The statute makes the age depend on the birth year, and age 73 is not the answer for everyone. W. Va. Code 5-10-2(24)(C) says the applicable age is: “Seventy-two, if the individual attains age 72 prior to January 1, 2023;” “Seventy-three, if the individual attains age 72 after December 31, 2022, and attains age 73 before January 1, 2033; or” “Seventy-five, if the individual attains age 74 after December 31, 2032; provided that the applicable age shall be determined in accordance with the provisions of § 401(a)(9) of the Internal Revenue Code and the Treasury Regulations thereunder, as the same may be amended from time to time;” A member who attains age 74 after December 31, 2032 is on the age 75 rule, not age 73. This is the PERS statute; the TRS statute was not checked for this point.

How the benefit is figured, and who qualifies

Both plans use a 2% multiplier, but the final average salary window differs. PERS defines it as “the average annual salary from the highest 36 consecutive months within the last 15 years of employment”, and TRS as “the average of the 5 highest fiscal year salaries out of the last 15 fiscal years of contributing service”. The TRS statute counts total service, not contributing service. W. Va. Code 18-7A-3 says ““Average final salary” means the average of the five highest fiscal year salaries earned as a member within the last 15 fiscal years of total service credit, including military service as provided in this article, or if total service is less than 15 years, the average annual salary for the period on which contributions were made: Provided, That salaries for determining benefits during any determination period may not exceed the maximum compensation allowed as adjusted for cost of living in accordance with §5-10D-7 of this code and § 401(a)(17) of the Internal Revenue Code.”

PERS retirement ages depend on whether the member is still employed. A member who has left but not withdrawn contributions is told: “Retire at age 62 with full benefits if he or she has 5 or more years of contributory service.” For TRS, a member with 5 or more years who leaves without withdrawing is eligible at age 62, or at age 60 with 20 years of service.

The table lists full benefits only. The statutes also allow early retirement at a reduced annuity. For PERS, subsections (b) to (d) of W. Va. Code 5-10-21 build on subsection (a), which covers a member who first became a member before July 1, 2015; a member who first joins on or after that date is under section 5-10-21a instead. Subsection (b) says “Any member who qualifies for deferred retirement benefits in accordance with subsection (a) of this section and has ten or more years of credited service in force and who has attained age fifty-five as of the date of his or her separation, may, prior to the effective date of his or her retirement, but not thereafter, elect to receive the actuarial equivalent of his or her deferred retirement annuity as a reduced annuity commencing on the first day of any calendar month between his or her date of separation and his or her attainment of age sixty-two years and payable throughout his or her life.”

Subsection (c) of W. Va. Code 5-10-21 says “Any member who qualifies for deferred retirement benefits in accordance with subsection (a) of this section and has twenty or more years of credited service in force may elect to receive the actuarial equivalent of his or her deferred retirement annuity as a reduced annuity commencing on the first day of any calendar month between his or her fifty-fifth birthday and his or her attainment of age sixty-two years and payable throughout his or her life.” Subsection (d) adds that, except for a person who first becomes a member on or after July 1, 2015, a member with thirty or more years of credited service in force, at least three of them contributing service, who retires before age sixty receives the annuity reduced to the actuarial equivalent of the annuity that would have started at age sixty. Under 5-10-21a, a member who first joins on or after July 1, 2015 may take a reduced early annuity from age 60 with ten or more years of contributing service, from age 57 with twenty or more, or from age 55 with thirty or more, each reduced from the annuity that would have started at age 62; the age 60 and age 57 routes also require current employment by a participating public employer.

A computed example from assumed figures, not CPRB figures: a PERS member with 25 years of credited service and a $60,000 Final Average Salary would have an annual Straight Life benefit of 2% times 25 times $60,000, a computed $30,000 a year, or a computed $2,500 a month. For the Rule of 80, an assumed age 57 plus an assumed 26 years of contributing service adds to a computed 83, which is 80 or more. A TRS member with 30 years of service and a $55,000 final average salary would have 2% times 30 times $55,000, a computed $33,000 a year. These are Straight Life figures before any option reduction or early retirement reduction.

For TRS, W. Va. Code 18-7A-25(c) allows an early route that the table omits. It says “Except for a person who first becomes a member of the retirement system on or after July 1, 2015, any member who has served at least 30 but less than 35 years as a teacher or nonteaching member in West Virginia and is less than 55 years of age is eligible for an annuity, but the annuity shall be the reduced actuarial equivalent of the annuity the member would have received if the member were age 55 at the time the annuity was applied for.”

