Texas Government Code 820.053 – Cash Balance Benefits for Members
(a) The state match for the cash balance benefit for:
(1) service credited to the employee class of membership is an amount computed by multiplying the member’s accumulated account balance by 150 percent;
(2) service credited to the employee class of membership by a member eligible to retire under this chapter as a law enforcement or custodial officer is an amount computed by multiplying the member’s accumulated account balance by:
(A) except as provided by Paragraph (B), 150 percent; and
(B) for the portion of the accumulated account balance based on the member’s additional two percent contribution under § 820.101(b), including interest, attributable to service as a law enforcement or custodial officer, 300 percent, paid from the law enforcement and custodial officer supplemental retirement fund; and
(3) subject to Subsection (c), service credited to the elected class of membership is an amount computed by multiplying the member’s accumulated account balance by 150 percent.
(b) The retirement system shall compute a member’s cash balance annuity under this section by taking the sum of the member’s accumulated account balance and the state match computed under Subsection (a) and annuitizing that amount over the life expectancy of the member as of the effective date of the member’s retirement using mortality and other tables adopted by the board for that purpose under § 815.105.
Terms Used In Texas Government Code 820.053
- Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
(c) For purposes of this section, a member of the elected class of membership under § 812.002(a)(2) shall have the member’s accumulated account balance computed as if the contributions to the account were based on the state base salary, excluding longevity pay payable under Section 659.0445, being paid a district judge as set by the General Appropriations Act in accordance with § 659.012(a).