Lump-Sum Settlement:
If the retiree chose retirement Plan A or Plan B – Option 1, the deceased retiree’s beneficiary(ies) could be eligible for a lump sum refund, and will need to provide TRS the following:
- A Beneficiary Withdrawal Application
- A photocopy of the death certificate (TRS must have this before any claims are paid).
- Repayment of benefits issued after month in which the retiree died (if applicable).
For example, if a retiree dies in June, monthly payments issued July and forward must be returned to TRS. (TRS must receive repayment before any claims are paid).
Additional issues:
- If the beneficiary is a minor, TRS needs a copy of guardianship papers.
- If the beneficiary is the Estate of the retiree, TRS needs Executorship papers.
- If the beneficiary is unable to conduct financial transactions, TRS needs Power of Attorney papers.
If multiple beneficiaries are chosen, the lump sum settlement is divided equally unless otherwise stated on the retiree’s retirement application.
If the beneficiary predeceases the retiree, a lump-sum refund (when applicable) will be made the deceased retiree’s estate. TRS will need a photocopy of the beneficiary’s death certificate.