On contributions, the PERS page says “An active member hired for the first time prior to July 1, 2015 contributes 4.5% of his or her gross monthly salary to the plan.” For a member who first joined before July 1, 2015 the statute sets a range, and 4.5% is its ceiling; a member who first joins on or after that date pays 6%. W. Va. Code 5-10-29(b) says “The contributions of a member to the retirement system (including any member of the Legislature, except as otherwise provided in subsection (g) of this section) shall be a sum of not less than three and five-tenths percent of his or her annual compensation but not more than four and five-tenths percent of his or her annual compensation, as determined by the board of trustees: Provided, That for persons who first become members of the retirement system on or after July 1, 2015, the contributions to the system shall be six percent of his or her annual compensation beginning July 1, 2015.” On an assumed $50,000 salary that is a computed $2,250 a year. The page also says employee contributions are “tax deferred”, a statement about contributions going in, not about how a refund is taxed.

Leaving before retirement: refund versus leaving contributions

A member who leaves before qualifying for benefits faces a separate choice. For PERS, a member with at least five years of contributing service may leave contributions on deposit or withdraw employee contributions, with “4% interest if he or she has two or more years of contributing service”. “Employer contributions are not eligible to be withdrawn.” The consequence is stated plainly: “Once the member withdraws contributions from the system, all future retirement and disability benefits are forfeited.” The pages read do not say whether the interest compounds, but the statute does. W. Va. Code 5-10-2(23) defines ““Regular interest” means the rate or rates of interest per annum, compounded annually, as the board of trustees adopts from time to time;” and W. Va. Code 5-10-30(a) says “If the member’s said separation from the employ of a participating public employer occurs prior to two years of contributing service, the member shall be paid the member’s accumulated contributions less the total regular interest credited to the member’s individual account.” Sections 5-10-2, 5-10-23 and 5-10-30 name no 4% figure; the board adopts the rate.

TRS has a parallel rule for Tier I members, with a condition: “The member may also choose to withdraw his or her accumulated contributions from the plan after termination of his or her employment so long as an annuity is not immediately payable.” Employer contributions stay with the system, and the page adds: “Once the member withdraws contributions from the system, he or she forfeits all future retirement and disability benefits.” The TRS page also gives a direct instruction: “A Tier I member who is terminating employment should consult with the CPRB before deciding whether or not to withdraw his or her accumulated contributions.”

Unlike PERS, which states 4%, the CPRB text read states no interest figure for a TRS withdrawal. The TRS statute limits the refund in other ways. W. Va. Code 18-7A-23(a)(1) says “A contributor who withdraws from service for any cause other than death, disability or retirement shall, upon application, be paid his or her accumulated contributions up to the end of the fiscal year preceding the year in which application is made, after offset of any outstanding loan balance, plus accrued loan interest, pursuant to section thirty-four of this article, but in no event shall interest be paid beyond the end of five years following the year in which the last contribution was made: Provided, That the contributor, at the time of application, is then no longer under contract, verbal or otherwise, to serve as a teacher; or” Neither page describes a spouse’s consent to a refund. For the general trade between cash now and a deferred pension, see pension refund versus leaving it.

Reinstating withdrawn service and buying other service

A PERS refund can be undone, but only on tight deadlines. “Any member who has been re-employed for one full year by a participating public employer may purchase previously withdrawn service, provided that he or she redeposits the withdrawn funds plus interest.” The first payment is due “between the first and second year of re-employment”, and “The full reinstatement amount must be repaid (in a lump sum or payments) before the end of the fifth year of the member’s return to employment.” The pages read do not state the interest rate on the repayment, and the Board supplies the cost. The statute fixes the timing and points to the Board’s rule for the rate. W. Va. Code 5-10-18(a) says “Provided, however, That he or she returns to the members’ deposit fund the amount, if any, he or she withdrew from the fund, together with reinstatement interest as set forth in the Board’s Rule, Refund, Reinstatement, Retroactive Service, Loan And Employer Error Interest Factors, 162 C. S. R. 7, on the withdrawn amount from the date of withdrawal to the date of repayment, and that the repayment begins within two years of the return to employment and that the full amount is repaid within five years of the return to employment.” “Any failure to repay the full amount in accordance with this section shall be treated as an overpayment or excess contribution subject to section forty-four of this article.” A member who might return to covered work should price that repayment before taking a refund. For a general look at what buying service is worth, see pension buyback calculator.

