{"data":{"id":"us-ky/krs-67a.690","jurisdiction":"us-ky","citation":"KRS 67A.690","heading":"Increase in retirement annuity.","body":"(1) (a) The increase in retirement annuities provided and authorized by paragraphs\n(b) and (c) of this subsection shall be provided when:\n1. A member who retired prior to July 1, 2013, has been retired for one (1)\nyear or attained forty-seven (47) years of age, whichever is later;\n2. The member would have been retired for one (1) year or attained forty -\nseven (47) years of age, whichever is later, in the event the member died\nprior to July 1, 2013;\n3. A member who retires on or after July 1, 2013, has been retired f ive (5)\nyears or attained fifty (50) years of age, whichever is sooner; or\n4. The member would have been retired for five (5) years or attained fifty\n(50) years of age, whichever is sooner, in the event the member dies on\nor after July 1, 2013.\n(b) Except as provided by paragraph (c) of this subsection, for each member,\nwidow, or dependent child who is eligible for an increase in retirement\nannuities as provided by paragraph (a) of this subsection, the board shall\nincrease his or her retirement annuity by:\n1. Two percent (2%) per year, compounded annually, if the member,\nwidow, or dependent child is receiving an annualized retirement annuity\nof less than forty thousand dollars ($40,000);\n2. One and one -half percent (1.5%) per year, compounded annually, if th e\nmember, widow, or dependent child is receiving an annualized\nretirement annuity of at least forty thousand dollars ($40,000) but less\nthan seventy-five thousand dollars ($75,000); or\n3. One percent (1%) per year, compounded annually, if the member,\nwidow, or dependent child is receiving an annualized retirement annuity\nequal to or greater than seventy -five thousand dollars ($75,000), except\nthat no member, widow, or dependent child receiving an annualized\nretirement annuity equal to or greater than one hu ndred thousand dollars\n($100,000) shall receive an increase in his or her retirement annuity until\nJanuary 1, 2016.\n(c) If the fund has an actuarial funding level greater than eighty -five percent\n(85%), as determined by the most recently completed actuaria l valuation of\nthe fund, the board shall, in lieu of the increase provided by paragraph (b) of\nthis subsection, increase retirement annuities for members, widows, and\ndependent children as follows, provided the increase meets the requirements\nof paragraph (d) of this subsection:\n1. For members whose participation date in the fund is prior to March 14,\n2013, who are eligible for an increase in retirement annuities as provided\nby paragraph (a) of this subsection, the board may increase retirement\nannuities by an amount not less than two percent (2%) nor more than\nfive percent (5%) per year, compounded annually;\n2. For members whose participation date in the fund is on or after March\n14, 2013, who are eligible for an increase in retirement annuities as\nprovided by paragraph (a) of this subsection, the board may increase\nretirement annuities by an amount not more than three percent (3%) per\nyear, compounded annually; and\n3. Increases provided under this paragraph shall be in lieu of the increases\nprovided under paragraph (b) of this subsection.\n(d) The board shall determine annually whether an increase in retirement\nannuities can be provided under paragraph (c) of this subsec tion. No increase\nin retirement annuities shall be provided under paragraph (c) of this\nsubsection, if the increase in retirement annuities will reduce the actuarial\nfunding level of the fund below eighty-five percent (85%).\n(2) Beginning July 1, 2001, not withstanding any other provision to the contrary, any\nmember, retired prior to July 1, 2013, under occupational disability, as provided in\nKRS 67A.460, or nonoccupational disability shall be entitled to an increase in his or\nher annuity, or in the event of  death the annuity paid to his or her spouse or\ndependent, after he or she has been retired one (1) year regardless of age or date of\nretirement. A member retiring under occupational disability, as provided in KRS\n67A.460, or nonoccupational disability, on  or after July 1, 2013, shall be entitled to\nan increase in his or her annuity as provided by subsection (1) of this section. The\namount of the annual increase shall be the same as described in subsection (1) of\nthis section, compounded annually, and the i ncrease shall be determined and\ngranted annually thereafter by the board. For a member retired on occupational\ndisability for a length of time in excess of one (1) year prior to June 21, 2001, the\nboard shall increase the member's annuity as described in t his paragraph, on July 1,\n2001, and each July 1 thereafter.\n(3) (a) A member who retired pursuant to the provisions of KRS 67A.360 to 67A.690\nprior to July 15, 1980, or pursuant to KRS 67A.690(2) after July 15, 1980, or\nhis surviving spouse or eligible sur viving children, shall receive an upward\nadjustment in their retirement or survivor's annuity by calculation of a two\npercent (2%) annual increase compounded from July 1, 1974, until July 15,\n1980, and annual increases compounded, from July 15, 1980, until  July 15,\n1990, in the same percentage amount by which the pension board increased\nother pensions pursuant to subsection (1) of this section for those same years.\nFor purposes of calculation, unless the member retired under disability, the\nmember's or survivor's first increase shall occur after the member was retired\nfor one (1) year or attained the age of forty-seven (47), whichever was later, or\nwould have been retired one (1) year or reached the age of forty -seven (47),\nwhichever was later, in the event the member died before being retired one (1)\nyear or reaching the age of forty -seven (47). In the case of retirement under\ndisability, no age or length of retirement criteria shall apply.\n(b) After calculation of the new annuity level, members of age forty-seven (47) or\nmore affected by this subsection, or survivors of a member who would have\nbeen forty-seven (47) or more in the event the member is deceased, shall be\ngranted the same annual increase granted to retirees who retired July 15, 1980,\nor thereaft er, pursuant to subsection (1) of this section, and the annuity on\nwhich this cost-of-living increment is based shall be the annuity level reached\nthrough the addition of annual compounded increases calculated pursuant to\nparagraph (a) of this subsection, but not less than the annuity level in effect\nprior to July 15, 1990. If the member has not attained the age of forty -seven\n(47) or would not have attained the age of forty -seven (47) in the event the\nmember is deceased, then the member or survivor shall r eceive increases of\ntwo percent (2%) compounded annually until the member attains or would\nhave attained age forty -seven (47), at which time the same annual increase\ngranted to retirees who retired July 15, 1980, or thereafter shall apply.\n(4) The provisio ns of subsection (3) of this section shall not apply to any retiree or\nsurviving spouse who receives a minimum retirement annuity, annually adjusted,\npursuant to KRS 67A.430. If, in the future, any retiree or spouse annuity granted\npursuant to this section  falls below the adjusted minimum annuity, the affected\nretiree or spouse shall be granted, from that time forward, the adjusted minimum\nannuity calculated pursuant to KRS 67A.430.","path":["KRS Chapter 67A"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=41671","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:49:28Z","sha256":"5bcbc1b1cdd6378b4a9c8ea4bbe9f6b05238d39179b72dfb0837dcc5f1980111","source_id":"us-ky","stale":false,"prev":"us-ky/krs-67a.680","next":"us-ky/krs-67a.6901"},"notice":"GroundRules: Original legal text. Not legal advice."}