16.576 Normal retirement for members who began participating before
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/ky/16-576A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
January 1, 2014 -- Election regarding payment of retirement allowance.
(a)Any member who begins participating before September 1, 2008, who
has at least five
(5)years of service credit may retire at his normal
retirement date, or subsequent thereto, upon written notification to the
system, setting forth at what date the retirement is to become effective, if
the effective date shall be after his last day of service and subsequent to
the filing of the notice at the retirement office.
(b)Any member who begins participating on or after September 1, 2008,
who has at least five
(5)years of service credited under KRS 16.543(1),
61.543(1), or another state-administered retirement system may retire at
his or her normal retirement date, or subsequent thereto, upon written
notification to the system, setting forth what date the retirement is to
become effective, if the effective date shall be after his or her last day of
service and subsequent to the filing of the notice at the retirement office.
(2)The member shall have the right to elect to have his retirement allowance
payable under subsection (3), (4), or
(6)of this section or any one
(1)of the
plans set forth in KRS 61.635.
(a)Effective August 1, 1990, a member of the Kentucky State Police
Retirement System may elect to receive an annual retirement allowance,
payable monthly during his lifetime, equal to two and five-tenths percent
(2.5%) of final compensation for each year of service credit. Effective
August 1, 1988, a member of the Kentucky Employees Retirement
System covered by this section may elect to receive an annual retirement
allowance, payable monthly during his lifetime, equal to two and forty-nine
hundredths percent (2.49%) of final compensation for each year of
service credit. The annual retirement allowance for a member covered by
this section shall not exceed the maximum benefit as set forth in the
Internal Revenue Code.
(b)A member of the State Police Retirement System or a member of the
Kentucky Employees Retirement System covered by this section, whose
participation begins on or after September 1, 2008, but prior to January 1,
2014, shall receive an annual retirement allowance, payable monthly
during his or her lifetime, equal to:
1. One and three-tenths percent (1.3%) of final compensation for each
year of service credit if the employee has earned ten
(10)or less
years of service at retirement;
2. One and one-half percent (1.5%) of final compensation for each
year of service credit if the employee has earned greater than ten
(10)but no more than twenty
(20)years of service at retirement;
3. Two and one-quarter percent (2.25%) of final compensation for
each year of service credit if the employee has earned greater than
twenty
(20)but less than twenty-five
(25)years of service at
retirement; or
4. Two and one-half percent (2.5%) of final compensation for each
year of service credit if the employee has earned twenty-five
(25)or
more years of service at retirement.
(4)The member may elect to receive a monthly retirement allowance payable for
ten
(10)years certain, actuarially equivalent to the retirement allowance
payable under subsection
(3)of this section. If the member should become
deceased prior to the expiration of ten
(10)years, his beneficiary, unless the
beneficiary is the member's estate, shall receive the remaining payments
monthly for the duration of the ten
(10)years. If the member's estate is the
beneficiary, the member's estate shall receive a lump-sum payment which shall
be the actuarial equivalent to the remaining payments. The provisions of KRS
61.702 notwithstanding, the member who retired on June 17, 1978, or
thereafter, and his spouse and eligible dependents shall continue to receive the
insurance benefits to which they are entitled pursuant to KRS 61.702 after the
expiration of ten
(10)years. Effective with any insurance contract procured, or
self-insurance plan instituted, after July 15, 1990, a member who retired prior
to June 17, 1978, and his spouse and eligible dependents shall receive
insurance benefits pursuant to KRS 61.702 upon payment by the member or
beneficiary of the entire cost of the required insurance premium.
(5)Notwithstanding any other provisions of this section, upon written notification to
the system, a member shall have the option to defer his election to receive his
retirement allowance. The retirement allowance payable under a deferred
option shall be increased to reflect the deferred receipt of benefits.
(6)In lieu of any other benefits due under KRS 16.505 to 16.652, a member who
begins participating before September 1, 2008, who has attained age fifty-five
(55)and who has attained at least one
(1)month of service credit but no more
than fifty-nine
(59)months of service credit may elect to receive an annual
retirement allowance, payable monthly or less frequently as determined by the
board, which shall be determined by multiplying his accumulated contributions
by two
(2)and converting this amount to an annual retirement allowance based
on an annuity rate adopted by the board which would pay the actuarial
equivalent of twice his accumulated contributions over the lifetime of the retired
member.
(7)Subsections
(1)to
(6)of this section shall not apply to members who begin
participating in the system on or after January 1, 2014. Members who begin
participating in the system on or after January 1, 2014, shall receive the
retirement benefit calculation prescribed by KRS 16.583.