PERS also allows other service. On military service: “Military service up to 5 years may be credited to PERS members”. The statute makes the credit conditional. For a member who first became an employee of a participating public employer before July 1, 2015, W. Va. Code 5-10-15(a)(2) says a member “shall receive credited service for the time spent in the armed forces of the United States, not to exceed five years, if the member:” and then lists two conditions: an honorable discharge from the armed forces, and appropriate documentation or evidence of the active military service. Subsection (b) says subsection (a) does not apply to a member who first becomes an employee on or after July 1, 2015; that member may instead purchase military service credit, up to 60 months for duty served before first becoming an employee, on conditions that include paying the actuarial reserve purchase amount within 48 months. For out-of-state public employment: “A member of PERS may purchase up to five years of service credit for public employment performed in another State.” That service cannot establish eligibility to retire.

TRS has its own list. On out-of-state service: “Service credit purchased shall not exceed the lesser of 10 years or 50% of the member’s total service at the time of his or her TRS retirement.” For Tier I military service, the TRS page allows a purchase of “up to sixty months of active duty military service”, and time lost to a work injury can also be bought, up to 2 years by lump sum. The pages read do not state the purchase price for any of these categories, so the price comes from the Board.

Unused leave, loans, and working after retirement

Unused leave can add service at retirement. PERS describes it as “1 month of service credit granted for each 10 days of unused, accrued sick and/or annual leave”, and the credit cannot be used to meet initial eligibility. A computed example from an assumed 170 unused leave days, not a CPRB figure: at 1 month per 10 days, that is a computed 17 months of added service. TRS credits two days of service per qualifying unused day and also bars using the same leave for both options.

A TRS loan affects the retirement election. “An active member who was a TRS member before July 1, 2005 may borrow up to 50% of his or her contributions, but the total existing loan may not exceed $8,000.” The statute confirms the date and adds two limits. W. Va. Code 18-7A-34(b) says “the loan program authorized by this section shall not be available to any teacher or nonteacher who becomes a member of the Teachers Retirement System on or after July 1, 2005:” Under 18-7A-34(a)(1), the $8,000 maximum is reduced by the amount by which the highest loan balance in the prior year exceeded the balance on the day of the new loan, and it falls to $3,000 while the total loan money outstanding exceeds $40 million, until the retirement board determines that loans outstanding have been reduced. A balance still owed at retirement must be paid off or taken as a lifetime actuarial reduction of the monthly annuity.

Going back to work changes the annuity. PERS: “A retiree may accept temporary employment from a participating employer so long as he or she does not receive compensation in excess of $25,000 during any calendar year.” TRS reduces the annuity if temporary employment exceeds 140 days. That figure is a floor on the Board’s own rule for retired teachers. W. Va. Code 18-7A-38(b) says “The Consolidated Public Retirement Board may not set forth in rule a maximum number of days in which a retired teacher may accept employment prior to having his or her retirement benefit reduced that is less than one hundred forty days.”

If the member dies before retiring

Pre-retirement death benefits turn on a snapshot. The PERS page says “PERS members may select beneficiary options based only upon the specific category that describes his or her particular circumstance at the time a beneficiary form is completed”. Under PERS, a member with fewer than 10 years of credited service may name a beneficiary for “a lump sum payment of his or her employee contributions plus 4% interest”. For a married member with 10 or more years, the page says that “a 100% Joint and Survivor annuity will be paid to the deceased member’s surviving spouse, calculated as if the member had retired the day preceding the date of his or her death” unless the spouse signs a waiver on the beneficiary form. The statute is stricter about that waiver. W. Va. Code 5-10-27(b)(1) says “However, the surviving spouse shall have the right to waive the annuity provided in this section: Provided, That he or she executes a valid and notarized waiver on a form provided by the board and that the member or former member attests to the waiver.” Where a member elects a minor child annuity, it is capped: “In no event shall any child or children receive more than $250.00 per month under this option.” The statute states the cap for each child and adds a total cap. W. Va. Code 5-10-27(c) covers a member with ten or more years of credited service (or a former member with ten or more who is entitled to a deferred annuity) who dies leaving no surviving spouse and no beneficiary nominated under subsection (a), and says “The annuity reserve shall be calculated as though the member had retired as of the date of his or her decease and elected a straight life annuity and the amount of the annuity reserve shall be paid in equal monthly installments to the member’s infant child or children until the child or children attain age twenty-one or sooner marry or become emancipated; however, in no event shall any child or children receive more than $250 per month each.” It adds: “The annual amount of the annuities payable by this section shall not exceed sixty percent of the deceased member’s final average salary.”

