2023 New Mexico Statutes › Chapter 10 - Public Officers and Employees › Article 12C - Magistrate Retirement › Section 10-12C-13.2 - Form of pension payment.

A. Straight life pension is form of payment A. The retired member is paid the pension for life under form of payment A. All payments stop upon the death of the retired member, except as provided by Subsection E of this section. The amount of pension is determined in accordance with the coverage plan applicable to the retired member.
B. Life payments with full continuation to one survivor beneficiary is form of payment B. The retired member is paid a reduced pension for life under form of payment B. When the retired member dies, the designated survivor beneficiary is paid the full amount of the reduced pension until death or in the event that a supplemental needs trust is the designated survivor beneficiary, the termination of that trust or the death of the beneficiary of that trust. If the designated survivor beneficiary or the beneficiary of a supplemental needs trust predeceases the retired member or if the supplemental needs trust terminates while the retired member is living, the amount of pension shall be changed to the amount that would have been payable had the retired member elected form of payment A.
C. Life payment with one-half continuation to one survivor beneficiary is form of payment C. The retired member is paid a reduced pension for life under form of payment C. When the retired member dies, the designated survivor beneficiary is paid one-half the amount of the reduced pension until death or in the event that a supplemental needs trust is the designated survivor beneficiary, the termination of that trust or the death of the beneficiary of that trust. If the designated survivor beneficiary or the beneficiary of a supplemental needs trust predeceases the retired member or if the supplemental needs trust terminates while the retired member is living, the amount of pension shall be changed to the amount that would have been payable had the retired member elected form of payment A.
D. Life payments with temporary survivor benefits for children is form of payment D. The retired member is paid a reduced pension for life under form of payment D. When the retired member dies, each declared eligible child is paid a share of the reduced pension until death or age twenty-five years, whichever occurs first. The share is the share specified in writing and filed with the association by the retired member. If shares are not specified in writing and filed with the association, each declared eligible child is paid an equal share of the reduced pension. A redetermination of shares shall be made when the pension of any child terminates. An eligible child is a natural or adopted child of the retired member who is under age twenty-five years. A declared eligible child is an eligible child whose name has been declared in writing and filed with the association by the retired member at the time of election of form of payment D. The amount of pension shall be changed to the amount of pension that would have been payable had the retired member elected form of payment A upon there ceasing to be a declared eligible child during the lifetime of the retired member.
E. If all pension payments permanently terminate before there is paid an aggregate amount equal to the retired member's accumulated member contributions at the time of retirement, the difference between the amount of accumulated member contributions and the aggregate amount of pension paid shall be paid to the retired member's refund beneficiary. If no refund beneficiary survives the retired member, the difference shall be paid to the estate of the retired member.
History:
1978 Comp., § 10-12C-13.2, enacted by Laws 2014, ch. 39, § 12; 2014, ch. 43, § 12; 2023, ch. 156, § 15.
ANNOTATIONS
The 2023 amendment,
effective June 16, 2023, allowed a supplemental needs trust to be named as a survivor or refund beneficiary; in Subsection B, after "reduced pension until death", added "or in the event that a supplemental needs trust is the designated survivor beneficiary, the termination of that trust or the death of the beneficiary of that trust", after "the designated survivor beneficiary", added "or the beneficiary of a supplemental needs trust", and after "predeceases the retired member", added "or if the supplemental needs trust terminates while the retired member is living"; and in Subsection C, after "reduced pension until death", added "or in the event that a supplemental needs trust is the designated survivor beneficiary, the termination of that trust or the death of the beneficiary of that trust", after "the designated survivor beneficiary", added "or the beneficiary of a supplemental needs trust", and after "predeceases the retired member", added "or if the supplemental needs trust terminates while the retired member is living".
Severability.
— Laws 2014, ch. 43, § 16 provided that if any part or application of Laws 2014, ch. 43 is held invalid, the remainder or its application to other situations or persons shall not be affected.