Who are eligible beneficiaries under each option?
With your retirement application forms, you receive an Election of Pension Option form (R177B) which requires a beneficiary designation. Under the Straight Life option, only your spouse (or eligible dependent children if there is no surviving spouse) is entitled to a survivor’s benefit. Under Options A and B you may designate any of the following as a retirement allowance beneficiary: spouse, child or adopted child, brother, sister, or parent. If there is no eligible beneficiary for monthly survivor benefits, any person(s) may be named as a refund beneficiary. If you die before the total pension amount you have received equals or exceeds your personal accumulated contributions and interest on deposit when you retired, your refund beneficiary receives the balance in a lump sum payment.
