2015 New York Laws
RSS - Retirement & Social Security
Article 11 - (Retirement & Social Security) LIMITATIONS APPLICABLE TO NEW ENTRANTS
448 - Death benefits.

  448.  Death  benefits.  a.  A  member of a retirement system who is
  subject to the provisions of this article, exclusive  of  those  members
  for  whom  provision  is made pursuant to subdivision b of this section,
  shall, at the time of first becoming a member thereof, make an election,
  which shall be irrevocable, for coverage for financial protection in the
  event of death in service, between the two following benefits:
1. A benefit upon the death of  a  member  in  service  equal  to  one
  month's  salary  for  each full year of service up to a maximum of three
  years' salary upon the completion of thirty-six full years  of  service,
  or  in  the  event  that  a member is eligible to retire without benefit
  reduction pursuant to section four hundred forty-two of this article,  a
  benefit  equal  to  the  pension  reserve, if any, which would have been
  payable to such member had he entered prior to  the  effective  date  of
  this article and died in service, subject to the benefit limitations set
  forth  in  section  four  hundred  forty-four  of  this article, if this
  alternative provides a greater benefit, or;
2. A benefit upon the death of  a  member  in  service  equal  to  the
  member's  salary  upon his or her completion of one year of service, two
  years' salary upon completion of two years of service, and three  years'
  salary  upon  completion  of  three  years  of service. In the case of a
  member of a retirement system other than the New  York  state  teachers'
  retirement  system,  the New York city employees' retirement system, the
  New York city board of education retirement system, the  New  York  city
  teachers'  retirement  system,  the  New York state and local employees'
  retirement system or the New  York  state  and  local  police  and  fire
  retirement  system,  such  benefit  shall  be  subject  to the following
  limitations:
(a)  If  the  member  last  joined  the  retirement  system  prior  to
  attainment  of  age fifty-two, the maximum benefit shall be three years'
  salary;
(b) If the member was age fifty-two when he or  she  last  joined  the
  retirement  system,  the maximum benefit shall be two and one-half times
  annual salary;
(c) If the member was age fifty-three when he or she last  joined  the
  retirement system, the maximum benefit shall be two years' salary;
(d)  If  the  member was age fifty-four when he or she last joined the
  retirement system, the maximum benefit shall be one and  one-half  times
  annual salary;
(e) If the member was age fifty-five or older but under age sixty-five
  when  he  or  she last joined the retirement system, the maximum benefit
  shall be one year's salary; and
(f) If the member was age sixty-five or older  when  he  or  she  last
  joined  the retirement system, the maximum benefit shall be one thousand
  dollars.
In the case of a member of a retirement system other than the New York
  state  teachers'  retirement  system,  the  New  York  city   employees'
  retirement  system,  the  New  York  city  board of education retirement
  system, the New York city teachers'  retirement  system,  the  New  York
  state  and  local employees' retirement system or the New York state and
  local police and fire retirement system, commencing upon  attainment  of
  age sixty-one, the benefit otherwise provided pursuant to this paragraph
  shall  be reduced while the member is in service to ninety per centum of
  the benefit otherwise payable  and  each  year  thereafter  the  benefit
  payable  shall  be reduced by an amount equal to ten per centum per year
  of the original benefit otherwise payable, but not below ten per  centum
  of the original benefit otherwise payable.
