When you apply for a service or disability retirement, you must select a benefit option. If you are married, the law requires that you provide the written consent of your spouse to your choice. Consent must be in writing and must be notarized. If consent is not provided, the law requires that an Option 3 benefit be paid with your spouse as beneficiary. Retirement applications contain the spousal consent authorization.
This option provides the highest possible monthly benefit, which is payable for your lifetime. If you die before you receive the value of your accumulated contributions, any remaining balance of your contributions will be retained in the trust fund. Your beneficiary receives only the unpaid final monthly benefit due on the date of your death. This option is slightly different for disability retirees. See “What if I become disabled?”.
Standard option
This option provides you a reduced benefit for your lifetime. When you die, the final unpaid monthly benefit due at the time of your death and any remaining balance from your annuity fund account are paid in a lump sum to your beneficiary. This option is not available to disability retirees, or those who withdraw all their contributions and interest.
Joint and 100 percent survivorship
This option provides you a reduced benefit. If your designated beneficiary survives you, the benefit amount remains the same and your beneficiary continues to receive it for his or her lifetime.
Joint and 50 percent survivorship
This option provides you with a reduced benefit. If your designated beneficiary survives you, 50 percent of your benefit amount is paid to your beneficiary for his or her lifetime.
Joint and 66.67 percent survivorship
Joint and 66.67 percent survivorship This option provides you with a reduced benefit. If your designated beneficiary survives you, 66.67 percent of your benefit amount is paid to your beneficiary for his or her lifetime.
Once you retire you may change your benefit option and beneficiary only by returning to active membership, except in the following circumstances:
If your monthly benefit is less than $50, you may choose to take a lump sum payment. The lump sum is determined by comparing the projected value of your lifetime benefit to the total of your contributions, plus interest. The greater amount will be paid to you. The recipient of such a payment is considered retired from TRS.