A. Payouts Only at Retirement.

No withdrawals
or loans should be permitted before
retirement, except for permanent disability.
Permanent Disability- An individual is considered
'totally and permanently disabled', if the life assured
has become completely disabled due to accidental
bodily injury, adverse sickness or fatal disease.
Definition: An individual is considered 'totally and
permanently disabled', if the life assured has become
completely disabled due to accidental bodily injury,
adverse
sickness
or
fatal
disease.
Description: When an individual becomes physically
incapable of being employed in any sort of work and
has consecutively been in such a condition for a
certain number of months, then he is deemed to be
called totally and permanently disabled. The same
needs to be approved by a medical practitioner
appointed by the insurer.
Qualifying for a Disability Retirement
Your disability percentage, which will be assigned by
the Physical Evaluation Board, will determine whether
your disability qualifies you for retirement or
separation:

If you have less than 20

years of active service a disability rating of 30
percent or higher will qualify you for retirement, and
a disability rating below 30 percent will result in
separation.

If you have 20 or more

years of active service, retirement will be
recommended regardless of your disability rating.

If your disability existed

before you entered the armed forces you will be
recommended for discharge without benefits.
Your Branch of Service may place you on either the
Temporary Disability Retired List (TDRL) or the
Permanent Disability Retired List (PDRL).
A member of the TDRL or the PDRL is a retired
member of the armed forces. You are entitled to all
rights and privileges of a military retiree, which may
include:

Participation in Survivor Benefit Plans

Voluntary/involuntary allotments from your
retired pay
Disability compensation from the Department
of Veterans Affairs

Permanent Disability Retirement Benefits in the

US
Income received per month

Married veterans- up to $2054 per month

Single veterans- up to $1732 per month

Surviving spouses- up to $1113 per month

Additional benefits
In addition to monthly payments, certain veterans may
be eligible for additional benefits such as automobile
grants, special adaptive housing, traumatic service
members group life insurance, educational benefits
and health care. [7]
Aid and Attendance
Aid and Attendance is an amount awarded in addition
to the basic pension. This benefit takes into account a
person's unreimbursed (out-of-pocket) medical
expenses. These medical expenses are subtracted
from a person's gross income to determine eligibility.[8]
A veteran is eligible for Aid and Attendance when he
or she
1. Requires the regular aid of another person to
perform everyday functions (bathing, eating,
dressing, etc.)
2. Is bedridden
3. Is a patient in a nursing home
4. Is blind or nearly blind
US Navy 051206-N-6843I-097 An injured Sailor
speaks with a Los Angeles Police Department (LAPD)
officer during a visit to Naval Medical Center San
Diego (NMCSD)
Housebound
A veteran is eligible for Housebound benefits when he
or she

1. Has a single permanent disability that results

in the veteran's confinement to his or her
immediate premises
2. Has a single permanent disability rated as
100% disabling and a secondary disability
rated as 60% disabling[9]
Permanent Disability Retirement Benefits in the
PH.
Disability Benefit
The prescriptive period in the filing of disability benefit
claim should be ten (10) years from the date of
occurance
of
disability.
There are two types of disability benefit:

monthly pension - a cash benefit paid to a

disabled member who has paid at least 36
monthly contributions to the SSS prior to the
semester of disability.
lumpsum amount - granted to those who
have not paid the required 36 monthly
contributions, and for disability claims whose
approved pension duration is less than 12
months.

Monthly Pension

Benefit Computation

The amount of the monthly pension will be based on

the member's number of paid contributions and the
years of membership prior to the semester of
disability.
The lowest monthly pension is P1,000 for members
with less than 10 credited years of service (CYS);
P1,200 with at least 10 CYS; and P2,400 with at least
20 CYS.
1. Only totally and permanently disabled
members will receive a lifetime monthly
pension. However, the pension will be
suspended if the pensioner recovers from the
disability, resumes employment, or fails to
report for annual physical examination when
notified by the SSS. The member may request

for a domiciliary or a home visit if the disability

inhibits him/her from reporting for reexamination by the SSS physician at any SSS
branch office.
2. The monthly pension of a partially disabled
member is paid up to a certain number of
months only, according to the degree of
disability. If with deteriorating and related
permanent partial disability, the percentage
degree of disability of previously granted claim
shall be deducted from the percentage degree
of disability of the current claim.
3. The monthly pension is also given in a lump
sum if the duration of pension is payable for
less than 12 months

Supplemental Allowance

In addition to the monthly pension, a supplemental

allowance of P500.00 is paid to the total or partial
disability pensioner. The allowance will provide
additional financial assistance to meet the extra
needs arising from the disability.
Total disability pensioners and their legal dependents
prior to the effectivity of R.A. 7875 on March 4, 1995
are entitled to hospitalization benefits under
PhilHealth. A copy of DDR Print-out indicating the
type of claim is disability in nature and the effectivity
date of pension or a Copy of Disability-Pensioner
Certification, shall be submitted. Total disabled
pensioners upon the effectivity of R.A. 7875 on March
4, 1995 and thereafter, are no longer covered except
when they have accumulated one hundred twenty
(120) Medicare monthly contributions and have
reached age sixty (60).
However, those who wish to avail of PhilHealth
benefits may enroll in the Individually-Paying Program
(for voluntary/self-employed) or the Indigent Program
(IP) of PhilHealth.

