(1) The service retirement allowance, or the early retirement allowance of a member who, at time of retirement, so elects shall be converted into an optional retirement allowance which is the actuarial equivalent of such other allowance. The optional retirement allowance may take one (1) of the forms listed below and shall be in lieu of all other benefits under this chapter except that the provisions of section 59-1361(2), Idaho Code, shall be applicable:
(a)  Option 1 provides a reduced retirement allowance payable during the lifetime of the retired member, and a continuation thereafter of such reduced retirement allowance during the lifetime of the member’s named contingent annuitant.
(b)  Option 2 provides a reduced retirement allowance payable during the lifetime of the retired member, and a continuation thereafter of one-half (1/2) of such reduced retirement allowance during the lifetime of the member’s named contingent annuitant.
(c)  Option 3, which is available only if the member retires before the date of the social security normal retirement age for that member, provides an increased retirement allowance until such date and a reduced retirement allowance thereafter, the difference between the two (2) amounts approximately equaling the governmental old-age benefit becoming payable at such date as estimated by the board.
(d)  Option 4, which is available only if the member retires before the date of the social security normal retirement age for that member, provides either an adjusted option 1 (option 4A) or option 2 (option 4B) retirement allowance until such date and a reduced retirement allowance thereafter, the difference between the two (2) amounts approximately equaling the governmental old-age benefit becoming payable at such date as estimated by the board. The adjusted retirement allowance shall be paid to the retired member during the member’s lifetime and the appropriate continuation amount of the adjusted allowance to the member’s named contingent annuitant for life thereafter.
(2)  Should the named contingent annuitant under option 1 or option 2 either predecease a member retiring on or after October 1, 1992, or waive all survivor benefits pursuant to a domestic retirement order approved under section 59-1320, Idaho Code, upon notification to the board, the member’s benefit on the first day of the month following the death of the contingent annuitant or approval of the domestic retirement order, as applicable, will thereafter become an allowance calculated pursuant to section 59-1342 or 59-1346, Idaho Code, whichever was applicable on the date of retirement, in addition to any postretirement allowance adjustments which may have accrued from that time. Should the named contingent annuitant under option 4 either predecease the member, or waive all survivor benefits pursuant to a domestic retirement order approved under section 59-1320, Idaho Code, upon notification to the board, the member’s benefit on the first day of the month following the contingent annuitant’s death or approval of the domestic retirement order, as applicable will thereafter become the option 3 allowance to which the member would have been entitled as of the date of the annuitant’s death, or approval of the domestic retirement order, as applicable. The benefit changes under this subsection shall be available only to members whose last contribution was made after June 30, 1992.
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Terms Used In Idaho Code 59-1351

  • Actuarial equivalent: means a benefit equal in value to another benefit, when computed on the basis of the actuarial tables in use by the system. See Idaho Code 59-1302
  • board: means the board provided for in sections 59-1304 and 59-1305, Idaho Code, to administer the retirement system. See Idaho Code 59-1302
  • Contingent annuitant: means the person designated by a member under certain retirement options to receive benefit payments upon the death of the member. See Idaho Code 59-1302
  • Domestic retirement order: means any judgment, decree, or order, including approval of a property settlement agreement that relates to the provision of marital property rights to a spouse or former spouse of a member, and is made pursuant to a domestic relations law, including the community property law of the state of Idaho or of another state. See Idaho Code 59-1302
  • Early retirement allowance: means the periodic payment becoming payable to a member who meets all applicable eligibility requirements for early retirement. See Idaho Code 59-1302
  • Member: means an active member, inactive member or a retired member. See Idaho Code 59-1302
  • Month: means a calendar month, unless otherwise expressed. See Idaho Code 73-114
  • Retired member: means a former active member receiving a retirement allowance. See Idaho Code 59-1302
  • Retirement: means the acceptance of a retirement allowance under this chapter upon termination of employment and, unless otherwise provided by law, requires a termination of employment from an employer participating in PERSI, the judges retirement fund, the firefighters retirement fund or the optional retirement plan. See Idaho Code 59-1302
  • Service: means being shown on an employer’s payroll as an employee receiving a salary. See Idaho Code 59-1302
(3)  Option 1 or 2 may not be chosen if initial monthly payments would be less than that amount set forth in, or pursuant to, section 59-1343, Idaho Code.
(4)  Application for any optional retirement allowance shall be in writing, duly executed and filed with the board. Such application shall contain all information required by the board, including such proofs of age as are deemed necessary by the board.
(5)  A retirement option elected at the time of retirement as provided for in this section may not be changed except by written notice to the retirement board no later than five (5) business days after the receipt of the first retirement allowance.
(6)  Not later than one (1) year after the marriage of a retired member, the member may elect option 1, 2 or 4 to become effective ninety (90) days after the date of such election, provided the member’s spouse is named as a contingent annuitant, and either:
(a)  The member was not married at the time of the member’s retirement; or
(b)  The member earlier elected option 1, 2, 4A or 4B, having named the member’s spouse as contingent annuitant, and said spouse has died or has waived all survivor benefits as provided in subsection (2) of this section.
Should a member make an election under this subsection (6), upon notification to the board, the member’s benefit on the first day of the month following the effective date of the election will thereafter become the optional retirement allowance elected, calculated as of the date of retirement pursuant to subsection (1) of this section, in addition to any postretirement allowance adjustments that may have accrued from that time.