Monthly Archives: May 2016

Your Checklist to Apply for Retirement

After months of planning and preparation, you’re ready to apply for retirement. To get your pension benefit, you need to send in a NYSLRS retirement application. Let’s look at what you should include with the form to help make the retirement process go more smoothly.

Filling Out the Retirement Application

Unless you’re filing for a disability retirement, you’ll need to fill out the Application for Service Retirement (RS6037). Some items to keep in mind when you fill out the form:

  • Know your registration number. You can find this number on your most recent Member Annual Statement or retirement estimate.
  • Know your past employment. Please list your public employment history, including military service and any memberships in other New York public retirement systems. This helps ensure you receive the proper credit for your public service.
  • Include your beneficiary’s information. This isn’t an official designation, but will help us provide you with the pension payment options available to you.
  • See a notary. The form must be filled out completely and signed by a notary public.

Applying for Retirement

Proof of Birth

Make sure we also have proof of your birth date. You can send it with your retirement application or before or after, but pension benefits cannot be paid without it. We’ll accept photocopies of the following as proof:

Other Forms to Consider

You’ll need to choose your payment option before your pension is payable. Option election forms are available on our website, but we will also send you a form after we process your retirement application. If you choose an option that would provide a pension benefit to a beneficiary upon your death, you must provide us with proof of your beneficiary’s birth date.

Your NYSLRS pension isn’t subject to New York State income tax, but it is subject to federal tax. You can fill out a W-4P form to tell us what amount you want withheld from your monthly benefit. You can change your federal withholding status at any time. We don’t withhold other states’ income taxes. Visit the Retired Public Employees Association’s website to see if your benefit will be taxed in another state.

You can enroll in our direct deposit program at the same time you file for retirement. Just fill out a Direct Deposit Enrollment Application (RS6370) and return it to us. Once your final retirement benefit amount is determined, your payments will be directly deposited into the account you specified on your enrollment application. Direct deposit is the fastest and most secure way for you to receive your pension benefits. We will send you information on your direct deposit payment amount including deductions, and will inform you when the amount changes.

If you’re divorced and your ex-spouse is entitled to part of your pension, you should send us a copy of your Domestic Relations Order (DRO) as soon as possible. We cannot finalize your pension until we have reviewed your DRO and calculated the required distribution of your benefit. The DRO gives us specific instructions on how your benefits should be divided. For more detailed information, please read our Guide to Domestic Relations Orders.

If you have other questions about applying for retirement, read our publication, Life Changes: How Do I Prepare to Retire?

NYSLRS’ Top Five Retirement Myths from 2015

Retirement Myths vs FactsFrom the day you become a NYSLRS member to the day you retire, you’re exposed to all sorts of retirement information. Unfortunately, sometimes what you learn can get jumbled along the way. We want to help clear up some common misconceptions we’ve heard from members and retirees over the past year. Here are the top five retirement myths from 2015:


Myth #1 “I’ll receive the full amount of my monthly retirement benefit when my payments start.”

Fact For the first few months of retirement, most NYSLRS retirees will receive partial payments while we finish calculating their final benefit. (We need to collect information on final payments and pensionable leave credits from their employers, a process that can take some time.) The partial payments are based on their most recent NYSLRS retirement estimate and usually make up 90 – 95 percent of their final benefit. Partial payments are paid by check and mailed to the address we have on file for the retiree.


Myth #2 “Family members always receive death benefits.”

Fact With the exception of accidental death benefits, NYSLRS members may name any person, trust, or organization as their beneficiary to receive death benefits. It doesn’t have to be a family member. Accidental death benefit recipients are outlined in the law.


Myth #3 “I can’t collect my pension until I start receiving Social Security.”

Fact Members can apply for retirement as soon as they meet the eligibility requirements of their retirement plan.


Myth #4 “NYSLRS manages my retiree health insurance.”

Fact NYSLRS does not administer health insurance programs for its retirees. We deduct premiums from a retiree’s monthly retirement benefit to pay for their health insurance if we’re told to do so by their former employer.

(If you have questions about your health insurance coverage or premium deductions, please contact your former employer. If you retired from a New York State agency, you can contact the New York State Department of Civil Service.)


Myth #5 “NYSLRS decides when there’s a retirement incentive.”

Fact This isn’t the case. The New York State Legislature (not NYSLRS) enacts retirement incentive programs. Incentives are approved by both houses and signed into law by the Governor. NYSLRS administers programs that are signed into law.


Check out your plan publication to learn more about your benefits. You can also visit our website for more information.

NYSLRS’ Partial Lump Sum Payments

When you retire, you’ll choose a payment option for your monthly lifetime benefit. Eligible NYSLRS members may also choose to receive a partial lump sum payment. The payment, which you’ll receive when we finish calculating your pension benefit, is a percentage of the actuarial value of your retirement benefit at the time you retire. By accepting this one-time lump sum payment, your lifetime monthly benefit will be permanently reduced.

Who is Eligible for the Partial Lump Sum Payment?

If you’re a Police and Fire Retirement System (PFRS) member covered by a special 20- or 25-year plan, you may be eligible to choose this payment. Certain Employees’ Retirement System (ERS) members (sheriffs, undersheriffs, deputy sheriffs, and county correction officers) are eligible if their employer offers this benefit. (Read the other eligibility requirements for PFRS members and ERS members.)

Partial Lump Sum PaymentsHow the Partial Lump Sum Payment Works

The percentage amounts you can choose from depend on how long you’ve been eligible to retire. You can choose a lump sum payment that equals 5, 10, 15, 20 or 25 percent of the value of your retirement benefit.

The payment can be made directly to you, or you can also have it paid in a direct rollover to an Individual Retirement Annuity or other plan that accepts rollovers. Before you decide, you may want to speak with a tax advisor to see if the partial lump sum payment is right for you. Certain partial lump sum distributions could be subject to federal income tax.

How Do I Choose the Partial Lump Sum?

If you’re eligible for the partial lump sum, we’ll send you a special option election form when you file for retirement. You can use this form to choose both the partial lump sum and the payment option you want for your continuing lifetime monthly benefit.

Please read Partial Lump Sum (PLS) Payment at Retirement – For Eligible Retirement System Members for more information.