Dependent's Allowance

The dependent legitimate, legitimated, legally adopted

and illegitimate children, conceived on or before the
date of contingency of a totally disabled pensioner will
each receive a dependent's allowance equivalent to

10 percent of the member's pension, or P250,

whichever is higher.

pension times 12 times the percentage of disability,

whichever is higher.

Only five minor children, beginning from the youngest

are entitled to the dependent's allowance. No
substitution is allowed. When there are both legitimate
and illegitimate minor children, the legitimate,
legitimated or legally adopted ones will be preferred.

IMPORTANT!

The monthly pension of the member and the

dependent's allowance will be suspended
upon the reemployment or resumption of selfemployment or the recovery of the disabled
member from permanent total disability, or
failure
to
present
himself/herself
for
examination at least once a year upon notice
by SSS.

Upon the death of the permanent total

disability pensioner, the primary beneficiaries
as of the date of disability, shall be entitled to
100 percent of the monthly pension and the
dependents to the dependents' allowance.

If the totally disabled pensioner has no

primary beneficiaries and dies within sixty (60)
months from the start of the monthly pension,
the secondary beneficiaries shall be entitled to
a lumpsum benefit equivalent to the total
monthly pensions corresponding to the
balance of the five-year guaranteed period,
excluding the supplemental allowance.

The pension stops when a partial disability

pensioner retires or dies.

The minor children of a partially disabled pensioner

are not entitled to the dependent's allowance.
The dependent's allowance stops when the child
reaches 21 years old, gets married, gets employed, or
dies. However, the dependent's allowance is granted
for life to children who are over 21 years old,
provided, they are incapacitated and incapable of selfsupport due to physical or mental defect which is
congenital or acquired during minority.

Benefit Payment

The monthly pension is paid thru the member's

designated bank. He is allowed to choose the bank
nearest his residence thru which he wishes to receive
his pension benefits under the "Mag-impok sa
Bangko" program. This became mandatory effective
September 1, 1993.
A member must open a single saving account and
must submit to the SSS his savings account number
and a photocopy of his passbook upon filing of his
application. The original copy of the passbook must
be presented for authentication purposes.
Upon approval of the claim, the SSS will mail a
notice-voucher to the claimant when to withdraw the
benefit from the bank.
Lump Sum Amount
For permanent total disability, the lump sum benefit is
equivalent to the monthly pension times the number
of monthly contributions paid to the SSS or twelve
(12) times the monthly pension, whichever is higher.
For permanent partial disability, the lump sum is
equivalent to the monthly pension times the number
of monthly contributions times the percentage of
disability in relation to the whole body or the monthly

B. Lifetime Payouts. Benefits should be paid

out over the lifetime of retirees and any
surviving spouses, domestic partners, and
former spouses.
C. Portable Benefits. Benefits should
portable when workers change jobs

be

DEFINITION of 'Portable Benefits'

Benefits that have been paid into or accrued
in an employer-sponsored plan and that can
be transferred to a new employer's plan or to
an individual who is leaving the workforce.
Applies to benefits from health plans,
retirement plans and most other definedcontribution plans.

Portability of benefits can be found within

most 401(k) plans, 403(b) plans and health
savings accounts (HSAs).
BREAKING DOWN 'Portable Benefits'
There has been a lot of recent progress in
making employee benefits more portable.
401(k) and 403(b) plans can usually be rolled
into a new employer's plan or to an IRA; the
Health
Insurance
Portability
and
Accountability Act (HIPAA) even ensures that
pre-existing medical conditions don't exclude
a worker when moving from one group health
plan to another.
The two main types of plans that don't have
portable benefits are defined-benefit plans
(such as pension plans) and companysponsored flexible spending accounts (FSAs).

from. Any given 100 employers in one geographic

area may utilize 100 different plan providers, making
portability

practically

impossible

under

such

circumstances.
Portable benefits

are gaining

popularity in all

segments of the business community, but two job

sectors

are

leading

the

waytemporary

work

agencies and private, independent contractors. For

temp agencies, portable benefits are an attractive way
to offer a comprehensive benefit package for
temporary employees. For temp workers, the thought
of getting benefits that were previously unattainable is
an extremely attractive proposition, even if they have

