N.Y. Retirement & Social Security Law § 138-b: Use of annuity contributions to pay old-age and survivors insurance contributions

§ 138-b. Use of annuity contributions to pay old-age and survivors

insurance contributions. 1. Where a retirement system or plan provides

retirement allowances consisting of separate pensions and separate

annuities, each member thereof whose position is also covered by old-age

and survivors insurance pursuant to this article and each member thereof

whose wages in a position entitling him to membership in such retirement

system or plan are subject to the tax imposed by the federal insurance

contribution act shall have the privilege, by written notice filed as

prescribed by the head of such system or plan, of decreasing his annuity

contribution to the system or plan by not to exceed the amounts required

to pay his contributions for such old-age and survivors insurance

coverage or by not to exceed the amounts required to pay the tax, if

any, imposed upon him pursuant to the federal insurance contribution

act, including, in each case, retroactive coverage where it is provided.

Where and during such period of time that a member's rate of

contribution is reduced because his employer contributes toward

pensions-providing-for-increased-take-home-pay pursuant to section

seventy-a of this chapter or a similar provision of law, the privilege

provided by this section shall be available only to the extent of

annuity contributions which the member is still required to make to the

retirement system or plan.

2. No pension otherwise payable by such a retirement system or plan

shall be increased by reason of any such reduction in annuity

contributions.

3. The head of each such system or plan shall have power, by rule and

regulation, to prescribe terms and conditions for the exercise,

withdrawal and re-exercise of such privilege. Such rules and regulations

shall be in the best interests of such system or plan and of the

affected employees and for the protection of the efficient operation and

management of the system or plan.