Current through Reg. 50, No. 187; September 24, 2024
(1)
Prior to the receipt of his or her first monthly benefit payment, an FRS
Pension Plan member who is eligible for a retirement benefit computed in
accordance with Rule 60S-4.004,
60S-4.005, or
60S-4.006, F.A.C., shall select
one of the four optional forms of payment of such benefits, as provided in
paragraphs (a), (b), (c), or (d) below, on Form FRS-11o (Rev 12/15),
http://www.flrules.org/Gateway/reference.asp?No=Ref-06122,
Florida Retirement System Pension Plan Option Selection for FRS Members, "
herein adopted by reference, which also requires such member to attest to his
or her marital status on Form SA-1 (Rev. 01/10),
http://www.flrules.org/Gateway/reference.asp?No=Ref-00368,
Florida Retirement System Spousal Acknowledgment Form, herein adopted by
reference. Both these forms may be obtained from the Forms page of the
Division's website, www.frs.MyFlorida.com, or by calling the
Division Toll Free at (844)377-1888, if calling from outside the Tallahassee
calling area or locally at (850)907-6500. Individuals with a hearing or speech
impairment may call the Division via T.D.D. at the Florida Relay System by
dialing 711 or (800)955-8771. A married member who selects option 1 under
paragraph (a) or option 2 under paragraph (b) shall notify his or her spouse of
such option selection, and the spouse shall acknowledge any such option
selection in accordance with subsection
60S-4.010(9),
F.A.C. The four options are as follows:
(a)
Option 1. The maximum retirement benefit payable to the member during his or
her lifetime.
(b) Option 2. A
retirement benefit payable during his or her lifetime and, in the event of his
or her death within a period of 10 years after his or her retirement, the same
monthly amount to be payable to his or her beneficiary for the balance of such
10-year period.
(c) Option 3. A
retirement benefit which shall be payable during the joint lifetime of both the
member and his or her joint annuitant and which shall continue after the death
of either during the lifetime of the survivor in the same amount, except as
provided in paragraph
60S-4.010(1)(e),
F.A.C.
(d) Option 4. A retirement
benefit payable during the joint lifetime of the member and his or her joint
annuitant, and which shall continue after the death of either during the
lifetime of the survivor in an amount equal to 66 2/3 percent of the amount
which was payable during the joint lifetime of the member and his or her joint
annuitant, except as provided in paragraph
60S-4.010(1)(e),
F.A.C.
(e) A joint annuitant, as
defined in paragraph 60S-6.001(36)(b),
F.A.C., who is under age 25 or disabled will receive, upon the member's death,
the amount of the option 1 benefit determined under paragraph
60S-4.010(1)(a),
F.A.C., only until such joint annuitant reaches age 25 unless he or she is
disabled, in which case, the option 1 benefit amount will continue for the
duration of the disability. The following shall apply to the payment of
benefits under this paragraph:
1. A person
designated as a joint annuitant who is over age 25 shall qualify as a disabled
joint annuitant provided:
a. The person is
totally and permanently disabled from performing gainful employment by reason
of a medically determinable physical or mental impairment, and
b. The Division receives two Physician's
Reports, Form SB-13b (Rev. 03/01),
http://www.flrules.org/Gateway/reference.asp?No=Ref-00371,
Florida Retirement System Pension Plan Physician's Report, herein adopted by
reference, completed by two Florida licensed physicians attesting to the total
and permanent disability of the person, and any other evidence of disability
requested by the Administrator which may include reports from vocational
rehabilitation, evaluation, or testing specialists who have evaluated the
applicant for employment. Form SB-13b may be obtained by calling the Division
Toll Free at (844)377-1888, if calling from outside the Tallahassee calling
area or locally at (850)907-6500. Individuals with a hearing or speech
impairment may call the Division via T.D.D. at the Florida Relay System by
dialing 711 or (800)955-8771.
