Tag Archives: Retirees

Retroactive payments

Retroactive Payments and Your NYSLRS Pension

Retroactive Payments

Retroactive payments are lump sum payments you receive from your employer. These payments can be from new union contracts, arbitration awards or legal settlements that took place while you were on your employer’s payroll.

If you receive a retroactive payment from your employer, it could affect your pension benefit calculation.

How Retroactive Payments Can Affect Your Benefit

Your final average earnings (FAE) are a major factor in your pension benefit calculation. It’s the average of your three (five for Tier 6 members) highest consecutive years of earnings. For most people, their highest years of earnings come at the end of their careers.

Retroactive payments are applied to the pay periods when they were earned, not when they were paid. So, retroactive payments can increase your FAE, and therefore your pension benefit, as long as the time period in which you earned that money is part of the time period your FAE is based on.

Your employer should let us know if you receive a retroactive payment before or after you retire. If you are a State employee who receives a retroactive payment after you retire, we will recalculate your pension automatically; you do not need to notify us. You will receive correspondence from us explaining any change in your pension benefit.

If you receive a retroactive payment from a non-State employer after your pension calculation is finalized, send a letter to our Recalculation Unit in the Benefit Calculations & Disbursement Services Bureau. Please include a copy of your check stub and any correspondence you received from your employer related to the payment. Mail it to:

NYSLRS
Attn: BCDS – Recalculation Unit
110 State Street
Albany, NY 12244-0001.

You can also email and upload this information to the Retirement System through our secure contact form.

For more information about FAE, read our Final Average Earnings blog post. You can also find out specific information about your FAE by reading your retirement plan booklet, available on our Publications page.

NYSLRS retirees

Where in New York are NYSLRS Retirees?

NYSLRS retirees tend to stay in New York, where their pensions are exempt from State and local income taxes. In fact, 79 percent of NYSLRS 487,407 retirees and beneficiaries lived in the State as of March 31, 2020. And half of them lived in just ten of New York’s 62 counties.

So where in New York do these retirees call home? Well, there are a lot of NYSLRS retirees and beneficiaries on Long Island. Suffolk and Nassau counties are home to more than 61,000 recipients of NYSLRS retirement benefits, with annual pension payments exceeding $2 billion. But that shouldn’t be surprising. Suffolk and Nassau counties are the largest and third largest counties in the State outside of New York City by population. (The City, which has its own retirement systems for municipal employees, police and firefighters, had 23,700 NYSLRS retirees and beneficiaries.)

NYSLRS retirees

Erie County, which includes Buffalo, ranks number two among counties in the number of NYSLRS retirees, with more than 32,000. Albany County, home to the State capital, ranked fourth with close to 20,000. Monroe, Westchester, Onondaga, Saratoga, Oneida and Dutchess counties round out the top ten.

All told, NYSLRS retirees received $5.9 billion in retirement benefits in the top ten counties, and $10.8 billion statewide.

Hamilton County had the fewest NYSLRS benefit recipients. But in this sparsely populated county in the heart of the Adirondacks, those 499 retirees represent nearly 11 percent of the county population. During fiscal year 2019-2020, $10.8 million in NYSLRS retirement benefits was paid to Hamilton County residents.

Outside of New York, Florida remained the top choice for NYSLRS retirees, with more than 38,000 benefit recipients. North Carolina (9,413), New Jersey (7,893) and South Carolina (6,457) were also popular. There were 639 NYSLRS recipients living outside the United States as of March 31, 2020.

A Snapshot of NYSLRS Retirees

NYSLRS’ Comprehensive Annual Financial Report (CAFR), published each fall, has a wealth of information about the Retirement System. Much of it is technical, and it crunches a lot of numbers, but it’s also a good place to learn about NYSLRS retirees.

Here are a few tidbits from the latest edition, which includes data from the State fiscal year that ended March 31, 2020.

NYSLRS Retirees by the Numbers

NYSLRS was providing pension benefits to 487,407 retirees and beneficiaries as of the end of the fiscal year.

Nearly 79 percent of NYSLRS retirees and beneficiaries — some 384,286 — live right here in New York State, and they can be found in every county. Long Island is home to more than 60,000 retirees and beneficiaries, while more than 50,000 live in the Capital District.

