Sec. 507. Court orders relating to Federal retirement benefits for former spouses of federal employees
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/bill/113/hr/2117/ih/section-507·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 8345(j) of title 5, United States Code, is amended— by redesignating paragraph
(3)as paragraph (4); and by inserting after paragraph
(2)the following: A court decree, court order, property settlement, or similar process referred to under paragraph (1)(A) shall be treated as meeting the requirements of that paragraph if it requires that payment of benefits be made to the former spouse of the employee, Member, or annuitant— in the case of any payment before the employee, Member, or annuitant has separated from service, on or after the date on which the employee, Member, or annuitant attains (or would have attained) the earliest retirement age, as if the employee, Member, or annuitant had retired on the date on which such payment is to begin under such order (but taking into account only the present value of the benefits actually accrued and not taking into account the present value of any employer subsidy for early retirement), and in any form in which such benefits may be paid under this chapter to the employee, Member, or annuitant (other than in the form of a joint and survivor annuity with respect to the former spouse and his or her subsequent spouse). For purposes of clause (ii), the interest rate assumption used in determining the present value shall be the interest rate specified under this subchapter or, if no rate is specified, 5 percent. In this paragraph, the term earliest retirement age means the earlier of— the date on which the employee, Member, or annuitant is entitled to a distribution under this subchapter, or the later of— the date the employee, Member, or annuitant attains age 50, or the earliest date on which the employee, Member, or annuitant could begin receiving benefits under this chapter if the employee, Member, or annuitant separated from service. . Section 8467 of title 5, United States Code, is amended— by redesignating subsection
(c)as subsection (d); and by inserting after subsection
(b)the following: A court decree, court order, property settlement, or similar process referred to under subsection (a)(1) shall be treated as meeting the requirements of that subsection if it requires that payment of benefits be made to the former spouse of the employee, Member, or annuitant— in the case of any payment before the employee, Member, or annuitant has separated from service, on or after the date on which the employee, Member, or annuitant attains (or would have attained) the earliest retirement age, as if the employee, Member, or annuitant had retired on the date on which such payment is to begin under such order (but taking into account only the present value of the benefits actually accrued and not taking into account the present value of any employer subsidy for early retirement), and in any form in which such benefits may be paid under this chapter to the employee, Member, or annuitant (other than in the form of a joint and survivor annuity with respect to the alternate payee and his or her subsequent spouse). For purposes of subparagraph (B), the interest rate assumption used in determining the present value shall be the interest rate specified under this chapter or, if no rate is specified, 5 percent. In this subsection, the term earliest retirement age means the earlier of— the date on which the employee, Member, or annuitant is entitled to a distribution under this chapter, or the later of— the date the employee, Member, or annuitant attains age 50, or the earliest date on which the employee, Member, or annuitant could begin receiving benefits under this chapter if the employee, Member, or annuitant separated from service. . The amendments made by this section shall take effect on the date of the enactment of this Act and apply to any court decree, court order, property settlement, or similar process issued or approved before, on, or after that date.