2. Should the Administrator determine that
such person has failed to demonstrate total and permanent disability, as
provided in subparagraph 1. the following procedure shall be followed:
a. The person shall be notified by certified
mail with return receipt requested. The notice shall include a summary of the
factual, legal and policy grounds for the Administrator's intended
decision.
b. When a person receives
notice that the Administrator intends to deny his or her application, he or she
shall have 21 calendar days to present written evidence to the Administrator in
opposition to the intended action or written objections challenging the grounds
upon which the Administrator has based his or her intended decision.
c. If the Administrator overrules the
objections of the person, he or she shall provide a written explanation to the
person by certified mail with return receipt requested, giving the reasons for
his or her decision and advising the person of his or her right of appeal under
the law.
d. If the person does not
accept the Administrator's final decision on the merits, the person may request
in writing an administrative hearing on his or her disability claim by filing
within 21 calendar days from the date the annuitant receives notice of the
Administrator's final decision, a petition in accordance with Rule
28-106.201,
F.A.C.
3. The Division of
Retirement may conduct periodic reexaminations of joint annuitants who have
been granted disability under this paragraph to determine whether or not such
joint annuitants continue to meet the disability criteria applicable in their
case. The following procedures shall govern such disability reexamination
cases:
a. The Division will mail the joint
annuitant forms FR-13e, "Florida Retirement System Retiree's Report of
Continuing Disability" and FR-13f, "Florida Retirement System Physician's
Report of Reexamination" adopted in Rule
60S-4.007, F.A.C. Such forms
should be completed by the joint annuitant and his or her physician and
returned to the Disability Determination Section within 60 days, unless an
extension of time is requested and approved by the Division.
b. The Division will review the reports in
subsection (a) and other available sources, such as, but not limited to,
Workers' Compensation and Unemployment Compensation.
c. If the Division finds the joint annuitant
continues to be disabled under the criteria used to determine the original
disability, the joint annuitant will be notified in writing of the findings and
conclusions, and further, that benefits will continue to be paid.
d. Based on the information obtained pursuant
to the provisions of subparagraphs a. and b., if the Administrator finds the
joint annuitant is no longer disabled under the criteria used to determine his
or her original disability, the joint annuitant will be notified by certified
mail of the initial findings and conclusions and that the Administrator intends
to discontinue his or her benefit. The notice shall include a summary of the
factual, legal and policy grounds for the intended decision.
e. When a joint annuitant receives notice
that the Administrator intends to discontinue his or her benefits, he or she
shall have 21 calendar days to present written evidence in opposition to the
intended action or written objections challenging the grounds upon which the
Administrator has based his or her intended decision. The joint annuitant may
submit additional evidence or a written statement for reconsideration of the
Division's denial of benefits and his or her benefit will continue subject to
reconsideration.
f. After
reconsideration of the joint annuitant's file, including any additional
evidence or written statement submitted by the joint annuitant or obtained by
the Division, the Administrator shall provide a written final decision on the
merits to the joint annuitant by certified mail giving the reasons for the
decision and will notify the joint annuitant that his or her benefits will
continue if he or she is found to be disabled or will terminate effective the
first day of the following month if he or she is found to be not
disabled.
g. If the joint annuitant
does not accept the Administrator's final decision on the merits, he or she may
request in writing an administrative hearing on his or her disability claim by
filing within 21 calendar days from the date he or she receives notice of the
Administrator's final decision, a petition in accordance with Rule
28-106.201,
F.A.C.
4. A joint
annuitant who is determined to be disabled under this paragraph, and
subsequently recovers, shall notify the Division immediately to have his or her
benefits discontinued.
(2) The benefits payable under Option 1 in
this section shall be the amounts computed in accordance with Rule
60S-4.004,
60S-4.005, or
60S-4.006, F.A.C. The benefits
payable under Options 2, 3, and 4 in this section shall be the actuarial
equivalent of the amount to which the member is otherwise entitled under Option
1, based on the actuarial tables included in Chapter 60S-7, F.A.C.
(3) The benefits payable under Option 2 shall
be calculated as follows:
(a) Determine the
maximum retirement benefit for which the member is eligible under Option
1.
(b) Select the appropriate
Option 2 factor from Rule
60S-7.009 or
60S-7.010, F.A.C., using the
member's age at date of retirement.
