40 ILCS 5/14-121
2021 Illinois Compiled Statutes|Chapter 40 - PENSIONS|40 ILCS 5/ - Illinois Pension Code.|Article 14 - State Employees' Retirement System Of Illinois

 (from Ch. 108 1/2, par. 14-121)Sec. 14-121. Amount of survivors annuity.   A survivors annuity  beneficiary shall be entitled upon death of the member to a single sum  payment of $1,000, payable pro rata among all persons entitled thereto,  together with a survivors annuity payable at the rates and under the  conditions specified in this Article.(a) If the survivors annuity beneficiary is a spouse, the survivors  annuity shall be 30% of final average compensation subject to a maximum  payment of $400 per month.(b) If an eligible child or children under the care of a spouse also  survives the member, such spouse as natural guardian of the child or  children shall receive, in addition to the foregoing annuity, 20% of final  average compensation on account of each such child and 10% of final average  compensation divided pro rata among such children, subject to a maximum  payment on account of all survivor annuity beneficiaries of $600 per month,  or 80% of the member's final average compensation, whichever is the lesser.(c) If the survivors annuity beneficiary or beneficiaries consists of  an unmarried child or children, the amount of survivors annuity shall be  20% of final average compensation to each child, and 10% of final average  compensation divided pro rata among all such children entitled to such annuity,  subject to a maximum payment to all children combined of $600 per month  or 80% of the member's final average compensation, whichever is the lesser.(d) If the survivors annuity beneficiary is one or more dependent parents,  the annuity shall be 20% of final average compensation to each parent and  10% of final average compensation divided pro rata among the parents who  qualify for this annuity, subject to a maximum payment to both dependent  parents of $400 per month.(e) The survivors annuity to the spouse, children or dependent parents of  a member whose death occurs after the date of last withdrawal, or after  retirement, or while in service following reentry into service after  retirement but before completing 1 1/2 years of additional creditable  service, shall not exceed the lesser of 80% of the member's earned  retirement annuity at the date of death or the maximum previously  established in this Section.(f) In applying the limitation prescribed on the combined payments to  2 or more survivors annuity beneficiaries, the annuity on account of each  beneficiary shall be reduced pro rata until such time as the number of  beneficiaries makes the reduction no longer applicable.(g) Except  as otherwise provided in this subsection (g), a survivors annuity payable on account of  any covered employee who has   been a covered employee for at  least 18 months at date of death or last withdrawal, whichever is the later,  shall be reduced by 1/2 of the survivors benefits to which his beneficiaries  are eligible under the federal Social Security Act, except that (1) the  survivors annuity payable under this Article shall not be reduced by any  increase under that Act which occurs after the offset required by this  subsection is first applied to that annuity, (2) for benefits granted on or  after January 1, 1992, the offset under this subsection (g) shall not exceed  50% of the amount of survivors annuity otherwise payable.Beginning July 1, 2009, the offset under this subsection (g) shall no  longer be applied to any survivors annuity of any person who began receiving retirement benefits or a survivors annuity prior to January 1, 1998.Beginning July 1, 2009, the offset under this subsection (g) shall no longer be applied to the survivors annuity of any person who began receiving a survivors annuity on or after January 1, 1998 and before the effective date of this amendatory Act of the 95th General Assembly.Any person who began receiving retirement benefits after January 1, 1998 and before the effective date of this amendatory Act of the 95th General Assembly may, during a one-time election period established by the System, elect to reduce his or her retirement annuity by 3.825% in exchange for not having the offset under this subsection (g) applied to his or her survivors annuity.Any employee in service on the effective date of this amendatory Act of the 95th General Assembly may, at the time of retirement, elect to reduce his or her retirement annuity by 3.825% in exchange for not having the offset under this subsection (g) applied to his or her survivors annuity.If a survivors annuity is payable to the widow of an employee based on the employee's death in service, then the offset under this subsection (g) shall no longer be applied to the survivors annuity.A retiree who elects to reduce his or her retirement annuity under this subsection (g) in exchange for not having the offset applied may make an irrevocable election to eliminate the reduction of his or her retirement annuity if there is  a change in marital status due to death or divorce, but the retiree is not entitled to reimbursement of any benefit reduction prior to the election.(h) The minimum payment to a beneficiary hereunder shall be $60 per month,  which shall be reduced in accordance with the limitation prescribed on the  combined payments to all beneficiaries of a member.(i) Subject to the conditions set forth in Section 14-120, the minimum  total survivors annuity benefit payable to the survivors annuity beneficiaries  of a deceased member or annuitant whose death occurs on or after January  1, 1984, shall be 50% of the amount of retirement annuity that was or would  have been payable to the deceased on the date of death, regardless of the  age of the deceased on such date.  If the minimum total benefit provided  by this subsection exceeds the maximum otherwise imposed by this Section,  the minimum total benefit shall nevertheless be payable.  Any increase in  the total survivors annuity benefit resulting from the operation of this  subsection shall be divided among the survivors annuity beneficiaries of  the deceased in proportion to their shares of the total survivors annuity  benefit otherwise payable under this Section.(j) Any survivors annuity beneficiary whose annuity terminates due to any  condition specified in this Article other than death shall be entitled to  a refund of the excess, if any, of the accumulated contributions of the  member plus credited interest over all payments to the member and beneficiary  or beneficiaries, exclusive of the single sum payment of $1,000, provided  no future survivors or reversionary annuity benefits are payable.(k) Upon the death of the last eligible recipient of a survivors  annuity the excess, if any, of the member's accumulated contributions plus  credited interest over all annuity payments to the member and survivors  exclusive of the single sum payment of $1000, shall be paid to the named  beneficiary of the last eligible survivor, or if none has been named, to  the estate of the last eligible survivor, provided no reversionary annuity  is payable.(l) On January 1, 1981, any survivor who was receiving a survivors  annuity on or before January 1, 1971, shall have his survivors annuity then  being paid increased by 1% for each full year which has elapsed from the  date the annuity began.  On January 1, 1982, any survivor who began receiving  a survivor's annuity after January 1, 1971, but before January 1, 1981,  shall have his survivor's annuity then being paid increased by 1% for each  full year that has elapsed from the date the annuity began.  On January 1, 1987, any survivor who began receiving a survivor's annuity  on or before January 1, 1977, shall have the monthly survivor's annuity  increased by $1 for each full year which has elapsed since the date the  survivor's annuity began.(m) Beginning January 1, 1990, every survivor's annuity shall be increased  (1) on each January 1 occurring on or after the commencement of the annuity if  the deceased member died while receiving a retirement annuity, or (2) in  other cases, on each January 1 occurring on or after the first anniversary  of the commencement of the annuity, by an amount equal to 3% of the current  amount of the annuity, including any previous increases under this Article.   Such increases shall apply without regard to whether the deceased member  was in service on or after the effective date of Public Act 86-1488,  but shall not accrue for any period prior to January 1, 1990.    (Source: P.A. 95-1043, eff. 3-26-09.)