What About My Sick and Annual Leave?
Upon your transition into retirement, should you have any remaining sick or annual leave, it will be converted to service credit. Read on to see how sick and annual leave conversions are made.
Sick Leave & Conversion to Service Credit
Unused sick leave can increase your monthly benefit when it is converted to retirement credit. TRSL converts unused sick leave to retirement credit after you submit an official application for retirement and your final benefit is calculated.
- Can I use my sick leave to become eligible for retirement? Unused sick leave is not used to attain eligibility for retirement. Eligibility must first be attained, then unused sick leave credit is added for total retirement service credit.
- How much service credit will I gain from my sick leave? The amount of sick leave that may be used to increase retirement service credit depends on when the sick leave was earned. Different laws govern sick leave credit earned through June 30, 1988, and sick leave credit earned through and after June 30, 1990.
Sick leave earned on or before June 30, 1988
Nine-month employees accumulate 10 days per year even if the school year was less than nine months. Similarly, 10-month employees accumulate 11 days per year. Employees with 11- and 12-month contracts accumulate sick leave as follows:
- For the first three years, 12 days per year
- For the next seven years, 15 days per year
- For all years over 10, 18 days per year
Both 9- and 10-month employees who work extra summer months accumulate one extra day or a portion thereof for each additional month of full-time service.
|Unused Sick Leave Conversion: For sick leave earned on or before June 30, 1988
|Sick Day Balance
||Service Credit Earned
|25 - 45
|46 - 90
|91 - 135
|136 - 180
|181 - 225
|226 - 270
|271 - 315
|316 - 360
|361 - 405
|406 - 450
|451 - 495
|496 - 540
|541 - 585
|586 - 630
|631 - 675
|676 - 720
The balance of unused sick leave days on June 30, 1988, will be converted to service credit according to the table above. The amount of sick leave that an employer allows a member to accumulate may be different from the amount state law will allow for retirement benefit computation credit.
Sick leave earned after June 30, 1988
State law provides that all unused sick leave days earned after June 30, 1988, minus the number of days for which the employer pays upon the member’s retirement, will be converted to years based upon the table below (subject to provisions for sick leave earned after June 30, 1990 in the next section).
School boards pay up to 25 days of unused sick leave at the daily rate of pay or the number of unused days at the discretion of the employer.
Under this provision, 9-month employees continue to accumulate 10 days of sick leave per year, and 10-month employees accumulate 11 days per year.
11- and 12-month employees accumulate sick leave as follows:
- For the first 10 years, 12 days per year
- For all years over 10, 18 days per year
|Unused Sick Leave Conversion: For sick leave earned after June 30, 1988
|Sick day balance for those who work:
||Service credit earned
|10 - 18
||11 - 20
||12 - 22
||13 - 24
|19 - 36
||21 - 40
||23 - 44
||25 - 48
|37 - 54
||41 - 60
||45 - 66
||49 - 72
|55 - 72
||61 - 80
||67 - 88
||73 - 96
|73 - 90
||81 - 100
||89 - 110
||97 - 120
|91 - 108
||101 - 120
||111 - 132
||121 - 144
|109 - 126
||121 - 140
||133 - 154
||145 - 168
|127 - 144
||141 - 160
||155 - 176
||169 - 192
|145 - 162
||161 - 180
||177 - 198
||193 - 216
|163 - 180
||181 - 200
||199 - 220
||217 - 240
Sick leave earned after June 30, 1990
State law allows a member to convert into service credit one additional year of sick leave earned after June 30, 1990, at no cost. However, all unused sick leave days earned after June 30, 1990, in excess of an amount that would convert to one year of service credit, may be added to a member’s account only if purchased.
In order to purchase unused sick leave days as service credit, the member pays to TRSL an amount that completely offsets the increase in accrued liability of the System resulting from the receipt of the credit. Any leave purchased cannot be used to attain eligibility for any TRSL benefit and cannot be used in the computation of the average compensation.
At its discretion, the employer can pay up to 50 percent of the purchase price to convert unused sick leave to service credit. However, if the employer makes such a payment for one employee, it must do the same for all employees.
For state employees
Employees of Louisiana state agencies, colleges, universities, community colleges, and technical colleges may receive credit for unused annual leave at no cost, with certain restrictions. Members first eligible to retire after June 30, 1990, may convert unused annual leave earned after that date to service credit by purchasing the leave at actuarial cost.
For a member to obtain credit for unused annual leave, TRSL must receive official certification of the member’s accrued annual leave for which an attendance record was maintained by the employer.
Members who are state employees are usually paid for 300 hours or 37.5 days of annual leave by their employers upon termination of employment. The number of days for which a member is paid is deducted from the number of days certified as unused by the employer. Annual leave is not used to attain eligibility for any benefit nor is it used in the computation of average compensation.
For school board employees
Employees of school boards are eligible to receive credit for unused annual leave if it is purchased at actuarial cost. This annual leave must have accrued under established leave regulations, and an employee attendance record must have been maintained by the employer.
School board employees are eligible to purchase unused annual leave for which they are not entitled to payment. At its discretion, the employer can pay up to 50 percent of the purchase price to convert unused annual leave to service credit. However, if the employer makes such a payment for one employee, it must do the same for all employees