At the time of retirement an employee may elect to receive a reduced benefit in order to participate in a provision that upon their death a benefit of their choosing would be paid to their designated beneficiary.
HOW ARE SURVIVOR OPTIONS CALCULATED?
Survivor options are an amount actuarially determined based on the percentage of the retiree’s benefit left to the survivor upon the retiree’s death.
CAN I CANCEL MY SURVIVOR OPTION ONCE I RETIRE?
Survivor options can only be revoked in two circumstances. If the survivor option has been left to someone other than a spouse it may be revoked in the event of their death only.
If the survivor option was left to a spouse it may be revoked in the event the spouse predeceases the retiree or they divorce. Once the option has been revoked it can’t be reversed.
