{"data":{"id":"us-ok/okla.-stat.-tit.-47-47-2-307.5","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 47, § 47-2-307.5","heading":"Transferred credited service - Computation of purchase","body":"price.\n\nA. The Board shall adopt rules for computation of the purchase\n\nprice for transferred credited service. These rules shall base the\n\npurchase price for each year purchased on the actuarial cost of the\n\nincremental projected benefits to be purchased. The purchase price\n\nshall represent the present value of the incremental projected\n\nbenefits discounted according to the member's age at the time of\n\npurchase. Incremental projected benefits shall be the difference\n\nbetween the projected benefit said member would receive without\n\npurchasing the transferred credited service and the projected\n\nbenefit after purchase of the transferred credited service computed\n\nas of the earliest age at which the member would be able to retire.\n\nSaid computation shall assume an unreduced benefit and be computed\n\nusing interest and mortality assumptions consistent with the\n\nactuarial assumptions adopted by the Board for purposes of preparing\n\nthe annual actuarial evaluation.\n\nB. In the event that the member is unable to pay the purchase\n\nprice provided for in this section by the due date, the Board shall\n\npermit the members to amortize the purchase price over a period not\n\nto exceed sixty (60) months. Said payments shall be made by payroll\n\ndeductions unless the Board permits an alternate payment source.\n\nThe amortization shall include interest in an amount not to exceed\n\nthe actuarially assumed interest rate adopted by the Board for\n\ninvestment earnings each year. Any member who ceases to make\n\npayment, terminates, retires or dies before completing the payments\n\nprovided for in this section shall receive prorated service credit\n\nfor only those payments made, unless the unpaid balance is paid by\n\nsaid member, his or her estate or successor in interest within six\n\n(6) months after said member's death, termination of employment or\n\nretirement, provided no retirement benefits shall be payable until\n\nthe unpaid balance is paid, unless said member or beneficiary\n\naffirmatively waives the additional six-month period in which to pay\n\nthe unpaid balance. Notwithstanding anything herein to the\n\ncontrary, lump-sum payments for a transferred credited service\n\npurchase may be made by a cash lump-sum payment; a trustee-to-\n\ntrustee transfer of non-Roth funds from a Code Section 403(b)\n\nannuity or custodial account, an eligible deferred compensation plan\n\ndescribed in Code Section 457(b) which is maintained by an eligible\n\nemployer described in Code Section 457(e)(1)(A), and/or a Code\n\nSection 401(a) qualified plan; a direct rollover of tax-deferred\n\nfunds from a Code Section 403(b) annuity or custodial account, an\n\neligible deferred compensation plan described in Code Section 457(b)\n\nwhich is maintained by an eligible employer described in Code\n\nSection 457(e)(1)(A), a Code Section 401(a) qualified plan, and/or a\n\nCode Section 408(a) or 408(b) traditional or conduit Individual\n\nRetirement Account or Annuity (IRA); or a combination of the\n\nforegoing methods. Roth accounts, Coverdell Education Savings\n\nAccounts and after-tax contributions shall not be used to purchase\n\ntransferred credited service.\n\nA member making installment payments shall have the option of\n\nmaking a lump-sum payment for the balance of the actuarial purchase\n\nprice with interest due through the date of payment by a cash lump-\n\nsum payment; a trustee-to-trustee transfer of non-Roth funds from a\n\nCode Section 403(b) annuity or custodial account, an eligible\n\ndeferred compensation plan described in Code Section 457(b) which is\n\nmaintained by an eligible employer described in Code Section\n\n457(e)(1)(A), and/or a Code Section 401(a) qualified plan; a direct\n\nrollover of tax-deferred funds from a Code Section 403(b) annuity or\n\ncustodial account, an eligible deferred compensation plan described\n\nin Code Section 457(b) which is maintained by an eligible employer\nhich is\n\nmaintained by an eligible employer described in Code Section\n\n457(e)(1)(A), and/or a Code Section 401(a) qualified plan; a direct\n\nrollover of tax-deferred funds from a Code Section 403(b) annuity or\n\ncustodial account, an eligible deferred compensation plan described\n\nin Code Section 457(b) which is maintained by an eligible employer\n\ndescribed in Code Section 457(e)(1)(A), a Code Section 401(a)\n\nqualified plan, and/or a Code Section 408(a) or 408(b) traditional\n\nor conduit Individual Retirement Account or Annuity (IRA); or a\n\ncombination of the foregoing methods. Roth accounts, Coverdell\n\nEducation Savings Accounts and after-tax contributions shall not be\n\nused to purchase transferred credited service. The Board shall\n\npromulgate such rules as are necessary to implement the provisions\n\nof this subsection.","path":["OK Code","Title 47"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os47.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"e83f251505bc02d38c408bf8e3622a855ca78e48f3d50aa86c96ca4b8199ced9","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-47-47-2-307.4","next":"us-ok/okla.-stat.-tit.-47-47-2-307.7"},"notice":"GroundRules: Original legal text. Not legal advice."}