161.480 Statement of member -- Designation of beneficiaries.
430 words·~2 min read·
/ky/chapter-161/161-480A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)Each person, upon becoming a member of the retirement system, shall file a
detailed statement as required by the board of trustees and shall designate a
primary beneficiary or two
(2)or more cobeneficiaries to receive any benefits
accruing from the death of the member.
(b)A contingent beneficiary may be designated in addition to the primary
beneficiary or cobeneficiaries. The member may name more than one
contingent beneficiary.
(c)Any beneficiary designation made by the member, including the estate should
the estate become the beneficiary by default, shall remain in effect until
changed by the member on forms prescribed by the Teachers' Retirement
System, except in the event of subsequent marriage or divorce. Subsequent
marriage by the member shall void the primary beneficiary and any
cobeneficiary designation, even that of a trust, and the spouse of the member
at death shall be considered as the primary beneficiary, unless the member
subsequent to marriage designates another beneficiary. An individual who is
married prior to becoming a member of the retirement system and remains
married at the time of becoming a member shall have his or her spouse
considered the primary beneficiary, unless the member designates another
beneficiary. A final divorce decree shall terminate an ex-spouse's status as
either primary beneficiary, cobeneficiary, or contingent beneficiary, unless
subsequent to divorce the member redesignates the former spouse as primary
beneficiary, cobeneficiary, or contingent beneficiary.
(d)To the extent permitted by the Internal Revenue Code, a trust may be
designated as beneficiary for receipt of a member's accumulated account
balance in the retirement system as provided under KRS 161.470(7). A final
divorce decree shall not terminate the designation of a trust as beneficiary
regardless of who is designated as beneficiary of the trust.
(e)In the event that a member fails to designate a beneficiary, or all designated
beneficiaries predecease the member, the member's estate shall be deemed to
be the beneficiary, unless the member is married at the time of his or her
death, in which case the spouse shall be deemed the beneficiary.
(f)Members may designate as beneficiaries only presently identifiable and
existing individuals, or trusts where otherwise permitted, without contingency
instructions, on forms prescribed by the retirement system.
(2)The provisions of this section shall be retroactive as they relate to election of
beneficiaries by members still in active status on the effective date of this section.
The provisions of this section shall not apply to any account from which a member
is drawing a retirement allowance or to the life insurance benefit available under
KRS 161.655.