Our retirees can also be found in every state. Florida, not surprisingly, is the number two choice — more than 38,000 call the Sunshine State home. North Dakota has the least, with only 21 retirees and beneficiaries. Another 639 live outside the United States.

Where NYSLRS Retirees Reside

NYSLRS Pensions at Work

In the last fiscal year, NYSLRS paid out $13.4 billion in benefits to retirees and beneficiaries, including $10.8 billion in New York State.

These retirees live in our communities, and their pension money flows right back into our neighborhoods. Retirees in New York pay local property and sales taxes, and their spending supports local businesses, stimulates the economy and generates thousands of jobs. Learn more.

An Award-Winning Publication

NYSLRS has received a Certificate of Achievement for Excellence in Financial Reporting for the CAFR for the last 16 years. It’s a national award recognizing excellence in the preparation of state and local government financial reports.

To find out more about retirees, members and NYSLRS’ investments, check out the latest CAFR on our website.

Popular Blog Posts from 2020

Here are some of our most popular blog posts from the past year. Not surprisingly, during 2020 members and retirees were interested in information about doing business with NYSLRS online. Fortunately, new Retirement Online features made that a lot easier during a challenging time.

most popular blog posts of 2020
  1. Retirement Online Makes Retirement Fast, Easy
    You can now file your service retirement application in Retirement Online. This convenient new feature can reduce paperwork and save you a trip to the post office.

  2. What to Know About ERS Tier 6
    Employees’ Retirement System (ERS) Tier 6 includes members who have joined NYSLRS since April 1, 2012. It now accounts for 45 percent of all ERS membership. This is a basic overview of retirement benefits for ERS Tier 6 members.

  3. Do We Have Your Correct Contact Information?
    Keeping your mailing address and other contact information up to date ensures that you receive important information from NYSLRS about your benefits. Once again, Retirement Online makes the task easy to accomplish.

  4. Doing Business With NYSLRS
    Retirement Online is a secure, easy way to check your benefit information and conduct transactions in real time. Here’s a rundown of the many features it offers.

  5. Estimate Your Pension in Retirement Online
    How much will your pension be? Most NYSLRS members can use the pension calculator in Retirement Online to get a benefit estimate based on information we have on file for them. You can enter different retirement dates to compare potential benefits.

NYSLRS Retirement Online Routine System Maintenance

Retirement Online will be unavailable for a few days while we complete routine year-end maintenance. Retirement Online will be offline from 3:00 pm on Tuesday, December 29 until 7:00 am on Friday, January 1.

Using the NYSLRS Automated Phone System During the Maintenance Period

Another way you can get information about your NYSLRS benefits is through our automated phone system, which allows you to get personal account information, order forms and conduct other retirement transactions without having to speak with a customer service representative. The automated phone system is generally available 24 hours a day, seven days a week, so you can conduct business with NYSLRS on your schedule.

Retirees can use the automated phone system to:

  • Request that NYSLRS forms be mailed to them,
  • Report a lost, stolen or late pension check,
  • Get tax information,
  • Get information about cost-of-living adjustments (COLAs), and
  • Request a direct deposit form.

Members can use the automated phone system to:

  • Request that NYSLRS forms be mailed to them,
  • Find out if they are eligible for a loan or get their current loan balance,
  • Request that a benefit projection be mailed to them, and
  • Get personalized information about purchasing credit for previous service.

Here are the retiree menu options for the phone system:

automated phone system for retirees

Here are the member menu options for the phone system:

automated phone system for members

Other Ways to Get Information

If you are looking for general information about NYSLRS benefits, you can:

Retirees: Be Sure We Have Your Current Mailing Address

Retirees should make sure their mailing address is current by December 31 in order to receive important information from NYSLRS in the coming year. We’ll be mailing 1099-R tax documents in late January and Retiree Annual Statements in February.

Remember, if you file an address change order with the Post Office, they will only forward your mail for a limited time.

