N.Y. Retirement & Social Security Law § 512: Final average salary

§ 512. Final average salary. a. A member's final average salary shall

be the average wages earned by such a member during any three

consecutive years which provide the highest average wage; provided,

however, if the wages earned during any year included in the period used

to determine final average salary exceeds that of the average of the

previous two years by more than ten percent, the amount in excess of ten

percent shall be excluded from the computation of final average salary.

In determining final average salary pursuant to any provision of this

subdivision, where the period used to determine final average salary is

the period which immediately precedes the date of retirement, any month

or months (not in excess of twelve) which would otherwise be included in

computing final average salary but during which the member was on

authorized leave of absence at partial pay or without pay shall be

excluded from the computation of final average salary and the month or

an equal number of months immediately preceding such period shall be

substituted in lieu thereof.

b. Notwithstanding the provisions of subdivision a of this section,

with respect to members of the New York state employees' retirement

system, the New York state and local police and fire retirement system

and the New York city teachers' retirement system, a member's final

average salary shall be equal to one-third of the highest total wages

earned during any continuous period of employment for which the member

was credited with three years of service credit; provided, however, if

the wages earned during any year of credited service included the period

used to determine final average salary exceeds the average of the wages

of the previous two years of credited service by more than ten percent,

the amount in excess of ten percent shall be excluded from the

computation of final average salary.

c. Notwithstanding the provisions of subdivisions a and b of this

section, the final average salary of an employee who has been a member

of the New York city employees' retirement system (other than a New York

city correction/sanitation revised plan member or an investigator

revised plan member) or the New York city teachers' retirement system

for less than one year shall be the projected one year salary, with the

calculation based upon a twelve month projection of the sums earned in

the portion of the year worked. If a member has been employed for more

than one year but less than two years, then the member's final average

salary shall be the average of the first year and projected second year

earnings based upon the calculation above, and if more than two years,

but less than three years, then one-third the total of the first two

years of employment plus the projected third year's earnings, calculated

as indicated above.

d. Subject to the provisions of subdivision c of this section, and

notwithstanding the provisions of subdivision a of this section, with

respect to members of the New York city employees' retirement system

(other than a New York city uniformed correction/sanitation revised plan

member or an investigator revised plan member) and the New York city

board of education retirement system who are subject to the provisions

of this article, a member's final average salary shall be determined

pursuant to the provisions of paragraph thirteen of subdivision e of

section 13-638.4 of the administrative code of the city of New York.