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SCRS - Basic Plan Information
There are three monthly annuity payment plans
available to you at retirement. Select the one that best suits your needs.
Your selection may not be changed once benefits are first payable.
Option A (Maximum Retiree Only Monthly Annuity)
Payment Plan
This plan will pay you a standard lifetime annuity based on your average
final compensation, years of service, and a multiplier (.0182 for Class II
or .0145 for Class I). Upon your death, the Retirement Systems will
return, through a lump-sum payment to your beneficiary or your estate, the
remaining balance of member contributions and interest, including any
working retiree contributions, not exhausted through receipt of annuity
benefits during your retirement.
Option B (100% - 100% Joint
Retiree-Survivor Monthly Annuity) Payment Plan
You will receive a reduced (from Option A) monthly annuity for life. Upon
your death, the same annuity (100 percent of your reduced monthly annuity,
including granted cost-of-living adjustments) will continue throughout
your beneficiary’s lifetime. If your designated beneficiary predeceases
you, your annuity will revert to Option A, including any cost-of-living
adjustments granted since your retirement date.
You may select
Option B only if your designated beneficiary is your spouse, or you
designate multiple beneficiaries or a non-spousal beneficiary who is
within the 10 year age difference limits allowed by an Internal Revenue
Code formula. The non-spousal limits do not apply if the non-spousal
beneficiary is older than you, or in the case of disability retirement or
death benefits.
If, based
on the IRC formula, the adjusted age difference for you and a non-spousal
beneficiary exceeds the IRC limits, the 100 percent survivor option
payment plan would not be available to you. You would be able to select
the 50 percent survivor option payment plan, however, with no IRC
restrictions.
Option C (100% - 50% Joint
Retiree-Survivor Monthly Annuity) Payment Plan
You will receive a reduced (from Option A) monthly annuity for life. Upon
your death, one-half of the annuity (50 percent of your reduced monthly
annuity, including granted cost-of-living adjustments) will continue
throughout your beneficiary’s lifetime. If your designated beneficiary
predeceases you, your annuity will revert to Option A, including any
cost-of-living adjustments granted since your retirement date.
If You Choose Option B or Option C
If you choose Option B or Option C and name multiple beneficiaries, your
annuity will be divided equally among them. The annuity will not change
for the remaining beneficiaries if one beneficiary dies, either before or
after the member dies. If you select Option B or Option C and all of your
designated beneficiaries predecease you, your annuity will revert to
Option A effective on the date the last beneficiary died. You must notify
the Retirement Systems upon the death of a beneficiary. |
