If eligible, after your termination from public service, you may obtain a refund of your accumulated retirement contributions plus accrued interest. Upon receipt of a completed refund application, the Board will issue a refund within 60 days. There are several payment options available.
NOTE: You may not “withdraw” or “transfer” monies from your accumulated total deduction while an active employee for any reason.
Refund directly to you:
Under this option, you will receive a lump-sum payment of your retirement contributions plus eligible interest subject to federal tax withholdings and penalties, if applicable.
Direct rollover to another eligible retirement plan or a traditional or Roth IRA:
Under this option, your accumulated pre-tax contributions plus eligible interest are not subject to federal withholding tax. If you elect to rollover your accumulated contributions to a Roth IRA, your pre-tax contributions will be subject to the 20% federal withholding tax. Note that after-tax contributions (contributions made prior to January 12, 1988) cannot be rolled over to a traditional IRA.
Roll over a portion of your accumulated contributions to an eligible retirement plan or a traditional or Roth IRA and the remainder to be paid directly to you:
This option is a hybrid of the above two options; the percentage paid directly to you will be subject to federal tax withholdings and penalties, if applicable.