(c) Multiply the maximum retirement benefit
obtained in paragraph (a) above by the actuarial factor obtained in paragraph
(b) above to determine the benefit which the member shall receive.
(d) In the event of death of the recipient of
an Option 2 benefit when an institution, a trust, or an estate is the
beneficiary, the legal representative of such beneficiary may request a lump
sum settlement of any monthly benefit payments remaining of the ten-year
payment period. The lump sum shall represent the present value of the remaining
unpaid installments adjusted for the time value of money. The Division shall
notify the official representative of the institution, the trustee of the
trust, or the executor, administrator or personal representative of the estate
that by acceptance of the payment the Florida Retirement System is released
from any claim against the retirement trust fund.
(4) The benefits payable under Options 3 or 4
shall be calculated as follows:
(a) Determine
the maximum retirement benefit the member is eligible for under Option
1.
(b) Using the member's age and
the joint annuitant's age at date of retirement, select the actuarial factor
listed for the option selected by the member. The following exception exists,
however, for any member who continues employment with a covered employer after
becoming eligible to retire with an Option 1 benefit equal to 100% of his or
her A. F. C. When the member retires, the actuarial factor shall be determined
by the age of the member and that of his or her joint annuitant at the time the
member became eligible for the benefit equal to 100% of his or her A. F.
C.
(c) Multiply the maximum
retirement benefit obtained in paragraph (a) above by the actuarial factor
obtained in paragraph (b) above to determine the benefit which the member shall
receive.
(d) The benefit of a
member who chooses Option 3 and designates more than one joint annuitant, shall
be the total of the portions of the benefit designated for each such joint
annuitant, calculated based on the age of the member and the age of each joint
annuitant for each separate percentage of the benefit.
(5) A member shall select an option for
receiving benefits and may change such option selection until the time a
benefit payment has been cashed or deposited. Thereafter, the member shall not
be permitted to change the option he or she selected and, upon the member's
death, benefits shall be paid in accordance with such option
selected.
(6) The following shall
apply to the option selection of any member who dies prior to the time a
benefit payment has been cashed or deposited:
(a) If the member should die prior to his or
her effective date of retirement, as described in Rule
60S-4.0035, F.A.C., his or her
employment will be considered to have been terminated by death (even if the
death occurred after his or her last day of employment), his or her option
selection shall be null and void, and benefits shall be payable in accordance
with the provisions of Rule
60S-4.008, F.A.C. This paragraph
shall not be construed to allow the benefit of a member who dies after he or
she has terminated employment to be calculated according to the provisions of
paragraph 60S-4.005(2)(c),
F.A.C.
(b) If the member should die
after his or her effective date of retirement, his or her employment will be
considered to have been terminated by retirement, and benefits shall be payable
in accordance with the retirement option selected as provided by this section,
except as follows:
1. When the designated
beneficiary qualifies as a joint annuitant benefits shall be payable in
accordance with the provisions of Rule
60S-4.008, F.A.C.; or,
2. When the spouse is the designated
beneficiary and the member had selected option 3, the spouse may elect to
receive such option 3 benefit as of the member's effective date of retirement
in lieu of the benefits provided in Rule
60S-4.008,
F.A.C.
(c) If the member
should die after his or her effective date of retirement and without having
selected an option, benefits shall be payable as follows:
1. If the member's designated beneficiary
does not qualify as a joint annuitant, benefits shall be paid under option 1,
with any benefits due from his or her effective date of retirement through the
month of death payable to the member's estate.
2. If the member's designated beneficiary
qualifies as a joint annuitant, his or her previously established effective
date of retirement shall be null and void and benefits shall be paid in
accordance with the provisions of Rule
60S-4.008,
F.A.C.
(7) If
the member retires due to disability and dies after his or her effective date
of retirement and prior to cashing or depositing a retirement benefit payment,
benefits will be payable in accordance with the provisions of subsection
60S-4.010(6),
F.A.C., except as follows:
(a) If the member
had satisfied the service requirements for vesting and his or her designated
beneficiary qualifies as a joint annuitant, the beneficiary may select a refund
of member contributions, an Option 3 benefit under disability retirement as of
the member's effective date of retirement, or an Option 3 benefit under service
retirement as provided in subsection
60S-4.008(3),
F.A.C., with the member's previously established effective date of retirement
deemed null and void.
