Montana Code 19-20-603. Withdrawal from membership — refund of accumulated contributions — options
19-20-603. Withdrawal from membership — refund of accumulated contributions — options. (1) (a) An inactive member may apply at any time to withdraw from membership in the retirement system and receive a refund of the member’s accumulated contributions.
Terms Used In Montana Code 19-20-603
- Employer: means :
(a)the state of Montana;
(b)a public school district, as provided in 20-6-101 and 20-6-701;
(c)the office of public instruction;
(d)the board of public education;
(e)an education cooperative;
(f)the Montana school for the deaf and blind, as described in 20-8-101;
(g)the Montana youth challenge program, as defined in 10-1-101;
(h)a correctional facility, as defined in 41-5-103;
(i)the Montana university system;
(j)a community college; or
(k)any other agency, political subdivision, or instrumentality of the state that employs a person who is designated a member of the retirement system pursuant to 19-20-302. See Montana Code 19-20-101
- Individual: means a human being. See Montana Code 19-20-101
- Member: means a person who has an individual account in the annuity savings account. See Montana Code 19-20-101
- Position reportable to the retirement system: means a position in which an individual performs duties that would entitle the person to active membership in the retirement system under the provisions of 19-20-302. See Montana Code 19-20-101
- Service: means the performance of duties that would entitle the person to active membership in the retirement system under the provisions of 19-20-302. See Montana Code 19-20-101
- Tier one member: means a person who became a member before July 1, 2013, and who has not withdrawn the member's account balance. See Montana Code 19-20-101
- Tier two member: means a person who became a member on or after July 1, 2013, or who, after withdrawing the member's account balance, became a member again after July 1, 2013. See Montana Code 19-20-101
(b)An active member may apply to withdraw from membership in the retirement system and receive a refund of the member’s accumulated contributions no sooner than 30 days before the date of the member’s termination from employment in all positions reportable to the retirement system.
(c)The application must be made on a form or in a manner prescribed by the retirement system and is not complete until all required supporting documentation is provided. The application is void if the documentation is not provided within 60 days after the application date.
(2)The retirement system shall refund a withdrawing member’s accumulated contributions after the latest of the following dates:
(a)the last day of the month in which the member terminated employment in all positions reportable to the retirement system;
(b)the last day of the last month for which the employer reported to the retirement system compensation paid to the member; or
(c)the date that the member’s application to withdraw is complete.
(3)A member’s withdrawal and refund under this section:
(a)is irrevocable after the refund has been processed by the retirement system;
(b)constitutes forfeiture of the member’s creditable service and any right to a benefit pursuant to that service;
(c)terminates the member’s membership in the retirement system; and
(d)terminates a withdrawn tier one member‘s status as a tier one member.
(4)An individual who has withdrawn and later returns to employment in a position reportable to the retirement system may purchase the forfeited creditable service as provided in 19-20-427. However, a tier one member who withdraws and returns to employment in a position reportable to the retirement system must return as a tier two member even if the member purchases the forfeited creditable service.
(5)The withdrawal application of a member is void if the member is reported to the retirement system for current employment in a position reportable to the retirement system before the refund is processed.