The Joint-and-Survivor Plans, Options 2, 3 and 4
Plan Description
Provides a reduced lifetime monthly benefit with some or all of your benefit continuing to your named beneficiary after your death. The actuarial reduction in your monthly benefit depends on your age and the age of your named beneficiary when you retire.
Option 2:
Following your death, 100% of your monthly benefit continues to your named beneficiary for the remainder of his or her life.
Option 3:
Following your death, 75% of your monthly benefit continues to your named beneficiary for the remainder of his or her life.
Option 4:
Following your death, 50% of your monthly benefit continues to your named beneficiary for the remainder of his or her life.
All Joint-and-Survivor plans have a “pop-up” provision. If your named beneficiary dies before you, your monthly benefit “pops-up” to the amount you would have received had you chosen the Option 1-Single Life retirement plan, adjusted for any increases granted since your retirement date.
Only one person (spouse, child, parent or other individual with an insurable interest in your life) can be named as a beneficiary under Options 2, 3 or 4. If you name your spouse as your Joint-and-Survivor beneficiary, you must provide a copy of your marriage certificate to PSRS. This beneficiary cannot be changed unless you have named your spouse, a death or divorce occurs, and you remarry. Please contact PSRS for more detailed information.
Advantage:
After your death, these options provide lifetime monthly benefits for the beneficiary, regardless of the beneficiary’s age or subsequent marital status. If you outlive your beneficiary, your benefit automatically “pops-up” to the Option 1-Single Life amount.
Disadvantage:
The reduced benefit you receive may not provide adequate income while you are living. PSRS cost-of-living increases are calculated on the reduced benefit amount.
The plan you select cannot be changed after the effective date of your retirement.
