Tex. Gov't Code Section 814.110
Increasing Annuity Option


(a)

A member who is eligible for a service retirement annuity not reduced because of age may select a standard retirement annuity or an optional service retirement annuity described by Section 814.108 (Optional Service Retirement Benefits) together with the option for an increasing annuity as described by this section.

(b)

The retirement system shall provide the increasing annuity option by reducing the member’s annuity for an appropriate implementation period beginning immediately after the member’s retirement and annually increasing the amount of the annuity by two percent or by another percentage rate, as determined by the system under Subsection (c), for each year during the applicable implementation period.

(c)

The retirement system may offer other increasing annuity options similar to the option described by Subsection (b), including increasing annuity options providing a different percentage rate of increase or a different implementation period.

(d)

If a member elects to receive an increasing annuity option under this section, the member’s annuity must be calculated to reflect the option selected and be actuarially equivalent to a standard or optional service retirement annuity, as applicable, that the member would have been entitled to had the member not elected to receive the option. The annuity must be computed to result in no actuarial loss to the retirement system.

(e)

The increasing annuity option under this section may be elected only once by a member and may not be elected by a retiree. A member retiring under the proportionate retirement program under Chapter 803 (Proportionate Retirement Program) is not eligible for the option.

(f)

This section does not apply to:

(1)

a disability retirement annuity; or

(2)

an annuity based on service credited in the elected class.

(g)

Before a retiring member selects an increasing annuity option under this section, the retirement system must provide a written notice to the member of the amount by which the member’s annuity will be reduced and the implementation period applicable because of that selection. The retirement system shall maintain a copy of the notice required under this subsection that is signed by the member.

(h)

The board of trustees may adopt rules for the implementation of this section.
Added by Acts 2023, 88th Leg., R.S., Ch. 403 (H.B. 1393), Sec. 1, eff. September 1, 2023.

Source: Section 814.110 — Increasing Annuity Option, https://statutes.­capitol.­texas.­gov/Docs/GV/htm/GV.­814.­htm#814.­110 (accessed Jun. 5, 2024).

814.001
Types of Benefits
814.002
Benefits from Both Membership Classes
814.003
Effective Date of Retirement
814.004
When Benefits Are Payable
814.005
Waiver of Benefits
814.006
Simultaneous Death of Member and Beneficiary
814.007
Beneficiary Causing Death of Member or Annuitant
814.008
Change of Beneficiary After Retirement
814.009
Deduction from Annuity for State Employee Organization
814.010
Electronic Filing of Beneficiary Designation
814.011
Lump-sum Payments in Lieu of Annuities
814.012
Disposition of Unclaimed Beneficiary Benefits
814.0095
Charitable Deduction from Annuity
814.0096
Coordination with State Employee Charitable Campaign Policy Committee
814.101
Application for Service Retirement Benefits
814.102
Eligibility of Elected Members for Service Retirement
814.103
Service Retirement Benefits for Elected Class Service
814.104
Eligibility of Member for Service Retirement
814.105
Service Retirement Benefits for Employee Class Service
814.107
Service Retirement Benefits for Certain Peace Officers
814.108
Optional Service Retirement Benefits
814.110
Increasing Annuity Option
814.201
Application for Disability Retirement Benefits
814.202
Eligibility for Disability Retirement
814.203
Certification of Disability
814.204
Information About Occupational Disability
814.205
Disability Retirement Benefits for Elected Class Service
814.206
Disability Retirement Benefits for Employee Class Service
814.207
Disability Retirement Benefits for Certain Peace Officers
814.208
Medical Examination of Disability Retiree
814.210
Restoration of Disability Retiree to Active Service
814.211
Refund at Annuity Discontinuance
814.301
Selection of Death Benefit Plan by Member
814.302
Selection of Death Benefit Plan by Survivor of Member
814.304
Annuity for Survivor of Elected Member
814.305
Annuity for Survivor of Law Enforcement or Custodial Officer
814.401
Member Death Benefits Generally
814.402
Member Occupational Death Benefits
814.403
Return of Contributions
814.404
Assignment of Death Benefit for Funeral Services
814.501
Retiree Death Benefits Generally
814.503
Occupational Disability Retiree Death Benefits
814.504
Assignment of Death Benefit for Funeral Services
814.505
Return of Excess Contributions in Other Circumstances
814.601
Annuity Increase After Death or Retirement
814.602
Adjustment to Annuities
814.603
Supplemental Payments
814.604
Cost-of-living Adjustment
814.1005
Inapplicability of Subchapter to Cash Balance Group Members
814.1081
Change in Annuity Selection
814.1082
Partial Lump-sum Option
814.2055
Average Monthly Compensation

Accessed:
Jun. 5, 2024

§ 814.110’s source at texas​.gov