NY Ret & SS L § 508 (2021)
2021 New York Laws RSS - Retirement and Social Security Article 14 - Coordinated-Escalator Retirement Plan 508 - Death Benefits.

§  508.  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 five hundred  three  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; 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, or the New York state and local  employees' 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, or 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  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.   Notwithstanding any other provision of this paragraph, 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, 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 and the New York state teachers' 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 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 benefits 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, investigator  revised  plan member 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 section  five  hundred  four or five hundred 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. 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, or in the case of a member of the New York city employees' retirement system who  is  a  New  York  city  uniformed correction/sanitation  revised  plan  member  or an investigator revised plan member, 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.   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; 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. With respect to a member of the New York state and local employees' retirement system who was covered by paragraph two of subdivision  a  of the  former  section  five  hundred  eight  of this chapter, as added by chapter  eight  hundred  ninety  of  the  laws   of   nineteen   hundred seventy-six,  prior  to  its  repeal  pursuant  to  chapter  six hundred seventeen of the laws of nineteen hundred eighty-six and who is entitled under the state constitution to  have  benefits  calculated  under  such provision   as  it  read  prior  to  such  nineteen  hundred  eighty-six amendment, the lump sum death benefit shall be  determined  pursuant  to subdivision  a of this section. With respect to a member of the New York state  and  local  employees'  retirement  system  who  was  covered  by subdivision  b of the former section five hundred eight of this chapter, as added by chapter eight hundred ninety of the laws of nineteen hundred seventy-six, prior  to  its  repeal  pursuant  to  chapter  six  hundred seventeen of the laws of nineteen hundred eighty-six and who is entitled under  the  state  constitution  to  have benefits calculated under such provision  as  it  read  prior  to  such  nineteen  hundred   eighty-six amendment,  the  lump  sum death benefit shall be determined pursuant to subdivision a of this section.