Wash. Admin. Code § 415-02-340

Current through Register Vol. 24-12, June 15, 2024

Section 415-02-340 - Monthly benefit per $1.00 of accumulation for defined benefit plans

(1)How does the department use the information in the table called "monthly benefit per $1.00 of accumulation for defined benefit plans"? The department uses this information to:

(a) Determine what a future lifetime monthly benefit is worth in present-day dollars;

(b) Determine the equivalent value of a lump sum when compared with monthly payments;

(c) Determine the cost of purchasing additional service credit as described in WAC 415-02-177(7); and

(d) For TRS Plan 1 only: Determine the reduction in the monthly retirement benefit if some or all of the accumulated contributions in a member's individual account are withdrawn at retirement pursuant to RCW 41.32.498.

(2)What type of information is in this table? The information in this table is based on the expected duration of lifetime payments for recipients over a range of ages. These values differ by system and plan, and all reflect an assumed rate of return of 8.0%.

The younger a person is at retirement, the longer the anticipated lifetime of payments would be, and the greater the sum required to provide for these payments. The amount of monthly lifetime benefit that a present-day dollar buys increases as the remaining life expectancy of the recipient decreases.

(a)Example:

Celina is a 65-year-old PERS Plan 2 member who is eligible to receive $45.00 per month. She wants to know how much money she would receive if she accepted a lump sum payment instead. Celina looks at the row in the table for age 65 in the PERS Plan 2 column and learns that $.0069798 per month for life has a present day cash value of one dollar ($1.00) for this system, plan, and age class. Celina divides $45.00 by .0069798 and learns that her lump sum payment would be $6,447.18.

(b)Example:

Fred is a 58-year-old TRS Plan 1 member. The balance in Fred's account is $124,934.00. Upon retirement, Fred chooses to withdraw the $124,934.00 (as only members of TRS Plan 1 can do and still receive a monthly benefit). From the row in the table for age 58 in the TRS Plan 1 column, Fred learns that $.0077298 per month for life has a present day cash value of one dollar ($1.00) for this system, plan, and age class. Fred multiplies $124,934.00 by .0077298, and learns that his monthly retirement benefit will be reduced by $965.71 per month if he withdraws his account balance.

(3)Table - Monthly benefit per $1.00 of accumulation for defined benefit plans. The rates contained in this table are effective:

(a) January 1, 2010, for LEOFF Plan 2.

(b) September 1, 2010, for LEOFF Plan 1, PSERS Plan 2, PERS Plans 1, 2, and 3, SERS Plans 2 and 3, TRS Plans 1, 2, and 3, and WSPRS Plans 1 and 2.

