Kansas Statutes 74-49,311. Distribution of eligible vested member’s annuity savings account; annuity and lump-sum options; benefit for spouse of member who dies before normal retirement date
Terms Used In Kansas Statutes 74-49,311
- Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
- Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
- covered position: means a position with an affiliated employer that is eligible for membership in the Kansas public employees retirement system pursuant to the provisions of Kan. See Kansas Statutes 74-49,202
- member: means any member of the Kansas police and firemen's retirement system who is eligible to participate in the DROP and who elects to participate in the DROP as provided in this act;
(7) "monthly DROP accrual" means the amount equal to the monthly retirement benefit that would have been payable to the member had the member terminated service and retired on the day the member elected; and
(8) "system" means the Kansas police and firemen's retirement system. See Kansas Statutes 74-4986l
- normal retirement age: means the attainment of age 65 with completion of five years of credited service, or 60 with the completion of 30 years of credited service;
(10) "plan" means the plan established within the Kansas public employees retirement system by Kan. See Kansas Statutes 74-49,302
- retirement annuity account: means the account established for employer credits of members under Kan. See Kansas Statutes 74-49,302
- system: means the Kansas public employees retirement system. See Kansas Statutes 74-49,302
(a) A member who is eligible for a benefit under subsection (a) or (b) of Kan. Stat. Ann. § 74-49,313, and amendments thereto, shall be entitled to a distribution of such member’s annuity savings account. Such distribution shall be made using mortality rates and interest rates as provided in subsection (a) of Kan. Stat. Ann. § 74-49,313, and amendments thereto, and may be made in any of the annuity options described in subsection (c) of Kan. Stat. Ann. § 74-49,313, and amendments thereto. In lieu of an annuity, a member entitled to a benefit under subsection (a) of Kan. Stat. Ann. § 74-49,313, and amendments thereto, may elect to receive a lump-sum of such member’s annuity savings account of any fixed dollar amount or percent, but in no event may the lump-sum option elected under this section and the lump-sum option elected under subsection (c) of Kan. Stat. Ann. § 74-49,313, and amendments thereto, exceed 30% of the total value of such member’s annuity savings account and retirement annuity account.
(b) A member who is not eligible for a benefit under subsection (a) or (b) of Kan. Stat. Ann. § 74-49,313, and amendments thereto, but who terminates employment in any covered position under the system, may elect to take a distribution of such member’s entire annuity savings account balance, but the member shall then forfeit the entire balance in the member’s retirement annuity account.
(c) In the case of an active or inactive member:
(1) Who is vested in the member’s annuity savings account;
(2) who has five or more years of service at death; and
(3) who dies before attaining normal retirement age, with such member’s spouse at time of death designated as such member’s sole primary beneficiary, the member’s surviving spouse on and after the date the member would have attained normal retirement age had such member not died, shall receive an annuity based upon such member’s contributions and interest credits in the annuity savings account, using factors established by the board by official action as of the beneficiary’s annuity start date. The form of benefit shall be a single life annuity with 10-year certain.