Post-Retirement Death Benefits

IPERS provides death benefits if a member dies during retirement. The benefit depends on the payment option the member chose at retirement. 

Death benefit options
Payment optionBeneficiary benefits
Option 1: Annuity with fixed lump-sum survivor benefitYour beneficiary(ies) receive a one-time lump-sum death benefit in the amount of your choice, in increments of $1,000, up to the amount of your contributions.
Option 2: Annuity with variable decreasing lump-sumIf gross benefits paid to you during your lifetime are less than your contributions, your designated beneficiary(ies) will receive a lump-sum payment of the remainder.
Option 3: Single life annuityNo death benefit is payable.
Option 4: 100%, 75%, 50% or 25% joint and survivor annuity

Your contingent annuitant will receive a monthly benefit for the remainder of their life. The amount of the monthly benefit will be 100%, 75%, 50% or 25% (based on the member’s election) of the monthly benefit the member was receiving before their death.

Once you start receiving monthly benefit payments, you cannot change your contingent annuitant.

Option 5: 120-month term certain annuity

If you die before receiving retirement benefits for 10 years, your designated beneficiary will be eligible for a benefit. 

  • If your beneficiary is an individual, the beneficiary will receive a monthly benefit for 120 months minus the number of payments the member received.
  • If you designate more than one beneficiary, a trust or an estate, payments will be made as a present value lump sum.

The amount of a lump-sum payment will not be the amount of the remaining 10 years of monthly payments. Instead, it will be reduced by the value of your account at the date of your death to allow for early payment to your beneficiary(ies). 

Option 6: 100%, 75%, 50% or 25% joint and survivor annuity with pop-up annuity

Your contingent annuitant receives a monthly benefit for the remainder of their life. The amount they receive will be either 100%, 75%, 50% or 25% of your monthly retirement benefit payment. When you complete your retirement application you must select the percent they will receive.

If your contingent annuitant dies before you die, your monthly benefit will increase to your Option 2 monthly value.

Report a death

Please notify IPERS as soon as possible after a death, as this will help ensure that benefits are paid properly and quickly. Benefits are paid according to the most recent beneficiary designation on file with IPERS.