Age	LEOFF 1	LEOFF 2	PERS 1	PERS 2/3	PSERS	SERS 2/3	TRS 1	TRS 2/3	WSPRS 1/2
20	.0039630	.0042990	.0066256	.0044560	.0044926	.0043681	.0067741	.0043601	.0043122
21	.0039783	.0043125	.0066400	.0044786	.0045172	.0043857	.0067970	.0043765	.0043261
22	.0039944	.0043266	.0066556	.0045024	.0045432	.0044042	.0068200	.0043935	.0043409
23	.0040113	.0043414	.0066725	.0045277	.0045708	.0044238	.0068425	.0044110	.0043563
24	.0040290	.0043571	.0066909	.0045527	.0045970	.0044446	.0068636	.0044289	.0043727
25	.0040476	.0043735	.0067108	.0045775	.0046219	.0044665	.0068824	.0044471	.0043899
26	.0040672	.0043908	.0067323	.0046023	.0046458	.0044898	.0068973	.0044650	.0044081
27	.0040879	.0044091	.0067558	.0046271	.0046688	.0045144	.0069111	.0044835	.0044273
28	.0041096	.0044283	.0067812	.0046522	.0046911	.0045404	.0069240	.0045024	.0044475
29	.0041325	.0044486	.0068089	.0046765	.0047126	.0045658	.0069358	.0045218	.0044690
30	.0041567	.0044701	.0068389	.0047004	.0047338	.0045907	.0069464	.0045417	.0044917
31	.0041821	.0044927	.0068716	.0047243	.0047552	.0046155	.0069558	.0045622	.0045156
32	.0042089	.0045166	.0069070	.0047485	.0047771	.0046406	.0069647	.0045835	.0045409
33	.0042369	.0045416	.0069454	.0047740	.0048004	.0046662	.0069736	.0046056	.0045674
34	.0042663	.0045679	.0069870	.0048003	.0048250	.0046915	.0069837	.0046292	.0045953
35	.0042972	.0045956	.0070321	.0048278	.0048512	.0047169	.0069950	.0046542	.0046246
36	.0043296	.0046246	.0070452	.0048564	.0048790	.0047428	.0070072	.0046806	.0046555
37	.0043637	.0046552	.0070575	.0048864	.0049084	.0047694	.0070212	.0047088	.0046879
38	.0043996	.0046874	.0070688	.0049179	.0049396	.0047969	.0070369	.0047387	.0047222
39	.0044374	.0047214	.0070789	.0049517	.0049727	.0048272	.0070543	.0047705	.0047584
40	.0044774	.0047574	.0070877	.0049878	.0050077	.0048606	.0070735	.0048043	.0047968
41	.0045196	.0047956	.0070940	.0050264	.0050448	.0048971	.0070945	.0048402	.0048374
42	.0045644	.0048361	.0070990	.0050678	.0050842	.0049369	.0071156	.0048778	.0048805
43	.0046118	.0048791	.0070989	.0051123	.0051264	.0049803	.0071367	.0049171	.0049263
44	.0046620	.0049248	.0070984	.0051581	.0051690	.0050256	.0071581	.0049584	.0049750
45	.0047153	.0049733	.0070975	.0052058	.0052129	.0050731	.0071796	.0050016	.0050267
46	.0047719	.0050249	.0070965	.0052558	.0052584	.0051232	.0072015	.0050470	.0050817
47	.0048320	.0050797	.0070915	.0053071	.0053044	.0051753	.0072216	.0050943	.0051402
48	.0048959	.0051382	.0071400	.0053597	.0053509	.0052297	.0072393	.0051435	.0052026
49	.0049640	.0052005	.0071924	.0054123	.0053965	.0052834	.0072541	.0051948	.0052691
50	.0050366	.0052671	.0072490	.0054649	.0054413	.0053369	.0072655	.0052480	.0053403
51	.0051142	.0053389	.0073101	.0055179	.0054854	.0053893	.0072727	.0053034	.0054164
52	.0051972	.0054158	.0073762	.0055712	.0055289	.0054418	.0072741	.0053604	.0054980
53	.0052853	.0054978	.0074471	.0056258	.0055733	.0054938	.0073367	.0054189	.0055849
54	.0053797	.0055858	.0075233	.0056745	.0056596	.0055433	.0074042	.0054793	.0056779
55	.0054807	.0056802	.0076058	.0057184	.0057498	.0055902	.0074767	.0055411	.0057777
56	.0055889	.0057814	.0076921	.0058127	.0058440	.0056775	.0075550	.0056278	.0058848
57	.0057044	.0058893	.0077823	.0059112	.0059501	.0057690	.0076393	.0057206	.0059992
58	.0058273	.0060042	.0078773	.0060140	.0060619	.0058646	.0077298	.0058208	.0061211
59	.0059589	.0061272	.0079792	.0061247	.0061827	.0059661	.0078266	.0059269	.0062516
60	.0060997	.0062589	.0080922	.0062396	.0063106	.0060720	.0079310	.0060395	.0063915