In  the  case  of  a member of the New York state teachers' retirement
  system,  commencing  upon  attainment  of  age  sixty-one,  the  benefit

  otherwise provided pursuant to this paragraph shall be reduced while the
  member  is  in service to ninety-six per centum of the benefit otherwise
  payable and each year thereafter the benefit payable shall be reduced by
  an  amount  equal  to  four  per centum per year of the original benefit
  otherwise payable, but not  below  sixty  per  centum  of  the  original
  benefit  otherwise payable. In the case of a member of the New York city
  employees' retirement system, the  New  York  city  board  of  education
  retirement  system  or  the  New  York city teachers' retirement system,
  commencing upon attainment  of  age  sixty-one,  the  benefit  otherwise
  provided pursuant to this paragraph shall be reduced while the member is
  in  service  to  ninety-five per centum of the benefit otherwise payable
  and each year thereafter the benefit payable  shall  be  reduced  by  an
  amount  equal  to  five  per  centum  per  year  of the original benefit
  otherwise payable, but not  below  fifty  per  centum  of  the  original
  benefit  otherwise  payable.  In  the case of any member of the New York
  state and local employees' retirement system who is permitted to  retire
  without regard to age or a member of the New York state and local police
  and fire retirement system, commencing upon attainment of age sixty-one,
  the  benefit  otherwise  provided  pursuant  to  this paragraph shall be
  reduced while the member is in service to ninety-seven per centum of the
  benefit otherwise payable, and each year thereafter the benefit  payable
  shall  be reduced by an amount equal to three per centum per year of the
  original benefit otherwise payable, but not below seventy per centum  of
  the  original benefit otherwise payable. In the case of any other member
  of the New York state and local employees' retirement system, commencing
  upon  attainment  of  age  sixty-one,  the  benefit  otherwise  provided
  pursuant  to  this  paragraph  shall  be  reduced while the member is in
  service to ninety-six per centum of the benefit otherwise  payable,  and
  each  year  thereafter the benefit payable shall be reduced by an amount
  equal to four per centum per year  of  the  original  benefit  otherwise
  payable,  but  not  below  sixty  per  centum  of  the  original benefit
  otherwise payable. Upon  retirement  from  any  retirement  system,  the
  benefit  in  force shall be reduced by fifty per centum; upon completion
  of the first year of retirement, the benefit in force  at  the  time  of
  retirement shall be reduced by an additional twenty-five per centum, and
  upon  commencement of the third year of retirement, the benefit shall be
  ten per centum of the benefit in force at age sixty, if any, or  at  the
  time  of  retirement if retirement preceded such age; provided, however,
  the benefit in retirement shall not be reduced below ten per  centum  of
  the  benefit in force at age sixty, if any, or at the time of retirement
  if retirement preceded such age. Notwithstanding any other provision  of
  this  paragraph  to the contrary, the benefit for a retiree from the New
  York state and local employees' retirement system shall not  be  reduced
  below ten per centum of the benefit in force at the time of retirement.
3.  If  a  member  dies  in  service  without having made the election
  specified in this subdivision within ninety days after first becoming  a
  member,  or  within  the  period  prescribed by the retirement system of
  which he is a member if such period is less than ninety days,  he  shall
  be deemed to have made the election specified in paragraph two.
4.  Notwithstanding any other provision of this article, any member of
  the New York state teachers' retirement system who joined  on  or  after
  July  first,  nineteen  hundred  seventy-three  and  before  July first,
  nineteen hundred seventy-four may change the election set forth in  this
  subdivision  by  filing  a  new  election  on  or before June thirtieth,
  nineteen hundred  eighty-nine.  The  election  filed  pursuant  to  this
  paragraph shall be irrevocable.
5.  Notwithstanding  any  provision  of  this  article,  a member of a
  retirement system subject to the provisions of  this  article  who  last

  joined  such  system  on or after January first, two thousand one who is
  not covered by the death benefit calculation provided in  subdivision  b
  of  this section shall, upon a qualifying death, be covered by the death
  benefit   calculation   provided  pursuant  to  paragraph  two  of  this
  subdivision and shall not be entitled to elect between the death benefit
  calculations provided in paragraphs one and two of this subdivision. Any
  individual who  last  joined  such  system  before  January  first,  two
  thousand  one  who  is  not  covered  by  the  death benefit calculation
  provided in subdivision b of this  section  shall  be  covered,  upon  a
  qualifying death, by the death benefit calculation provided by paragraph
  two  of this subdivision unless such individual had timely elected death
  benefit coverage under the calculation provided by paragraph one of this
  subdivision and, upon such death, it is determined that the benefit,  as
  calculated  under such paragraph one would be greater than as calculated
  under such paragraph two, in which case  the  benefit  calculated  under
  such paragraph one shall be payable.
