Monthly Archives: February 2019

Retiree Annual Statements Coming

If you are a NYSLRS retiree and received benefits in 2018, your Retiree Annual Statement (RAS) should be coming in the mail soon, if you haven’t received it already.

The Retiree Annual Statement provides important information about your retirement account. You should keep your copy in a safe place.

couple reviewing their Retiree Annual Statement

What’s Inside

Information in your annual statement includes:

  • Your retirement number. To protect your privacy, use this number instead of your Social Security number when conducting business with NYSLRS.
  • Your monthly benefit before taxes and deductions.
  • Your total net benefit for the year. (Your benefit after taxes, deductions and credits.)
  • The total amount of any cost-of-living adjustment (COLA).
  • Your total Medicare credits.
  • Federal tax withholding and other deductions taken from your pension, such as union dues.
  • Health insurance premiums. (NYSLRS doesn’t administer health insurance benefits, but we deduct a retiree’s premiums at the request of a former employer.)

Not a Tax Document

While your Retiree Annual Statement includes information about your benefit payments and tax withholding, it is not a tax document and should not be used for filing your federal income tax return. NYSLRS mailed 1099-R tax forms to retirees and beneficiaries in January.

If you need a reprint of your 2018 1099-R to file your taxes, you can order one online. Reprints will be mailed to the address we have on file for you, so if you’ve moved recently, you should check to make sure your contact information is up-to-date before requesting a reprint. The easiest way to check and update your address is with Retirement Online, or you can contact us for help.

Staying Informed

News & Notes, our semiannual newsletter, will be included with your RAS. The newsletter will help you keep up with the latest news about NYSLRS and other topics of interest.

Your RAS provides a snapshot of your NYSLRS account as of December 31, 2018, but you can get up-to-date information by signing in to Retirement Online. Retirement Online is also a convenient and safe way to conduct business with NYSLRS. If you don’t already have an account, you can learn more or register today.

And when there is a change in your net benefit amount, NYSLRS will notify you by mail or email. Let us know how you would like to receive information from NYSLRS by choosing your correspondence preference via Retirement Online.

Countdown to Retirement — Four to Six Months Out

Once you decide to retire and begin preparing, the final months leading up to your retirement date go by quickly. Previously, we discussed the steps to take when you’re eight months away from retirement. As we continue our Countdown to Retirement, let’s take a look at what you should be doing four to six months out.

Six Months: Post-Retirement Budget

At 18 months out, we suggested requesting a NYSLRS retirement estimate. You should have that estimate by now and, with it, a much better idea of what your retirement benefit could be. Now, you can prepare a post-retirement budget and make decisions about your goals and how you want to spend your money in retirement.

We offer worksheets to help you prepare a post-retirement budget on our website. For a more realistic budget, keep track of your current spending for a month or two to get an idea of your expenses. Be sure to factor in periodic expenses, such as car insurance and taxes.

Countdown to Retirement: 4 to 6 months out

Four Months: Proof of Your Birth Date

We will need proof of your date of birth before we can pay you any benefits. You won’t need to send it in until you submit your retirement application, but now is a good time to make sure you have what you need. We’ll accept any of these documents as proof:

  • Birth certificate;
  • Baptismal certificate;
  • Certificate of Release or Discharge from Active Duty (DD-214);
  • New York State driver’s license issued on or after January 1, 2005;
  • Passport; or
  • Naturalization papers.

In most cases, a photocopy is acceptable. If you do send us the original, we will return it to you.

It’s a good idea to look for proof of your birth date sooner rather than later, in case you need to arrange to get a replacement. Also, if you’re thinking about choosing a pension payment option that provides a lifetime benefit to a beneficiary, we will need proof of your beneficiary’s birth date too.

Counting Down

Your planned retirement date is just a few months away. As you approach three months away from retirement, check back for the final post of our Countdown to Retirement series on filing your Application for Service Retirement (RS6037) and other forms. If you have any questions as you prepare for retirement, please contact us.

Becoming Vested

What does it mean to be a vested NYSLRS member?

You become vested after you earn sufficient service credit to be eligible for a pension, even if you leave public employment before retirement. Becoming vested is a crucial milestone in your NYSLRS membership.

When Will I Be Vested?

The amount of service credit you need to be vested depends on your tier. If you’re in Tier 5 or 6, you need ten years of service to be vested. If you’re in another tier (Tier 1, 2, 3 or 4), you’re vested once you earn five years of service credit.

vesting requirements

If you work part-time, it will take you longer to become vested. For example, if you work half-time, you earn six months of credit toward vesting for each year on the job. (For more information, read our recent blog about part-time service credit.)

If you purchase credit for previous public service or military service, that credit can help you become vested.

What You Need to Do

Vesting is automatic. You do not need to file any paperwork to become vested.

If you are vested, you will need to file a retirement application at least 15, but no more than 90, days before you can receive a pension. Most NYSLRS members are eligible to collect a pension as early as age 55, but benefits may be permanently reduced if you retire before you reach your plan’s full retirement age.

Visit our website to learn more about vesting.