TRS is shorter: “If an active member 50 years of age or older with 25 years of credited service dies, the surviving spouse, if named as sole beneficiary, will receive a lifetime annuity based on 100% Joint & Survivor annuity option.” Otherwise: “If a member dies and does not meet these age and service requirements, all funds are paid to the designated beneficiary(ies).” The TRS statute says what “all funds” means. W. Va. Code 18-7A-23(b)(2)(A) pays the refund beneficiary “The contributor’s accumulated contributions up to the plan year of his or her death plus an amount equal to his or her member contributions: Provided, That the latter sum shall emanate from the Employer’s Accumulation Fund;” For spousal waivers in general, see single-life versus joint-and-survivor pension.

Cost-of-living adjustments

The pages read do not state how a cost-of-living adjustment works for PERS or TRS retirees, so this page makes no claim about adjustments.

What the IRS adds on tax

A refund or lump sum from a public pension is a distribution, so the IRS rules apply on top of the CPRB’s own. On withholding, the IRS says that a taxable eligible rollover distribution paid to you “is subject to mandatory income tax withholding (generally at a rate of 20%), even if you intend to roll it over later”, and that if you roll it over yourself “you’ll have to add funds from other sources equal to the amount withheld”. The pages read do not describe how a refund is paid or whether it can be sent directly to another plan, so the CPRB is the place to confirm the withholding and rollover steps before a refund is requested. The rollover clock, if the money is paid to you: “you have 60 days from the date you receive it to roll it over to another eligible retirement plan”.

On early distributions the IRS says “the law imposes a 10% additional tax on certain early distributions from certain retirement plans”. Its list of exceptions includes “Distributions made to you after you separated from service with your employer after attainment of age 55” and “Distributions made to a qualified public safety employee from a governmental plan”. Whether an exception fits a particular refund depends on your own plan and facts, so confirm it with a tax preparer before you take one.

What this page could not settle

• The pages read do not state the size of the reduction for any Joint and Survivor option or for 10 Year Certain; it comes from the estimate the CPRB provides.
• The PERS page and the PERS description PDF disagree on the employer contribution: the page says 8.0% effective July 1, 2026 for a combined 12.5%, while the PDF says 9.0% effective July 1, 2022 for a combined 13.5%. Neither figure changes the annuity formula, and the CPRB can say which applies.
• The PERS page says no beneficiary benefits are payable under Straight Life and also that unpaid employee contributions plus 4% interest go to a beneficiary or estate under all options; the two are not reconciled.
• The pages read do not state the interest rate on a TRS withdrawal, whether interest compounds, or the interest rate charged to reinstate withdrawn service.
• The pages read do not describe spousal consent to a refund or to a Straight Life election, other than the waiver on the PERS pre-retirement beneficiary form.
• The pages read do not describe a lump sum retirement option or a deferred retirement option program, and do not state how a refund is paid, taxed or rolled over.
• The CPRB pages read do not state an early retirement reduction (the statute states it as an actuarial equivalent, quoted above), a cost-of-living adjustment, or a service purchase price.
• The pages read do not describe PERS Tier II or TRS Tier II rules.

Common mistakes

• Electing a Joint and Survivor option or Straight Life and assuming it can be changed later; once benefits are received the option can change only under the statutes the Board cites.
• Withdrawing contributions without registering that all future retirement and disability benefits are forfeited, and that employer contributions are not returned.
• Waiting to ask for an estimate; PERS says to request one approximately 6 to 12 months before retirement eligibility and requires one before the retirement packet.
• Assuming a refunded period can be bought back at any time; PERS sets a one full year re-employment rule, and the statute requires repayment to begin within two years of the return to employment and to be complete within five (W. Va. Code 5-10-18(a)).

Related on this site: West Virginia retirement taxes, does West Virginia tax pensions, single-life versus joint-and-survivor pension, pension refund versus leaving it, pension buyback calculator and public pension retirement decisions by system.

Sources

• West Virginia Consolidated Public Retirement Board, source 1: https://www.wvretirement.com/PERS.html
• West Virginia Consolidated Public Retirement Board, source 2: https://www.wvretirement.com/Forms/PERS-description.pdf
• West Virginia Consolidated Public Retirement Board, source 3: https://www.wvretirement.com/TRS.html
• IRS, Topic no. 413, Rollovers from retirement plans (irs.gov): https://www.irs.gov/taxtopics/tc413
• IRS, Topic no. 558, Additional tax on early distributions from retirement plans other than IRAs (irs.gov): https://www.irs.gov/taxtopics/tc558

Sources: the primary documents linked above, read on October 2, 2026. General information from each system’s own published materials, not legal, tax or financial advice. Your own member statement and the system’s current rules decide your benefit, and a pension counsellor at the system or a fee-only adviser is the right place to confirm anything consequential.