(b) If the
member had not satisfied the service requirements for vesting, was approved for
in-line-of-duty disability and his or her designated beneficiary was qualified
as a joint annuitant, the beneficiary may select a refund of member
contributions or an Option 3 benefit under disability retirement as of the
member's effective date of retirement.
(8) A member who selects Option 3 or 4 shall
designate a joint annuitant to receive the benefits which continue to be
payable upon his or her death. If, after benefits have commenced under Option 3
or 4, the retired member desires to change his or her designation of a joint
annuitant, he or she may do so as follows:
(a)
From October 1, 1979 through June 30, 1984, a retired member may change his or
her designated joint annuitant only if his or her first designated joint
annuitant is alive and can show evidence of good health as shall be
substantiated by a statement from a Florida licensed physician. A member
desiring to change his or her designation shall file such change with the
Division on Form JA-1, effective 07/16,
http://www.flrules.org/Gateway/reference.asp?No=Ref-07346,
"Florida Retirement System Pension Plan Change of Joint Annuitant (Retired
members only)" herein adopted by reference and which may be obtained by calling
the Division Toll Free at (844)377-1888, if calling from outside the
Tallahassee calling area or locally at (850)907-6500. Individuals with a
hearing or speech impairment may call the Division via T.D.D. at the Florida
Relay System by dialing 711 or (800)955-8771. Upon receipt of the completed
form, the Division shall adjust the member's monthly benefit in accordance with
subparagraph 60S-4.010(8)(c)
1., F.A.C. The consent of a retired member's first designated joint annuitant
to any such change shall not be required. The effective date of the change will
be the first day of the month following receipt of the JA-1 form by the
Division.
(b) Effective July 1,
1984, a retired member may change his or her designated joint annuitant twice
during his or her retired life. A retired member desiring to change his or her
designation shall file with the Division a Form JA-1, "Florida Retirement
System Pension Plan Change of Joint Annuitant (Retired members only)" and
notify, in writing, his or her former joint annuitant, if living, of such
change.
Upon receipt of the completed form, the Division shall adjust
the retired member's monthly benefit in accordance with paragraph
60S-4.010(8)(c),
F.A.C. The consent of a retired member's first designated joint annuitant to
any such change shall not be required. The effective date of the change will be
the first day of the month following receipt of the JA-1 form by the Division,
provided the member and the new joint annuitant are alive on that date. If the
member and the new joint annuitant do not live until the effective date of the
change, the change of joint annuitant will not take effect.
(c) The monthly benefit of a member who
elects to change his or her designated joint annuitant shall be adjusted by the
application of actuarial tables and calculations developed to ensure that the
benefit paid is the actuarial equivalent of the present value of the member's
monthly benefit at the time of the joint annuitant change. The computation of
such adjustment shall depend upon the status of the member's current joint
annuitant at the time of the joint annuitant change, and shall be calculated as
follows:
1. If the member's current joint
annuitant is still living:
Adjusted monthly benefit = (A/B) x C
Where:
A is the member's current monthly benefit.
B is the appropriate Option 3 or 4 factor from Chapter 60S-7,
F.A.C., which was used to calculate the member's current monthly
benefit.
C is the appropriate Option 3 or 4 factor from Rule
60S-7.009 or
60S-7.010, F.A.C., based upon
the current ages of the member and the new joint annuitant.
2. If the member's current joint annuitant is
not living:
Adjusted monthly benefit = A x B
Where:
A is the member's current monthly benefit.
B is the appropriate Option 3 or 4 factor from Rule
60S-7.009 or
60S-7.010, F.A.C., based upon
the current ages of the member and the new joint
annuitant.
