145-2-07 Additional service credit under section 145.201 of the Revised Code.

 

 

 

145-2-07                      Purchase of additional Additional service credit under section

145.201 of the Revised Code.

 

 

 

(A)  This rule amplifies the provisions of section 145.201 of the Revised Code. (B)

(1)   "Full-time service" does not include service computed as part-time pursuant to division (T) of section 145.01 of the Revised Code. The

 

(2)The public employees retirement system shall prepare a statement of cost for the additional service credit to be purchased based on the request of an eligible member.

 

(2)(3) The statement of cost shall be based on thirty-five per cent of all eligible full-time service.

 

(3)(4) The retirement system shall issue a statement of cost that which shall include full calendar years of eligible service and may include a partial calendar year if the partial calendar year is:

 

(a)   The only eligible service;

 

(b)   The first year of a term of eligible service; or

 

(c)   The last year of a term of eligible service.

 

(C)    "Full-time service" does not include service computed as part time pursuant to division (T) of section 145.01 of the Revised Code. A member who purchased service under section 145.201 of the Revised Code may elect, on a form provided by the retirement system, to receive all or a portion of the amount paid under that section if, in calculating the member's age and service retirement allowance, either of the following apply:

 

(1)In the case of a member of the traditional pension plan whose retirement allowance is calculated under division (A)(5) of section 145.33 of the Revised Code, the member's total annual single lifetime allowance exceeds the lesser of one hundred per cent of the member's final average salary or the limit established by section 415 of the Internal Revenue Code of 1986, 100 Stat. 2085, 26 U.S. C.A. 415.

 

(2)In the case of a participant in the combined plan, the participant's total annual single lifetime allowance exceeds the lesser of the limits described in section 9.03(a) of the combined plan document.

 

 

(D) The retirement system shall refund to a member eligible under paragraph (C) of this rule all or a portion of the amount paid to purchase service only in increments of thirty-five per cent of a full calendar year of service or such partial years of service as described in paragraph (B)(4) of this rule. The retirement system shall refund the amounts paid to purchase service credit in the reverse order of the member's purchase, with the most recent service purchased being the first amount refunded.

(E) The amount refunded to the member shall not exceed the actual amount paid by the member for the service credit to be refunded. No interest shall be paid on the amount refunded. If applicable, the retirement system shall withhold taxes on amounts paid to a member that have not yet been taxed.

(F) The amount refunded to the member shall not be paid prior to the issuance of the member's finalized retirement benefit, as defined in rule 145-1-65 of the Administrative Code.

Effective:	12/30/2007
R.C. 119.032 review dates:	09/29/2011
CERTIFIED ELECTRONICALLY
Certification
12/20/2007
Date
Promulgated Under:	111.15
Statutory Authority:	145.09.
Rule Amplifies: Prior Effective Dates:	145.201. 4/6/07 (Emer.); 1/1/07; 1/1/03; 9/6/88; 4/7/88.