Tag Archives: Power of Attorney

Power of Attorney

We continue to receive reports of NYSLRS members who have become ill, or seriously ill, as a result of COVID-19. It is vitally important that these members, and their loved ones, be aware of the provisions contained in a NYSLRS Power of Attorney.

NYSLRS provides a Special Durable Power of Attorney form that is specific to retirement transactions and meets all New York State legal requirements. It can be filed with NYSLRS at any time so the designated agent can act immediately in case of emergency, hospitalization or unexpected illness. There’s no need to wait until something happens to file a NYSLRS POA form.

father and son discuss power of attorney

A power of attorney (POA) allows a person to designate someone else to act on their behalf. The designated person, referred to as an “agent,” could be a spouse, another family member or a trusted friend.

A person can designate more than one person as an agent, and can decide if those agents act together or separately. In addition to an agent or agents, a person may designate “successor agents” to act on an individual’s behalf if the person designated as the “primary” agent is unable or unwilling to serve. Successor agents can be named using the “Modifications” section (g) of the POA.

Why is a NYSLRS POA Important?

Normally, NYSLRS won’t release benefit information to anyone without your permission — even to a spouse. With a POA on file, we would be able to discuss your benefits and conduct business with the agent you appointed. This could be especially important now as we deal with the coronavirus pandemic. If you suddenly become ill and are unable to contact us personally, your agent would be able to take care of your retirement needs for you.

What Can Agents Do?

Agents can file applications and forms, such as service or disability retirement applications. They can get account-specific benefit information, request copies of retirement documents, update addresses or phone numbers or take out loans. For retirees, agents can change the amount withheld from pensions for taxes.

It’s important to note that the NYSLRS POA form only covers Retirement System transactions. It does not authorize an agent to make health care decisions or changes to a Deferred Compensation plan.

Special Authority

If you use the NYSLRS POA form, and your agent(s) or successor agent(s) is your spouse, domestic partner, parent or child, they have “self-gifting authority.” That means they can direct deposit money into a joint bank account you have with them, designate themselves as a beneficiary to your pension benefits, and/or choose a retirement payment option that provides for a beneficiary after your death.

If your agent(s) or successor agent(s) is not your spouse, domestic partner, parent or child, they do not automatically have “self-gifting” authority, which means they cannot name themselves as a beneficiary or direct deposit money into a joint bank account with their name on it. If you wish to give an agent(s) or successor agent(s) ”self-gifting” authority, you should specifically indicate so in section (g) “Modifications” of the POA. In that section you should identify your agent(s) or successor agent(s) by name and state the specific authority granted to them.

Please note only biological or legally adopted children are considered your “child” for NYSLRS POA purposes. All other children must be granted specific authority in section (g) “Modifications.”

How to Submit a NYSLRS POA Form

If your decision to submit a NYSLRS POA is related to the COVID-19 emergency, please note that on the form in section (g) “Modifications.” If you file a retirement application, consider submitting a NYSLRS POA with your application.

You can scan and email a copy of your POA to NYSLRS using the secure email form on our website.

You can also mail your POA (original or photocopy). You may wish to mail it certified mail, return-receipt requested, so that you know when NYSLRS receives it. The address is:

NYSLRS
110 State Street
Albany, NY 12244-0001.

Find Out More

A power of attorney is a powerful document. Once you appoint someone, that person may act on your behalf with or without your consent. We strongly urge you to consult an attorney before you execute this document.

Please read the Power of Attorney page on our website for additional information.

Prepare Your Affairs and Survivors

Much of the thought we put into financial planning and preparing for retirement is self-focused: How much do I need to retire? Am I saving enough? However, when we die, our survivors will have some important decisions to make about our finances. Putting our affairs in order now can make a difficult time for them a little less uncertain.
prepare your affairs and survivors

Organize Your Documents

The first step to putting your affairs in order is collecting all the assorted records, certificates and other paper work in a secure place. You’ll also want to write down names and phone numbers for any friends or business associates who could be helpful (like your attorney, accountant, financial planner, insurance agent or the executor of your will).

Our form, Where My Assets Are (VO1848), can help your survivors find these important documents. Fill it out, then review it and update it regularly.

Talk to Your Loved Ones

You may not feel comfortable discussing death with your friends and loved ones. However, all the preparation in the world won’t do you any good if you keep your plans a secret.

  • Once you’ve collected your files and put together a list, let your potential survivors know where it is. It’s important that they know where your assets and documents are.
  • Review your finances with your loved ones, including your children.
  • Make sure your beneficiaries understand that it can take up to 13 weeks between notification of your death and payment of any death benefit or the beginning of any continuing benefit (if you selected an option that provides a continuing benefit). Death benefits cannot be paid until we have a certified death certificate. Make sure we have correct addresses for your beneficiaries.
  • Discuss your funeral and burial preferences, and let your family know about any arrangements you have already made.
  • Work with an attorney to prepare a will or trust.
  • Consider advance directives, such as a durable power of attorney, living will, health care proxy or do-not-resuscitate order. If you have minor children, be sure to name a guardian for them in the event of your death. If you have a child with a disability, it’s a good idea to consult a professional who can help you navigate complex Medicaid and Medicare rules. You may also want to consider the NY ABLE program.

Finally, let your potential survivors know about our publication, Getting Your Affairs in Order and A Guide for Survivors. The second half is full of guidance on what to do and who to contact if a loved one dies.