| (a) The standard annuity benefit is payable throughout life
for service retirees or for the duration of the disability for disability
retirees with at least 10 years of service, with payments ceasing the month
following the death of the retired member. If the retired member did not receive
annuity payments equal to his accumulated contributions, there shall be paid
to his beneficiary an amount equal to the retired member's accumulated contributions
less the total amount of retirement benefits paid to the retired member.
(b) An option which permits the retiree to reduce his own annuity
with monthly benefits continuing to a beneficiary after his death may be selected
in lieu of the standard annuity. The options are:
(1) a reduced allowance payable throughout life with the provision
that upon the death of the retired member, the reduced allowance shall be
continued throughout the life of, and paid to, the person designated as beneficiary
of the optional annuity. Upon the death of a retired member's beneficiary
who was receiving an Option 1 annuity, if the total payment of benefits to
the retired member and his beneficiary under this option was less than the
accumulated contributions of the retired member, then the estate or heirs
of the beneficiary shall be refunded an amount equal to the retired member's
accumulated contributions less the total amount of Option 1 benefits which
has been paid to both annuitants;
(2) a reduced allowance payment throughout life with the provision
that, upon the death of the retired member, one-half of the reduced allowance
shall be continued throughout the life of, and paid to, the person designated
as beneficiary of the optional annuity. Upon the death of a retired member's
beneficiary who was receiving an Option 2 annuity, if the total payment of
benefits to the retired member and his beneficiary under this option was less
than the accumulated contributions of the retired member, then the estate
or heirs of the beneficiary shall be refunded an amount equal to the retired
member's accumulated contributions less the total amount of Option 2 benefits
that had been paid to both annuitants;
(3) a reduced allowance payable for guaranteed period of five
years and as long thereafter as the retired member shall live;
(4) a reduced allowance payable for guaranteed period of 10
years and as long thereafter as the retired member shall live;
(5) a reduced allowance payable throughout life with the provision
that upon the death of the retired member, three-fourths of the reduced allowance
shall be continued throughout the life of, and paid to, the person designated
as beneficiary of the optional annuity. Upon the death of the retired member's
beneficiary who was receiving an Option 5 annuity, if the total payment of
benefits to the retired member and his beneficiary under this option was less
than the accumulated contributions of the retired member, then the estate
or heirs of the beneficiary shall be refunded an amount equal to the retired
member's accumulated contributions less the total amount of Option 5 benefits
that had been paid to both annuitants.
(c) For Option 1, Option 2, and Option 5, if the beneficiary
predeceases the retiree, the retiree's annuity will be increased (pop-up)
to the standard service annuity that the retiree would otherwise be entitled
to receive if the retiree had not selected Option 1 or 2 or 5 but had selected
the standard annuity. The standard annuity shall be adjusted by the early
age reduction factor in effect at the time of retirement if the member retired
under the early age service retirement provisions. The standard annuity shall
also be adjusted for any post-retirement increases in retirement benefits
authorized by law for the standard annuity after the date of retirement.
(1) The increased annuity will begin with the first monthly
payment that should have been made to the retiree following the month in which
the beneficiary's death occurs.
(2) The retiree shall promptly notify the TRS of the death
of the beneficiary and submit a certified copy of the beneficiary's death
certificate or other adequate proof of death to TRS. In the event that the
retiree fails to notify TRS promptly of the death of the beneficiary, TRS
shall continue to pay the reduced annuity to the retiree until properly notified
of the beneficiary's death. Any payment for past months in which the retiree
could have been receiving the standard annuity shall be made in a lump sum
with the first monthly payment after the month in which notice is received.
No interest shall be paid with any lump sum payment.
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| Source Note: The provisions of this §29.8 adopted to be effective January 1, 1976; amended to be effective September 29, 1989, 14 TexReg 4784; amended to be effective September 1, 1992, 17 TexReg 5120; amended to be effective June 6, 1999, 24 TexReg 4247; amended to be effective January 9, 2002, 27 TexReg 272 |