61	.0062505	.0064002	.0082202	.0063666	.0064504	.0061903	.0080462	.0061608	.0065415
62	.0064118	.0065513	.0083578	.0065016	.0065977	.0063169	.0081703	.0062902	.0067019
63	.0065841	.0067129	.0085052	.0066506	.0067558	.0064550	.0083036	.0064296	.0068736
64	.0067682	.0068853	.0086629	.0068077	.0069257	.0066012	.0084463	.0065775	.0070570
65	.0069647	.0070694	.0088312	.0069798	.0071083	.0067597	.0085990	.0067357	.0072527
66	.0071751	.0072670	.0090119	.0071671	.0073064	.0069302	.0087617	.0069054	.0074626
67	.0074005	.0074781	.0092055	.0073673	.0075182	.0071120	.0089361	.0070866	.0076873
68	.0076417	.0077043	.0094125	.0075807	.0077444	.0073062	.0091231	.0072802	.0079279
69	.0079015	.0079491	.0096357	.0078101	.0079879	.0075136	.0093229	.0074865	.0081872
70	.0081820	.0082138	.0098771	.0080572	.0082505	.0077363	.0095381	.0077080	.0084672
71	.0084859	.0085025	.0101389	.0083241	.0085349	.0079758	.0097709	.0079465	.0087708
72	.0088138	.0088151	.0104201	.0086103	.0088406	.0082342	.0100231	.0082039	.0090984
73	.0091701	.0091561	.0107251	.0089197	.0091722	.0085108	.0102934	.0084793	.0094545
74	.0095574	.0095288	.0110556	.0092540	.0095316	.0088090	.0105863	.0087767	.0098417
75	.0099786	.0099363	.0114135	.0096154	.0099213	.0091299	.0109028	.0090974	.0102629
76	.0104363	.0103798	.0118015	.0100065	.0103437	.0094759	.0112453	.0094437	.0107207
77	.0109340	.0108658	.0122231	.0104305	.0108023	.0098495	.0116161	.0098178	.0112186
78	.0114761	.0113957	.0126816	.0108908	.0113009	.0102538	.0120181	.0102226	.0117609
79	.0120673	.0119743	.0131812	.0113914	.0118439	.0106928	.0124555	.0106622	.0123525
80	.0127133	.0126071	.0137267	.0119372	.0124365	.0111699	.0129318	.0111400	.0129990
81	.0134199	.0132991	.0143230	.0125327	.0130838	.0116897	.0134518	.0116607	.0137063
82	.0141935	.0140556	.0149754	.0131831	.0137915	.0122554	.0140201	.0122286	.0144806
83	.0150329	.0148749	.0156858	.0138907	.0145603	.0128713	.0146417	.0128485	.0153209
84	.0159449	.0157725	.0164602	.0146610	.0153963	.0135431	.0153203	.0135243	.0162339
85	.0169344	.0167437	.0173034	.0154990	.0163048	.0142750	.0160601	.0142601	.0172243
86	.0180074	.0178057	.0182194	.0164082	.0172909	.0150708	.0168660	.0150605	.0182984
87	.0191721	.0189719	.0192109	.0173915	.0183603	.0159338	.0177414	.0159287	.0194643
88	.0204278	.0202253	.0202755	.0184464	.0195120	.0168612	.0186859	.0168647	.0207214
89	.0217668	.0215551	.0214081	.0195682	.0207399	.0178513	.0197002	.0178688	.0220619
90	.0231832	.0229787	.0225995	.0207480	.0220372	.0188950	.0207759	.0189334	.0234798
91	.0246573	.0244483	.0238330	.0219700	.0233859	.0199836	.0219061	.0200515	.0249552
92	.0261621	.0259752	.0250904	.0232169	.0247641	.0211073	.0230763	.0212095	.0264610
93	.0277078	.0275207	.0263675	.0244841	.0261746	.0222518	.0242665	.0223884	.0280075
94	.0292794	.0291108	.0276431	.0257513	.0275992	.0233979	.0254667	.0235783	.0295796
95	.0308761	.0307651	.0289073	.0270087	.0290311	.0245376	.0266650	.0247675	.0311768
96	.0324718	.0323798	.0301473	.0282442	.0304507	.0256481	.0278402	.0259359	.0327726
97	.0340569	.0340193	.0313572	.0294522	.0318500	.0267305	.0289917	.0270827	.0343576
98	.0356440	.0357060	.0325325	.0306287	.0332303	.0277699	.0300994	.0281894	.0359444
99	.0372127	.0373073	.0336697	.0317712	.0345762	.0287711	.0311701	.0292630	.0375126

Wash. Admin. Code § 415-02-340

Statutory Authority: RCW 41.50.050(5). WSR 10-16-086, § 415-02-340, filed 7/30/10, effective 9/1/10. Statutory Authority: RCW 41.50.050(5), chapter 41.45 RCW. WSR 06-18-009, § 415-02-340, filed 8/24/06, effective 9/24/06; WSR 02-18-048, § 415-02-340, filed 8/28/02, effective 9/1/02.