2023 New York Laws › RSS - Retirement and Social Security › Article 15 - Coordinated Retirement Plan › 608 - Final Average Salary.

§  608. 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.
  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  and  local  employees'
  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 by  such  member  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 in 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 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,
  provided that this subdivision shall  not  apply  to  a  New  York  city
  revised plan member of the New York city employees' retirement system or
  a  New  York  city  revised  plan  member of the New York city teachers'
  retirement system.
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 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 fourteen of
  subdivision e of section 13-638.4 of the administrative code of the city
  of New York, provided,  however,  that  the  applicable  provisions  and
  limitations  of the term "wages", as defined in subdivision l of section
  six hundred one of this article, shall apply to such  determinations  of
  final average salary.
e.  With  respect to a member covered by the provisions of section six
  hundred five-c of this article, final average compensation shall be  the
  average  wages earned by such a member during any five 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 compensation 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 compensation.