N.Y. Retirement & Social Security Law § 448: Death benefits

§ 448. 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 four hundred forty-two 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, subject to the benefit limitations set

forth in section four hundred forty-four of this article, if this

alternative provides a greater benefit, 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, the New York state and local employees'

retirement system or the New York state and local police and fire

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, the New York

state and local employees' retirement system or the New York state and

local police and fire 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.

In the case of a member of the New York state teachers' retirement

system, commencing upon attainment of age sixty-two if such member's

date of membership is prior to April first, two thousand twelve or

attainment of age sixty-three if such member's date of membership is on

or after April first, two thousand twelve, 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-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 member of the New York

state and local employees' retirement system who is permitted to retire

without regard to age or a member of the New York state and local police

and fire retirement system, commencing upon attainment of age sixty-two

if such member's date of membership is prior to April first, two

thousand twelve or attainment of age sixty-three if such member's date

of membership is on or after April first, two thousand twelve, 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-two if such member's date of membership is

prior to April first, two thousand twelve or attainment of age

sixty-three if such member's date of membership is on or after April

first, two thousand twelve, 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, the New York state teachers'

retirement system, the New York city employees' retirement system, the

New York city board of education retirement system or the New York city

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 other provision of this article, any member of

the New York state teachers' retirement system who joined on or after

July first, nineteen hundred seventy-three and before July first,

nineteen hundred seventy-four may change the election set forth in this

subdivision by filing a new election on or before June thirtieth,

nineteen hundred eighty-nine. The election filed pursuant to this

paragraph shall be irrevocable.

5. 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 benefit 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 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 subdivision b of section four

hundred forty-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.

1. 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, the New York city police pension fund, subchapter two

or the New York city fire department pension fund, subchapter two, 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.

2. Provided further, notwithstanding any other provision of this

article to the contrary, where the member is a police officer or

firefighter and would have been entitled to a service retirement benefit

at the time of his or her death and where his or her death occurs on or

after July first, two thousand, the beneficiary or beneficiaries

nominated for the purposes of this subdivision may elect to receive, in

a lump sum, an amount payable which shall be equal to the pension

reserve that would have been established had the member retired on the

date of his or her death, or the value of the death benefit and the

reserve-for-increased-take-home-pay, if any, whichever is greater,

provided further that for the purpose of determining entitlement to the

benefit provided by this subdivision, and notwithstanding subdivision j

of section three hundred forty-one of this chapter, where the member is

an officer or member of the state police the total number of days of

unused sick leave and accumulated vacation credit accrued by the member

at the time of his or her death shall be considered in meeting the total

creditable service required to qualify for a service retirement benefit

provided without regard to age where his or her death occurs on or after

July second, two thousand nine. Provided further that where such police

officer or firefighter dies on or after July first, two thousand, after

having retired from service, but before a first payment of a retirement

allowance, such person shall be deemed to have been in service at the

time of his or her death for the purposes of this subdivision only, and

provided further that the pension reserve established pursuant to this

paragraph for a person who dies after retiring from service, but before

first payment of a retirement allowance, shall be determined as of the

date of retirement and any pension payments payable for the period of

time prior to the retiree's death shall be deducted from any benefits

payable pursuant to this subdivision.

3. Provided further, notwithstanding any other provision of this

article to the contrary, where the member is in a title as defined in

subdivision i of section eighty-nine of this chapter, and would have

been entitled to a service retirement benefit at the time of such

member's death and where such member's death occurs on or after July

first, two thousand twenty-six, the beneficiary or beneficiaries

nominated for the purposes of this subdivision may elect to receive, in

a lump sum, an amount payable which shall be equal to the pension

reserve that would have been established had the member retired on the

date of such member's death, or the value of the death benefit and the

reserve-for-increased-take-home-pay, if any, whichever is greater.

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; notwithstanding any other provision of law to the

contrary, a member of the New York city employees' retirement system or

the board of education retirement system of the city of New York shall

be deemed to have died on the payroll for the purposes of this section

in the event that death occurs while such member is on an authorized

leave of absence without pay for medical reasons which has continuously

been in effect since the member was last paid on the payroll in such

service, provided, however, that such member was on the payroll in such

service and paid within the four-year period prior to his or her death;

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. Notwithstanding the provisions of any other law to the contrary and

solely for the purpose of determining eligibility for the death benefit

payable pursuant to this section, a person subject to this section shall

be considered to have died while in teaching service provided such

person was in such service 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. Provided, further, that any

such person 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 requirements.

g. A member, or on the death of such member, the person nominated by

him or her to receive his or her death benefit, may provide, by written

designation, duly executed and filed with the comptroller, that such

death benefit and the reserve-for-increased-take-home-pay shall be paid

in the form of an annuity. Such designation shall be filed prior to or

within ninety days after the death of the member. The amount of such

annuity shall be determined as the actuarial equivalent of such death

benefit and reserve on the basis of the age of such beneficiary at the

time of the member's death. For the purposes of this subdivision, the

mortality and interest rates used in determining this annuity shall be

the rates in effect on the date of the death of such member.