Sec. 7. (a) When a
member retires or dies in service under conditions which entitle a
beneficiary or spouse to survivor benefits and if the member or survivor chooses to receive an
annuity from the
fund, the annuity savings account shall be charged with the amount credited to him in the account. This amount shall be credited to the retirement allowance account, and the annuity shall be paid from this account.
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Terms Used In Indiana Code 5-10.2-2-7
- 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
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Fund: as used in this article means the Indiana state teachers' retirement fund and the public employees' retirement fund. See Indiana Code 5-10.2-1-2
- Member: as used in this article means a member of the Indiana state teachers' retirement fund or of the public employees' retirement fund. See Indiana Code 5-10.2-1-4
- Participating political subdivision: as used in this article means a political subdivision which is participating in the public employees' retirement fund as specified in Indiana Code 5-10.2-1-5
- school corporation: has the meaning set forth in Indiana Code 5-10.2-1-6.5
(1) a member of the public employees’ retirement fund who is an employee of a participating political subdivision; or
(2) a member of the Indiana state teachers’ retirement fund who is covered by the 1996 account and is an employee of a school corporation or other institution;
retires or dies in service under conditions which entitle a beneficiary or spouse to survivor benefits, the political subdivision’s, school corporation‘s, or other institution’s account in the retirement allowance account shall be charged with an amount equal to the actuarial reserve of the member’s retirement pension or the survivor benefit. The amount charged shall be credited to the retirement allowance account, and the retirement pension or survivor benefit shall be paid from this account.
As added by Acts 1977, P.L.53, SEC.2. Amended by P.L.35-1985, SEC.6; P.L.54-1993, SEC.8.