Retirement Online Makes It Easy to Check and Update Your Contact Information

Retirement Online is the fastest and easiest way to check your mailing address, phone number and email address and update them if needed. ­­If you don’t already have an account, go to the Sign In page and click Sign Up under the Customer Sign In button. (Need help with Retirement Online? See this post for handy tips.)

update your mailing address and contact info in Retirement Online

Other Ways to Update Your Mailing Address

If you don’t have a Retirement Online account, there are other ways to update the mailing address we have on file for you.

  • By Email
    If your new address is not a PO box or international address, you can email your address change information using the secure contact form on our website. Be sure to complete all form fields and provide your old and new address.
  • By Mail
    You can complete and submit a change of address form by mail (use the form if your new address is a PO box or an international address). Mail your completed form to:
    • NYSLRS
    • 110 State Street
    • Albany, NY 12244-0001

A Look Inside NYSLRS

NYSLRS paid $13.4 billion in benefits to 487,407 retirees and beneficiaries during the State fiscal year that ended on March 31. These benefits are paid out through the New York State Common Retirement Fund (the Fund).

NYSLRS By the Numbers

NYSLRS Membership                                                           

But NYSLRS is more than just the pension fund. The system had 673,336 members as of March 31, including county workers, professional firefighters and State troopers. Here are some facts about our membership:

  • 530,547 active members (that is, members still on a public payroll) work for 2,962 public employers statewide.
  • One-third of those active members work for New York State. The rest work for counties, cities, towns, villages, school districts and public authorities.
  • Nearly 94 percent of active members are in the Employees’ Retirement System (ERS). The Police and Fire Retirement System (PFRS) accounts for 6 percent of NYSLRS membership.
  • More than 44 percent of all members are in Tier 6. Fifty-eight percent of PFRS members are in Tier 2 and almost 49 percent of ERS members are in Tiers 3 and 4.

NYSLRS Retirees and Beneficiaries

The average pension for an ERS retiree was $25,105; the average for a PFRS retiree was $54,684. But these pension payments don’t just benefit the system’s retirees and beneficiaries. Because 79 percent of NYSLRS retirees and beneficiaries live in New York, $10.8 billion worth of benefits stayed in the State. And that money supported local businesses, paid local taxes and generated economic development statewide.

An Award-Winning Publication

Extensive information about NYSLRS members and retirees, the Fund, and Fund investments can be found in the 2020 Comprehensive Annual Financial Report (CAFR). NYSLRS once again received the Certificate of Achievement for Excellence in Financial Reporting for the 2019 CAFR. The Certificate of Achievement is a national award recognizing excellence in the preparation of state and local government financial reports. NYSLRS has won this award for the last 16 years.

Questions About Your NYSLRS Membership? Look Here for Answers

If you have general questions about NYSLRS or your benefits, we have a web page that can help you find the answers.

That’s because the NYSLRS Contact Us page does double duty. It not only lists contact information, it also helps you find answers for many of the common questions we get from members, retirees and beneficiaries. It covers subjects like address changes, loans, pension estimates, direct deposit and cost-of-living adjustments (COLA).

To get started, go to the Contact Us page and select the Member, Retiree or Beneficiary button to find the questions and answers you need. Each section has categories specific to that member group.

Member

answers
  • Address Change
  • Forms
  • Loans
  • Member Annual Statement
  • Mortgage Letter/Account Verification Letter
  • Pension Estimates
  • Retirement Online
  • Service Credit
  • Withdrawing from NYSLRS

Retiree

answers
  • 1099-R Reprint
  • Address Change
  • Cost-of-Living Adjustment (COLA)
  • Direct Deposit
  • Federal Taxes
  • Forms
  • Health Insurance
  • Pension Checks
  • Pension Verification Letters
  • Retirement Online

Beneficiary

answers
  • 1099-R Reprint
  • Address Change
  • Direct Deposit
  • Federal Taxes
  • Forms
  • Pension Checks
  • Pension Verification Letters
  • Reporting a Death
  • Retirement Online
  • Who is a Beneficiary?

Getting Account-Specific Answers

The information on the Contact Us page is general. If you’re looking for information specific to your situation, like your loan balance or a breakdown of your pension payment, sign in to Retirement Online. If you don’t already have a Retirement Online account, sign up today.