WSR 03-24-051

PERMANENT RULES

DEPARTMENT OF

RETIREMENT SYSTEMS

[ Filed November 26, 2003, 4:32 p.m. , effective January 1, 2004 ]

Date of Adoption: November 26, 2003.

Purpose: New WAC 415-02-345 TRS 1 Option 1 benefit factors (new), at the time of retirement, a TRS Plan 1 member may choose to receive an Option 1, standard allowance, which is a slightly reduced lifetime monthly benefit. This option allows the final unpaid monthly benefit and any remaining balance of contributions to be paid in a lump sum to the retiree's estate or named beneficiary at the time of the retiree's death. The reduction to the monthly benefit is based on an Option 1 factor and is applied against the annuity portion of the monthly benefit. The factor that is used is determined by the age of the member at the time of retirement.

Statutory Authority for Adoption: RCW 41.50.050(5).

Adopted under notice filed as WSR 03-21-098 on October 17, 2003.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.

Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.

Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 1, Amended 0, Repealed 0.

Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 0, Repealed 0.
Effective Date of Rule: January 1, 2004.

November 26, 2003

John Charles

Director

OTS-6721.2


NEW SECTION
WAC 415-02-345   TRS Plan 1 Option 1 benefit factors.   (1) What is a TRS Plan 1 Option 1 benefit factor? At the time of retirement, a TRS Plan 1 member may choose to receive an Option 1, standard allowance, which is a slightly reduced lifetime monthly benefit. This option allows the final unpaid monthly benefit and any remaining balance of contributions to be paid in a lump sum to the retiree's estate or named beneficiary at the time of the retiree's death. The reduction to the monthly benefit is based on an Option 1 factor and is applied against the annuity portion of the monthly benefit. The factor that is used is determined by the age of the member at the time of retirement. For more information about the Option 1, standard allowance, see RCW 41.32.530 (1)(a).

(2) Option 1 benefit factor table.


Age Factor Reduction Age Factor Reduction
20 99.8876% 0.1% 50 99.1060% 0.9%
21 99.8851% 0.1% 51 99.0237% 1.0%
22 99.8825% 0.1% 52 98.9288% 1.1%
23 99.8794% 0.1% 53 98.8184% 1.2%
24 99.8757% 0.1% 54 98.6970% 1.3%
25 99.8710% 0.1% 55 98.5566% 1.4%
26 99.8650% 0.1% 56 98.3876% 1.6%
27 99.8575% 0.1% 57 98.1977% 1.8%
28 99.8480% 0.2% 58 97.9853% 2.0%
29 99.8362% 0.2% 59 97.7388% 2.3%
30 99.8220% 0.2% 60 97.4759% 2.5%
31 99.8053% 0.2% 61 97.1849% 2.8%
32 99.7858% 0.2% 62 96.8657% 3.1%
33 99.7638% 0.2% 63 96.5199% 3.5%
34 99.7413% 0.3% 64 96.1340% 3.9%
35 99.7184% 0.3% 65 95.7405% 4.3%
36 99.6951% 0.3% 66 95.3342% 4.7%
37 99.6712% 0.3% 67 94.8664% 5.1%
38 99.6461% 0.4% 68 94.4041% 5.6%
39 99.6195% 0.4% 69 93.9285% 6.1%
40 99.5908% 0.4% 70 93.3893% 6.6%
41 99.5597% 0.4% 71 92.8393% 7.2%
42 99.5255% 0.5% 72 92.2534% 7.7%
43 99.4881% 0.5% 73 91.5922% 8.4%
44 99.4474% 0.6% 74 90.9422% 9.1%
45 99.4018% 0.6% 75 90.2102% 9.8%
46 99.3542% 0.6% 76 89.4917% 10.5%
47 99.2994% 0.7% 77 88.7582% 11.2%
48 99.2421% 0.8% 78 85.9377% 14.1%
49 99.1781% 0.8% 79 85.8097% 14.2%
80 86.1255% 13.9%

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