b.  A  member of a retirement system subject to the provisions of this
  article who is a police  officer,  firefighter,  correction  officer  or
  sanitation  worker  and  is in a plan which permits immediate retirement
  upon completion of a specified period of service without regard  to  age
  or  who  is  subject  to the provisions of subdivision b of section four
  hundred forty-five of this article, shall upon completion of ninety days
  of service be covered for financial protection in the event of death  in
  service pursuant to this subdivision.
1.  Such  death  benefit  shall  be  equal to three times the member's
  salary raised to the next highest multiple of one thousand dollars,  but
  in  no event shall it exceed three times the maximum salary specified in
  section one hundred thirty of the civil service law or, in the case of a
  member of a retirement system other than the New  York  city  employees'
  retirement system, the New York city police pension fund, subchapter two
  or  the  New York city fire department pension fund, subchapter two, the
  specific  limitations  specified  for  age  of  entrance  into   service
  contained  in  subparagraphs (b), (c), (d), (e) and (f) of paragraph two
  of subdivision a of this section.
2. Provided further,  notwithstanding  any  other  provision  of  this
  article  to  the  contrary,  where  the  member  is  a police officer or
  firefighter and would have been entitled to a service retirement benefit
  at the time of his or her death and where his or her death occurs on  or
  after  July  first,  two  thousand,  the  beneficiary  or  beneficiaries
  nominated for the purposes of this subdivision may elect to receive,  in
  a  lump  sum,  an  amount  payable  which  shall be equal to the pension
  reserve that would have been established had the member retired  on  the
  date  of  his  or  her  death, or the value of the death benefit and the
  reserve-for-increased-take-home-pay,  if  any,  whichever  is   greater,
  provided  further that for the purpose of determining entitlement to the
  benefit provided by this subdivision, and notwithstanding subdivision  j
  of  section three hundred forty-one of this chapter, where the member is
  an officer or member of the state police the total  number  of  days  of
  unused  sick leave and accumulated vacation credit accrued by the member
  at the time of his or her death shall be considered in meeting the total
  creditable service required to qualify for a service retirement  benefit
  provided without regard to age where his or her death occurs on or after
  July  second, two thousand nine. Provided further that where such police
  officer or firefighter dies on or after July first, two thousand,  after
  having  retired from service, but before a first payment of a retirement
  allowance, such person shall be deemed to have been in  service  at  the
  time  of his or her death for the purposes of this subdivision only, and
  provided further that the pension reserve established pursuant  to  this

  paragraph  for a person who dies after retiring from service, but before
  first payment of a retirement allowance, shall be determined as  of  the
  date  of  retirement  and any pension payments payable for the period of
  time  prior  to  the retiree's death shall be deducted from any benefits
  payable pursuant to this subdivision.
c. For the purpose of  this  section,  salary  shall  be  the  regular
  compensation earned during the member's last twelve months of service in
  full  pay  status  as a member or, if he or she had not completed twelve
  months of service prior to the date of death, but  was  subject  to  the
  provisions  of subdivision b of this section, the compensation he or she
  would have earned had he or she worked for the twelve  months  prior  to
  such  date;  provided,  however,  for the purpose of this section salary
  shall exclude any form of  termination  pay  (which  shall  include  any
  compensation in anticipation of retirement), or any lump sum payment for
  deferred  compensation sick leave, or accumulated vacation credit or any
  other payment for time not  worked  (other  than  compensation  received
  while  on  sick  leave  or  authorized leave of absence) and in no event
  shall it exceed the maximum salary  specified  in  section  one  hundred
  thirty  of  the  civil service law, as added by part B of chapter ten of
  the laws of two thousand eight,  or  the  maximum  salary  specified  in
  section  one  hundred  thirty  of  the  civil  service law, as hereafter
  amended, whichever is greater.