(d) In
the event of the dissolution of marriage of a retired member and his or her
designated joint annuitant, such member may, on or after June 17, 1998, elect
to nullify the joint annuitant designation of the former spouse, unless there
is an existing qualified domestic relations order preventing such action. The
member must file with the Division a notarized statement of nullification on
Form JA-NUL (Rev. 07/99),
http://www.flrules.org/Gateway/reference.asp?No=Ref-00365,
Florida Retirement System Pension Plan Joint Annuitant Nullification Form,
herein adopted by reference and a copy of the divorce decree. Form JA-NUL may
be obtained by calling the Division Toll Free at (844)377-1888, if calling from
outside the Tallahassee calling area or locally at (850)907-6500. Individuals
with a hearing or speech impairment may call the Division via T.D.D. at the
Florida Relay System by dialing 711 or (800)955-8771. The nullification shall
be effective on the first day of the next month following receipt by the
Division of the properly completed form and a copy of the divorce decree.
Benefits due the member shall be adjusted, if appropriate, and shall be paid as
if the former spouse predeceased the member. A member who makes such an
election may not reverse the nullification. Such nullification shall not count
as a change of joint annuitant unless the member chooses to designate a new
joint annuitant in accordance with paragraph (b) and subparagraph (c)2., in
which case the member's monthly benefit will be adjusted as though the member's
nullified joint annuitant is not living.
(9) A married member who selects option 1 as
provided in paragraph
60S-4.010(1)(a),
F.A.C., or option 2 as provided in paragraph
60S-4.010(1)(b),
F.A.C., shall notify his or her spouse of such option selection, and the spouse
shall acknowledge such option selection as follows:
(a) A member who selects option 1 or 2 shall
be required to indicate if he or she is married or not married on Form SA-1,
Florida Retirement System Spousal Acknowledgment Form, as adopted in Rule
60S-4.010, F.A.C. If the member
is married, his or her spouse shall complete the spousal acknowledgment section
of such form acknowledging that the member has selected option 1 or
2.
(b) If the Division does not
receive a completed spousal acknowledgment of option selection, the Division
will advise the member in writing that his or her benefits will not commence
until:
1. Such completed spousal
acknowledgment of option selection is received by the Division; or
2. It is established in writing to the
satisfaction of the Division that the spouse cannot be located; or
3. In the case of refusal by the spouse to
sign the spousal acknowledgment of option selection, the Division shall notify
the spouse in writing of the option selection. Such notification shall
constitute acknowledgment by the spouse of such
selection.
(10)
Prior to the receipt of his or her first monthly benefit payment, a State and
County Officers' and Employees' Retirement System member who is eligible for a
retirement benefit computed in accordance with Rule
60S-4.004,
60S-4.005 or
60S-4.006, F.A.C., shall select
one of the four optional forms of payment of such benefits, as provided in
Section 122.08, F.S., on Form FST-11o
(Rev 07/06),
http://www.flrules.org/Gateway/reference.asp?No=Ref-00361,
Teachers' Retirement System and State and County Officers' and Employees'
Retirement System Option Selection for Members, herein adopted by reference,
which may be obtained from the Forms page of the Division's website,
www.frs.MyFlorida.com, or by calling
the Division Toll Free at (844)377-1888, if calling from outside the
Tallahassee calling area or locally at (850)907-6500. Individuals with a
hearing or speech impairment may call the Division via T.D.D. at the Florida
Relay System by dialing 711 or (800)955-8771.
(11) Prior to the receipt of his or her first
monthly benefit payment, a Teachers' Retirement System member who is eligible
for a retirement benefit computed in accordance with Rule
60S-4.004,
60S-4.005, or
60S-4.006, F.A.C., shall select
one of the four optional forms of payment of such benefits, as provided in
Section 238.08, F.S., on Form FST-11o,
Option Selection for TRS and SCOERS Members, as adopted in subsection
(10).
Rulemaking Authority
121.031,
121.052(14) FS.
Law Implemented 121.021,
121.031(2),
121.052,
121.055,
121.091(6),
(11)
FS.
New 1-1-72, Amended 12-31-74, 7-1-79, 5-18-80, 8-26-81,
1-18-83, 11-6-84, 4-17-85, Formerly 22B-4.10, Amended 3-11-87, 9-5-90, 5-15-91,
9-8-92, Formerly 22B-4.010, Amended 3-12-96, 12-12-96, 2-24-99, 8-13-03,
4-5-12, 1-20-16, 11-6-16.
