Washington Code 41.32.066 – Purchase of additional service credit — Costs — Rules
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(1) A member eligible to retire under RCW 41.32.480, 41.32.765, or 41.32.875 may, at the time of filing a written application for retirement with the department, apply to the department to make a one-time purchase of up to five years of additional service credit.
Terms Used In Washington Code 41.32.066
- Actuarial equivalent: means a benefit of equal value when computed upon the basis of such mortality tables and regulations as shall be adopted by the director and regular interest. See Washington Code 41.32.010
- Department: means the department of retirement systems created in chapter 41. See Washington Code 41.32.010
- Member: means any teacher included in the membership of the retirement system who has not been removed from membership under RCW 41. See Washington Code 41.32.010
- Membership service: means service rendered subsequent to the first day of eligibility of a person to membership in the retirement system: PROVIDED, That where a member is employed by two or more employers the individual shall receive no more than one service credit month during any calendar month in which multiple service is rendered. See Washington Code 41.32.010
(2) To purchase additional service credit under this section, a member shall pay the actuarial equivalent value of the resulting increase in the member’s benefit.
(3) Subject to rules adopted by the department, a member purchasing additional service credit under this section may pay all or part of the cost with a lump sum payment, eligible rollover, direct rollover, or trustee-to-trustee transfer from an eligible retirement plan. The department shall adopt rules to ensure that all lump sum payments, rollovers, and transfers comply with the requirements of the internal revenue code and regulations adopted by the internal revenue service. The rules adopted by the department may condition the acceptance of a rollover or transfer from another plan on the receipt of information necessary to enable the department to determine the eligibility of any transferred funds for tax-free rollover treatment or other treatment under federal income tax law.
(4) Additional service credit purchased under this section is not membership service and shall be used exclusively to provide the member with a monthly annuity that is paid in addition to the member’s retirement allowance.
[ 2006 c 214 § 2.]
NOTES:
Effective date—2006 c 214: See note following RCW 41.40.034.