Annuity options are the different ways in which you can decide to receive your pension benefit once you're able to retire. The ASRS offers a variety of annuity options from which members may select upon retirement. Some members prefer to take a higher monthly pension benefit, while other members wish to take a reduced monthly pension that also leaves a beneficiary with a monthly benefit for the rest of their life once the retiree passes away.
Please review the options below to learn which annuity option may be best for you. If you would like to generate a personalized retirement estimate, you can do so within your secure myASRS account.
Note that annuity selections are made at the time of retirement and in most cases are irrevocable.
Important Note for Married Members
Married members are required to designate their spouse as a primary beneficiary to receive at least 50% of their account and elect a Joint and Survivor annuity option. A spouse may waive this right with a Spousal Consent form.
Retirement Annuity Options and Descriptions
| RETIREMENT ANNUITY OPTION | DESCRIPTION |
|---|---|
Straight Life Annuity | Provides a monthly benefit for life. If your death occurs before all of your contributions plus interest have been paid, the remaining balance will be paid to your beneficiary. There is no ongoing benefit to a beneficiary in the event of the member's death. |
Life Annuity 5-Year Certain | Provides a reduced monthly benefit for the first 5 years of payments. After 60 payments, your benefit is automatically adjusted to your Straight Life Annuity amount. If your death occurs before receiving 60 monthly payments, the ASRS will pay the remaining payments to your beneficiary until all 60 have been made. Retiree must be age 103 or younger. |
Life Annuity 10-Year Certain | Provides a reduced monthly benefit for the first 10 years of payments. After 120 payments, your benefit is automatically adjusted to your Straight Life Annuity amount. If your death occurs before receiving 120 monthly payments, the ASRS will pay the remaining payments to your beneficiary until all 120 have been made. Retiree must be age 92 or younger. |
Life Annuity 15-Year Certain | Provides a reduced monthly benefit for the first 15 years of payments. After 180 payments, your benefit is automatically adjusted to your Straight Life Annuity amount. If your death occurs before receiving 180 monthly payments, the ASRS will pay the remaining payments to your beneficiary until all 180 have been made. Retiree must be age 84 or younger. |
Joint and Survivor 100% | Provides a reduced monthly benefit for life. Upon your death, the ASRS will pay 100% of your monthly benefit to your beneficiary for the rest of their life. You may choose this option if your beneficiary is your spouse or a non-spouse who is not more than 10 years younger than you. |
Joint and Survivor 66 2/3% | Provides a reduced monthly benefit for life. Upon your death, the ASRS will pay a benefit to your beneficiary for the rest of their life. The payment to your beneficiary will be equal to 66 2/3% of your monthly benefit. You may choose this option if your beneficiary is your spouse or a non-spouse who is not more than 24 years younger than you. |
Joint and Survivor 50% | Provides a reduced monthly benefit for life. Upon your death, the ASRS will pay a benefit to your beneficiary for the rest of their life. The payment to your beneficiary will be equal to 50% of your monthly benefit. There are no age restrictions for the beneficiary. |
