§ 5-10.4-8-12 — Withdrawals from member account

Indiana § 5-10.4-8-12

• Jurisdiction: Indiana
• Title 5: STATE AND LOCAL ADMINISTRATION
• Art. 10.4: STATE TEACHERS' RETIREMENT FUND
• Ch. 8: Teachers' Defined Contribution Plan

Text

(a) After December 31, 2020, subject to the
provisions of the Internal Revenue Code applicable to qualified plan
distributions, a member who terminates service in a covered position
is entitled to withdraw all or part of the amounts in the member's
account to the extent the member is vested in the account. A member
must make a required withdrawal from the member's account not later
than the required beginning date under the Internal Revenue Code.
(b) A member may elect to have withdrawals paid as:
(1) a lump sum;
(2) a direct rollover to another eligible retirement plan; or
(3) if the member has attained normal retirement age, a monthly
annuity in accordance with the rules of the board.
(c) The board may establish a minimum account balance or a
minimum monthly payment amount in order for a member to select the
monthly annuity option. The board shall establish the forms of annuity
by rule, in consultation with the board's actuary. The board shall give
members information about these forms of payment and any
information required by federal law to accompany such distributions.
(d) Unless otherwise required by federal or state law, the
requirements and rules that apply to the distribution of the annuity
savings account apply to distributions from a member's account.
(e) Subject to the Pension Protection Act of 2006 and
notwithstanding any state law, after December 31, 2020, an active
member who:
(1) reaches normal retirement age; and
(2) has attained vested status in the fund;
may withdraw all or part of the amount in the member's account
without separating from a covered position.

Legislative History

As added by P.L.217-2017, SEC.58. Amended by P.L.27-2019, SEC.15; P.L.51-2020, SEC.6.