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  • MSEP 2011 Survivor Benefits

    Jan 8, 2018, 8:03 AM By MOSERS

    I am a MSEP 2011 Employee and had a question regarding the new retirement benefit plan. I understand you can now become vested at 5 years instead of 10, but my question is, if my spouse and I are both deceased before the retirement age, who will receive my benefits? The previous handbook states if there is no eligible spouse, a total of 80% of your monthly base benefits will be paid to your natural or legally adopted children who are younger than age 21. Who will have children at the retirement age of 67 under the age of 21? A vast majority of employees will not have dependent children at retirement age, so where will the retirement benefits go then? Will there be a new MSEP2011 general employee handbook sent out soon? 

    It is accurate that, if you are an active general state employee, married, vested in MOSERS, and die before you retire with MOSERS, your eligible surviving spouse will receive survivor benefits, and also that if there is no surviving spouse, a survivor benefit is payable to your natural or legally adopted child(ren) younger than age 21. If you die without any eligible beneficiaries, no survivor benefits are paid.

    If you made employee contributions to MOSERS and die without any eligible survivors, a refund of your contributions plus interest will be made to the beneficiary(ies) you have listed on your Contribution Beneficiary(ies) form or as otherwise permitted by law.

    All of the above information applies if you die while actively employed and BEFORE you begin receiving your MOSERS pension benefit. Members often have similar questions about death AFTER retirement. A key feature of your MOSERS defined benefit (DB) pension plan is that it can provide financial security for your eligible survivor(s) as well. During the retirement process, you will make elections to determine if any potential survivor benefits will be paid to anyone after your death or not – to a spouse if you are married, or, potentially, to another beneficiary.

    If you terminate employment, then die before retirement, other stipulations apply. Effective January 1, 2018 for MSEP 2011 terminated-vested members: If you die after leaving state employment but prior to normal retirement eligibility age, monthly pension benefits will be payable to your eligible survivor(s) when you would have reached normal retirement eligibility. Please see the updated MSEP 2011 Handbookon our website for more information.

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  • MSEP 2011 Retirement Eligibility

    Jan 4, 2018, 10:00 AM By MOSERS

    I know that the 10 years vested has been reversed back to 5 years, however I'm inquiring where the process is with going back to 80 & out vs. 90 & out. Is this still on the table?

    We are not aware of any plans to change retirement eligibility requirements.

    The 5-year vesting for MSEP 2011 members went into effect on 1/1/2018, and MSEP 2011 members must be actively employed on or after 1/1/2018 to be covered by this change.

    Members of MSEP 2011* will become eligible for normal retirement when they reach age 67 and have at least 5 years of service OR under the “Rule of 90,” which is when they are at least age 55 and their age and service equals 90 prior to leaving state employment.

    The 2018 legislative session began January 3 and will end on May 18th. We do not know what might happen with individual bills during the legislative session, but we will monitor all legislation impacting MOSERS and inform our members of any changes that become law.

    *Members of MSEP 2011 are those who were first employed in a MOSERS benefit-eligible position on or after January 1, 2011.

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We strive to provide the most accurate information possible in our answers to Rumor Central questions. However, occasionally, laws, policies or provisions change and individual circumstances may vary. Please contact a MOSERS benefit counselor or see the handbooks in our website Library for more detailed information. If there is any difference between the information provided in this blog or on the MOSERS website and the law or policies that govern MOSERS, the law and policies will prevail. See our Privacy, Security & Legal Notices for more information.