Q. At my age of 59 (60 in December 2016) and with 27 years of service (28 starting in October 2016), would the 5 percent per year for lifetime penalty apply to me if I retire before turning 60?
A. Yes, it would. Your annuity would be permanently reduced by 5 percent for every year that you were under age 62, or 5/12 of 1 percent per month.