Section 1540.401  Implementation of Section 14-110(a-5) of the Code

a)         The term, "files for the retirement benefit with the System" as used in Section 14-110(a-5) of the Code means all of the following events necessary to validate the member's eligibility for the retirement annuity and to process the estimated payment provided in Section 14-110(a-5) of the Code have occurred, which includes:

1)         The member's completed retirement application has been received;

2)         A copy of the member's birth certificate has been received;

3)         The member's completed tax withholding form has been received;

4)         The member's completed State Group Insurance Plan election form has been received;

5)         The member's completed direct deposit agreement, or their written authorization to issue payments by paper check form has been received;

6)         If the member is married, a copy of the member's marriage certificate and a copy of their spouse's birth certificate form have been received;

7)         If the member is widowed and single, a copy of the member's deceased spouse's death certificate or obituary form has been received;

8)         If the member is divorced and single, a copy of the divorce decree has been received;

9)         If the member or dependent is eligible for Medicare, a copy of the Medicare card has been received;

10)       The member's final payment for compensation for personal services has been recorded with the System;

11)       No contribution arrearages or unpaid service credit purchase balances associated with the member's account exist; 

12)       The member's irrevocable election to receive an estimated payment has been received;

13)       The member's completed election as required under Section 14-147.6(b) of the Code form has been received; and

14)       A completed Employer Statement in which the member's employer certified the member's last day of service and their last rate of compensation form has been received.

b)         The term, "best estimate" as used in Section 14-110(a-5) of the Code utilizes the monthly rate of compensation received by the person on the last day of their eligible creditable service as the final average compensation component of the retirement annuity calculation.

(Source:  Added at 50 Ill. Reg. 353, effective December 26, 2025)