Reporting

If a lump sum payment was earned over a period of time – such as a retroactive salary increase – you may report it with status code M. Although you may report lump sum payments with status code M, we prefer that you use status code A.

Note: Keep a record of the lump sum payment and the months the payment was earned in. DRS may request this record from you if the lump sum payment falls within the period of time used to determine a member's retirement benefit (the AFC/FAS period). Your documentation will help identify which calendar months the compensation was earned in.

For more information on reporting lump sums and status code M, refer to Chapter 7 of the Employer Handbook - List of Status Codes for Current Reporting.

School districts should refer to Chapter 5 of the Employer Handbook – Using Status Code A or Status Code M for more information on status code M.