d. The benefits provided pursuant to this section are in lieu  of  all
  other  benefits  provided  by  this  or  any  other  state  or local law
  exclusive of a benefit provided under the  workmen's  compensation  law,
  the  civil  service  law  or  group life insurance; provided, however, a
  beneficiary of a member eligible for  a  benefit  as  the  result  of  a
  service  connected  accident, may elect to receive such other benefit in
  lieu of the benefit provided pursuant to this section.
e. For the purposes of this section:
1. A member who dies while off the payroll shall be considered  to  be
  in service provided he or she (a) was on the payroll in such service and
  paid  within a period of twelve months prior to his or her death, or was
  on the payroll in the service upon which membership is based at the time
  he or she was ordered to active duty pursuant to Title 10 of the  United
  States Code, with the armed forces of the United States or to service in
  the  uniformed services pursuant to Chapter 43 of Title 38 of the United
  States Code and died while  on  such  active  duty  or  service  in  the
  uniformed  services  on or after June fourteenth, two thousand five, (b)
  had not been otherwise gainfully employed since he or she ceased  to  be
  on  such  payroll and (c) had credit for one or more years of continuous
  service since he or she last entered or reentered the service of his  or
  her  employer;  notwithstanding  any  other  provision  of  law  to  the
  contrary, a member of the New York city employees' retirement system  or
  the  board  of education retirement system of the city of New York shall
  be deemed to have died on the payroll for the purposes of  this  section
  in  the  event  that  death occurs while such member is on an authorized
  leave of absence without pay for medical reasons which has  continuously
  been  in  effect  since  the member was last paid on the payroll in such
  service, provided, however, that such member was on the payroll in  such
  service  and paid within the four-year period prior to his or her death;
  and
2. The benefit payable shall be in addition to  any  payment  made  on
  account of a member's accumulated contributions.
3.  Provided,  further,  that  any  such member ordered to active duty
  pursuant to Title 10 of the United States Code, with the armed forces of
  the United States or to service in the uniformed  services  pursuant  to
  Chapter  43  of  Title  38  of  the United States Code who died prior to

  rendering the minimum amount of service necessary  to  be  eligible  for
  this  benefit  shall be considered to have satisfied the minimum service
  requirement.
f. Notwithstanding the provisions of any other law to the contrary and
  solely  for the purpose of determining eligibility for the death benefit
  payable pursuant to this section, a person subject to this section shall
  be considered to have died  while  in  teaching  service  provided  such
  person  was  in such service at the time he or she was ordered to active
  duty pursuant to Title 10 of the United  States  Code,  with  the  armed
  forces  of  the  United  States  or to service in the uniformed services
  pursuant to Chapter 43 of Title 38 of the United States  Code  and  died
  while  on  such  active  duty or service in the uniformed services on or
  after June fourteenth, two thousand five. Provided,  further,  that  any
  such  person  ordered  to active duty pursuant to Title 10 of the United
  States Code, with the armed forces of the United States or to service in
  the uniformed services pursuant to Chapter 43 of Title 38 of the  United
  States  Code  who  died prior to rendering the minimum amount of service
  necessary to be eligible for this benefit shall be  considered  to  have
  satisfied the minimum service requirements.
g.  A  member, or on the death of such member, the person nominated by
  him or her to receive his or her death benefit, may provide, by  written
  designation,  duly  executed  and  filed with the comptroller, that such
  death benefit and the reserve-for-increased-take-home-pay shall be  paid
  in  the  form of an annuity. Such designation shall be filed prior to or
  within ninety days after the death of the member.  The  amount  of  such
  annuity  shall  be  determined as the actuarial equivalent of such death
  benefit and reserve on the basis of the age of such beneficiary  at  the
  time  of  the  member's death. For the purposes of this subdivision, the
  mortality and interest rates used in determining this annuity  shall  be
  the rates in effect on the date of the death of such member.