Your Payment Options

Optional Forms of Payment

If you are married and you and your spouse formally reject the 50% Spousal Annuity and 75% Optional Spousal Annuity, or if you are single and you formally reject the Life Annuity, you may choose one of the following alternate forms of payment:

  • a single lump sum payment;
  • monthly installments for up to 120 months, until your AccumulatedShare is exhausted; or
  • a combination of a lump sum payment and monthly installments.

If you select monthly installments, any interest, earnings or expenses will be reflected each month by an adjustment to your remaining monthly payments. If the adjustments are not reflected each month, your last installment will reflect any interest, earnings or expense allocated to your Accumulated Share during the full payment period.

If you should die before all installment payments have been made, the remainder of your Accumulated Share will be paid in installments or one lump sum payment to your designated beneficiary. See “If You Die After Retirement” on page 36 for more information.

Requesting a Lump Sum Payment

If you are receiving monthly installment payments, you may later elect in writing to receive the remaining balance in a lump sum. To request a lump sum, you must provide written consent (witnessed by a Notary Public) from your spouse, if living, who signed the waiver of the 50% or 75% Spousal Annuity.

Benefits of less than $5,000

If the value of your Accumulated Share is less than $5,000, it will be paid in one lump sum payment.