Q. I know I have a defined contribution, but do I also have a defined benefit pension?
A. The defined benefit plan applies only to legislators who were members of the General Assembly on or before April 30, 1989, and chose to participate.
Q. How many years of service must I have in order to be eligible for a pension benefit?
A. You must have 10 years of service in order to apply for a pension benefit.
Q. I do not have enough service to qualify for a defined benefit pension. Can I use my defined contribution service total to vest in a pension benefit.
A. No, you must have 10 years of defined benefit pension service in order to qualify for a pension benefit.
Q. I am part of the Defined Benefit Plan and the Defined Contribution Plan. How do I apply for my pension and a distribution of my defined contributions?
A. For an application to begin receiving your defined benefit pension, call (844) GO-INPRS Mon-Fri from 8 a.m. to 8 p.m. EST and request one be sent to you. You will need to log in to your account in order to apply for a distribution of your defined contribution.
Q. Where do I need to go in order to apply for a distribution of my defined contributions?
A. Log in to your account here. Click ‘My Account’ tab and then select ‘Actions’.
Q. What day can I retire?
A. Your retirement date is the first day of the month following your last day of work. For example, if your last day worked is Nov. 6, 2012, your effective retirement date is Dec. 1.
Q. What is considered my last day in pay (LDIP)?
A. Nov. 6, 2012, is the LDIP for retiring legislators.
Q. When will I get my first pension benefit payment?
A. Your benefit will be processed within 60 days of the receipt of your application.
Q. I don’t know my passcode. How can I get into my account to initiate a distribution?
A. Call the Member Service Center at (844) GO-INPRS. Press 1 for member. You will be prompted to enter your social security number and passcode. If you do not know your passcode, you will be prompted to enter alternative information and will be transferred to a customer service representative.
Q. Can I fill out the distribution forms now?
A. No. You must apply for a distribution of your defined contribution online or by calling the Member Service Center at (844) GO-INPRS. A last day in pay (LDIP) must be on file with INPRS before you can apply for a distribution.
Q. What are my options for taking a distribution of my defined contributions
A. You have five (5) options for distribution:
- Purchase an annuity
- Monthly installments of total balance
- Distribution of taxable and non-taxable portions separately
- Partial distribution and annuity
- Monthly installments of taxable and non-taxable portions separately
There are different tax consequences depending on option you choose and the age you are at distribution. For more information, review the LRS Member Handbook and consult your professional tax advisor before you elect a payment option.
Q. What are the tax consequences of my distribution?
A. The payment option you choose and your age at distribution will have specific tax consequences. For more information, review the LRS Member Handbook and consult your professional tax advisor before you elect a payment option.