Cost-of-Living Adjustment (COLA)
This annual adjustment, based on the cost-of-living index, will permanently increase your retirement benefit. To be eligible for annual COLAs, you must be:
- Age 62 or older and retired five years or more;
- Age 55 or older and retired ten years or more; or
- A disability retiree who has been retired five or more years.
We will notify you when your COLA payments will begin shortly after you meet the requirements. Your first payment will be retroactive to your eligibility date. Once COLA payments start, they will continue automatically and your benefit will be adjusted every September.
For more information, please refer to our brochure, Permanent COLA (VO1863). COLA information is also available on our automated information line (see the Contact Us section).
Health Insurance
We do not administer health insurance programs. However, we can deduct premiums from your monthly retirement benefit to pay for your health insurance coverage if your former employer requests it. Whenever your premiums change, we will notify you. Please direct any questions about your health insurance coverage or premium deductions to your former employer. If you retired from a New York State agency, you can contact the New York State Department of Civil Service at 1-800-833-4344 or 518-457-5754 between 9:00 am and 3:00 pm or write to:
New York State Department of Civil Service
Employee Benefits Division
Albany, NY 12239.
Medicare
If you retired from a New York State agency and enrolled in a health insurance plan through the New York State Health Insurance Program (NYSHIP), you are reimbursed for the usual cost of the Medicare Part B (medical insurance) premium through your retirement benefit, unless you receive reimbursement from another source. Please direct any questions about your premium to the New York State Department of Civil Service at one of the phone numbers listed in the Health Insurance section above.
Divorce and Domestic Relations Orders
If you are divorced or become divorced during your retirement, your retirement benefit may be considered a marital asset and subject to equitable distribution. Equitable distribution is the division of marital assets between spouses after the marriage has ended, which must be stated in the form of a domestic relations order (DRO). Ensuring a DRO is on file with NYSLRSwhen issued will prevent delay of your retirement benefit calculation when you apply for retirement.
After a divorce, it is especially important to review your beneficiary designations to ensure your benefits will be distributed according to your wishes. As of July 7, 2008, beneficiary designations for certain benefits are revoked when a divorce, annulment or judicial separation becomes final, unless a DRO specifies otherwise. Beneficiary designations may be revoked for the ordinary death benefit, the Cash Refund — Initial Value option (Tier 1), the Cash Refund — Contributions option [Employees’ Retirement System (ERS) and Police and Fire Retirement System (PFRS) Tiers 1 and 2 and PFRS Tier 3 under Article 11] and the Five and Ten Year Certain options. The designation of beneficiaries for a survivor’s benefit by retirees who chose the Single Life Allowance option or certain alternative options may also be revoked.
For more information on how divorce may affect your benefits, consult your attorney, contact our Matrimonial Bureau or read our Divorce and Your Benefits page.
Child Support or Alimony
If we receive a child support or alimony order from your county’s social services department, we must withhold the amount from your retirement benefit. However, such payments cannot exceed 65 percent of your disposable income.
Federal Tax Liens
If you owe back taxes, the Internal Revenue Service (IRS) can place a tax lien on your retirement benefit, taking all or a part of it until you’ve paid the debt in full.
Federal Income Tax Withholding
Your monthly benefit payment may change if there is a change in the income tax withholding tables published by the IRS, or if you submit a tax withholding form (which indicates a specific amount to withhold or a marital status and number of dependents). See the Review Your Withholding Regularly section for more information about the tax withholding form.
Post-Retirement Death Benefit
Your beneficiaries may be eligible for a post-retirement death benefit if you are a Tier 2, 3, 4, 5 or 6 retiree and you retired directly from service or within one year of leaving covered employment. This payment is in addition to any retirement benefit, depending on your option choice at retirement.
There is no post-retirement death benefit available to the beneficiaries of:
- Tier 1 retirees;
- Tier 2, 3, 4, 5 or 6 retirees who did not retire within one year of leaving covered employment;
- New York State correction officers;
- Tier 3, 4, 5 and 6 county correction officers; or
- Tier 2, 3, 5, or 6 Police and Fire Retirement System members who retired under a special 20- or 25-year plan without regard to age.
For more information about the post-retirement death benefit, including eligibility and benefit calculation, please refer to your plan booklet on our Publications page.
You can change your death benefit beneficiaries at any time. Retirement Online is a convenient and secure way to update your beneficiary information. Register or Sign In, then click Update My Beneficiaries. You can also order the form to change your designation directly from our automated information line. However, we cannot disclose beneficiary information by phone.
Pension Payment Option Beneficiary
If you chose one of the following retirement options, you may change your pension beneficiary designation at any time:
- Cash Refund — Contributions [ERS and PFRSTiers 1 and 2 and PFRS Tier 3 (under Article 11) members with contributions on deposit];
- Cash Refund — Initial Value (Tier 1);
- Five or Ten Year Certain; or
- Alternative Option (depending on the terms of payment).
To do this, complete a Pensioner’s Designation of Beneficiaries form 
(RS4411), available from our automated information line or on our website.
(RS4411), available from our automated information line or on our website.
If you chose an option that assures a continuing benefit to a survivor (a Joint Allowance), you cannot change your beneficiary. If you chose a Pop-Up Joint Allowance and your beneficiary dies before you, please send us a photocopy of your beneficiary’s death certificate. We will increase your benefit to the Single Life Allowance amount. Register or Sign In to your Retirement Online account to view the option you elected at retirement.
Please note: Members who have designated a former spouse as their option beneficiary pursuant to a DROare not permitted to select a pension payment option that conflicts with the court’s order.
Survivor’s Benefit
If you were a New York State agency employee and meet certain conditions, your beneficiaries may be entitled to a survivor’s benefit upon your death: $2,000 if you retired between October 1, 1966, and March 31, 1970; $3,000 if you retired on or after April 1, 1970. For more information, read our brochure, Survivor’s Benefit Program for Retired State Employees(VO1860).
If you are a retired New York State agency employee who meets the conditions for the Survivor’s Benefit Program, your Survivor’s Benefit beneficiary is the same as your retirement option beneficiary.
- If the retirement option you chose allows you to change your beneficiary, changing the option beneficiary will automatically change your beneficiary for the Survivor’s Benefit Program. You should complete the Designation of Beneficiaries form (RS4411) to make this change.
- If you elected the Single Life Allowance at retirement, you must name a beneficiary for this program. We will send you a Survivor’s Benefit Program Designation of Beneficiaries form (RS6361-B) shortly after retirement. With this option, you may change your Survivor’s Benefit beneficiary at any time.
- If the option you chose does not allow you to change your beneficiary after retirement (Joint Allowances and Pop-Up Joint Allowances) and your beneficiary dies before you, you may name a new beneficiary for the Survivor’s Benefit Program by completing the Survivor’s Benefit Program Designation of Beneficiaries form (RS6361-B) and providing us with a photocopy of your beneficiary’s death certificate. Please contact our Call Center for this form; it is not available on our website.
The Survivor’s Benefit Program Designation of Beneficiaries form (RS6361-B) and any related attachments should be sent to: