104.1024. Retirement, application--annuity payments, how paid, amount--election to receive annuity or lump sum payment for certain employees, determination of amount.
Retirement, application--annuity payments, how paid, amount--electionto receive annuity or lump sum payment for certain employees,determination of amount.
104.1024. 1. Any member who terminates employment may retire on orafter attaining normal retirement eligibility by making application inwritten form and manner approved by the appropriate board. The writtenapplication shall set forth the annuity starting date which shall not beearlier than the first day of the second month following the month of theexecution and filing of the member's application for retirement nor laterthan the first day of the fourth month following the month of the executionand filing of the member's application for retirement. The payment of theannuity shall be made the last working day of each month, providing alldocumentation required under section 104.1027 for the calculation andpayment of the benefits is received by the board.
2. A member's annuity shall be paid in the form of a life annuity,except as provided in section 104.1027, and shall be an amount for lifeequal to one and seven-tenths percent of the final average pay of themember multiplied by the member's years of credited service.
3. The life annuity defined in subsection 2 of this section shall notbe less than a monthly amount equal to fifteen dollars multiplied by themember's full years of credited service.
4. If as of the annuity starting date of a member who has attainednormal retirement eligibility the sum of the member's years of age andyears of credited service equals eighty or more years and if the member'sage is at least forty-eight years but less than sixty-two years, or, in thecase of a member of the highway patrol who shall be subject to themandatory retirement provision of section 104.080, the mandatory retirementage and completion of five years of credited service, then in addition tothe life annuity described in subsection 2 of this section, the membershall receive a temporary annuity equal to eight-tenths of one percent ofthe member's final average pay multiplied by the member's years of creditedservice. The temporary annuity and any cost-of-living adjustmentsattributable to the temporary annuity pursuant to section 104.1045 shallterminate at the end of the calendar month in which the earlier of thefollowing events occurs: the member's death or the member's attainment ofthe earliest age of eligibility for reduced Social Security retirementbenefits, but no later than age sixty-two.
5. The annuity described in subsection 2 of this section for anyperson who has credited service not covered by the federal Social SecurityAct, as provided in sections 105.300 to 105.445, RSMo, shall be calculatedas follows: the life annuity shall be an amount equal to two andfive-tenths percent of the final average pay of the member multiplied bythe number of years of service not covered by the federal Social SecurityAct in addition to one and seven-tenths percent of the final average pay ofthe member multiplied by the member's years of credited service covered bythe federal Social Security Act.
6. Effective July 1, 2002, any member, except an elected official ora member of the general assembly, who has not been paid retirement benefitsand continues employment for at least two years beyond the date of normalretirement eligibility, may elect to receive an annuity and lump sumpayment or payments, determined as follows:
(1) A retroactive starting date shall be established which shall be adate selected by the member; provided, however, that the retroactivestarting date selected by the member shall not be a date which is earlierthan the date when a normal annuity would have first been payable. Inaddition, the retroactive starting date shall not be more than five yearsprior to the annuity starting date. The member's selection of aretroactive starting date shall be done in twelve-month increments, exceptthis restriction shall not apply when the member selects the totalavailable time between the retroactive starting date and the annuitystarting date;
(2) The prospective annuity payable as of the annuity starting dateshall be determined pursuant to the provisions of this section, with theexception that it shall be the amount which would have been payable at theannuity starting date had the member actually retired on the retroactivestarting date under the retirement plan selected by the member. Other thanfor the lump sum payment or payments specified in subdivision (3) of thissubsection, no other amount shall be due for the period between theretroactive starting date and the annuity starting date;
(3) The lump sum payable shall be ninety percent of the annuityamounts which would have been paid to the member from the retroactivestarting date to the annuity starting date had the member actually retiredon the retroactive starting date and received a life annuity. The membershall elect to receive the lump sum amount either in its entirety at thesame time as the initial annuity payment is made or in three equal annualinstallments with the first payment made at the same time as the initialannuity payment;
(4) Any annuity payable pursuant to this section that is subject to adivision of benefit order pursuant to section 104.1051 shall be calculatedas follows:
(a) Any service of a member between the retroactive starting date andthe annuity starting date shall not be considered credited service exceptfor purposes of calculating the division of benefit; and
(b) The lump sum payment described in subdivision (3) of this sectionshall not be subject to any division of benefit order; and
(5) For purposes of determining annual benefit increases payable aspart of the lump sum and annuity provided pursuant to this section, theretroactive starting date shall be considered the member's date ofretirement.
(L. 1999 S.B. 308 & 314, A.L. 2000 H.B. 1808, A.L. 2001 S.B. 371, A.L. 2002 H.B. 1455, A.L. 2003 S.B. 248, et al., A.L. 2007 S.B. 406)