104.415. Annual benefit increase, when, how computed--minimum--maximum increase--payable when--temporary waiver of right to receive, effect, limitation.
Annual benefit increase, when, how computed--minimum--maximumincrease--payable when--temporary waiver of right to receive,effect, limitation.
104.415. 1. Each member who was employed prior to August 28, 1997,and retires on or after May 12, 1981, shall receive each year a percentageincrease in the amount of benefits received by the member during thepreceding year of eighty percent of the increase in the consumer priceindex calculated in the manner hereinafter provided. Such annual benefitincrease, however, shall not exceed five percent, nor be less than fourpercent, and the total increase in the amount of benefits received pursuantto the provisions of this subsection shall not exceed sixty-five percent ofthe initial benefit which the member received upon retirement or thebenefit received immediately prior to October 1, 1986, whichever is later.
2. Each member who is employed for the first time on or after August28, 1997, and retires shall be entitled annually to a percentage increasein the retirement benefit payable equal to eighty percent of the increasein the consumer price index. Such benefit increase, however, shall notexceed five percent of the retirement benefit payable prior to theincrease.
3. Each member who is employed before August 28, 1997, and terminatesemployment and retires after that date shall be entitled to the annualbenefit increase described in subsection 2 of this section. For suchmembers, the annual benefit increase described in subsection 2 of thissection shall not be effective until the year in which the member reachesthe limit on total annual benefit increases provided by subsection 1 ofthis section. During that year on the anniversary date of the member'sretirement, the member or person shall receive the benefit increasedescribed in subsection 1 or 2 of this section, whichever is greater.After that year, the member shall receive the annual benefit increasedescribed in subsection 2 of this section.
4. Survivors of members described in subsection 2 of this sectionshall be entitled to the annual benefit increase described in thatsubsection. The annual benefit increases of such survivors and any othersurvivors of retired members of the Missouri state employees' retirementsystem, if any are due, shall commence during the month of the anniversarydate of the member's retirement date if the member died on or after July 1,2000.
5. For the purposes of this section, any increase in the consumerprice index shall be determined in January of each year, based upon thepercentage increase of (a) the consumer price index for the precedingcalendar year over (b) the consumer price index for the calendar yearimmediately prior thereto. Any increase so determined shall be applied incalculating any benefit increases that become payable pursuant to thissection during the calendar year in which the determination is made and inno case shall the percentage be less than zero.
6. The annual benefit increases of members described in this sectionwho retire on or after July 1, 2000, if any are due, shall commencebeginning twelve months after the commencement of the member's retirementbenefit. Nothing in this section shall be construed to prohibit a memberfrom waiving his or her right to receive the annual increase providedpursuant to this section. However, the waiver may not extend beyond theage permitted by Section 401(a)(9) of the Internal Revenue Code. Thewaiver shall be final as to the annual increase waived.
(L. 1981 H.B. 835, et al., A.L. 1984 H.B. 1370, A.L. 1986 H.B. 1496, A.L. 1993 S.B. 126, A.L. 1997 H.B. 356, A.L. 1999 S.B. 308 & 314)