In the US.

to pay for part or all of the benefits. For independent

Portability of Benefits

contractorsspecialized workers such as advertising

The portability of benefits is a concept that is rapidly

gathering support in the U.S. workforce. It refers to
the idea that common job benefitssuch as health
insurance and pension planscan be set up in such
a way that they can travel with a worker as he or she
moves from one job to the next. In many cases, these
benefits would be paid for by the employee, which
makes them attractive to employers. The portability
factor would give the employee security that was
never available in the past, which is attractive to the
employee.

designers or accountants who are hired to complete

specific, time-bound, and/or goaloriented projects
portable benefits would be a perfect tool to improve
their financial security as they move from one project
to the next.

The current structure of employee benefits is not

portable. In most employment sectors, each company
offers a unique benefit plan that is established and
administered by the company's human resources
department. Most of the benefits are paid for by the
company, and employees often have little, if any,
choice about what benefits they receive and from
whom they receive them. This is true mostly for
pension and health plans, both of which are affected
by numerous government regulations that make
portability difficult. There are literally hundreds of
pension and health plans for employers to choose

Several steps could be taken that would make

Even state governments are jumping on the portable

portable benefits more likely. If numerous employers

benefits bandwagon. In the state of Michigan, for

in the same geographic region banded together to

example, Governor John Engler spearheaded a move

offer the same benefits, it would make it easier for

in 1997 to transition the state's pension plan for state

workers to change jobs and keep the level of seniority

workers from a traditional planwhich was organized,

and money that they had accrued in their previous

managed, and paid for by the stateto a portable

jobs. Also, if a government agency was established to

plan that allowed workers to select from a number of

oversee and encourage portable benefits, companies

private investment options and invest their own

would have greater incentive to participate. Finally,

pension dollars. No matter what state job they took,

the establishment of a national health care system

the pension benefits traveled with the workers,

would greatly facilitate the development of a far more

gaining money at each stop along the way. "We have

portable employment benefit system. This final option

a defined contribution plan that empowers our

is, however, very unlikely in the near term. Instead,

employees to make critical investment decisions

the trend appears to be towards the privatization of

concerning

benefits,

Investor. "They're also not tied to the state civil

making

them

employee-funded

and

managed.

their

future,"

Engler

told Institutional

service, [as they were with] the old defined benefits,

and that fits much more logically with the lifestyles we

The most likely alternative, and one that is already

have today. This is a fully portable benefits plan that

happening at temp agencies and among independent

goes with them. And the rate of investment [return]

contractors, is that employees would purchase their

over the long term is going to be far better for them

benefits themselves. They would pay for their own

than their state DB."

health insurance and make regular contributions to a

pension plan that would travel with them from job to

To many employment experts, the move to portable

job. The government could offer tax credits that would

benefits is a positive one, and it is the wave of the

provide workers with an incentive to participate in

future. As Frank Doyle, chairman of the Committee of

portable plans, which could help offset the cost. Tax

Economic

savings would also help offset what workers might

"Corporate America found it couldn't deliver on those

lose by participating in a portable plan instead of a

guarantees [of lifetime employment] in a highly

more traditional plan, such as the higher rate of

competitive world economy. Companies that had job

accrual and greater earnings that occur when large

guarantees had to withdraw them. The substitute for

numbers of employees pool their resources together.

this old form of job securityand frankly a much

The economies of scale of the large, traditional plans

better alternativeis the security of having portable

make them economically feasible for most employees

benefits and strong employability skills. If we can

to join. Without the reduced price gained by such

achieve those things, then we will have established

economies, however, many employees could not

the requisite security for maintaining a productive

afford to purchase benefits in the current work

workforce into the next century."

Development,

said

in HR

Magazine,

environment.

D. Voluntary
Savings. Additional
voluntary
contributions should be permitted, with
reasonable limits for tax-favored contributions.
Voluntary Savings Plans
Faculty, TEAMS, USPS, and OPS employees
(including Housestaff/Residents, Graduate Assistants,
Post Docs, and Adjunct Faculty) can participate in
voluntary savings plans via payroll deductions.
Employees may contribute to both a 403(b) plan and
the 457 Deferred Compensation plan, up to each
plans separate IRS limit. These plans are designed
for long-term retirement planning purposes and
therefore employees should use other methods to
save for immediate or short-term expenses. The
employer does not contribute to these plans.
403(b) Plans
Retirement savings plans, similar to a 401(k) plan, are

These programs allow employees to have money

deducted from their paychecks on a pre-tax basis to
help supplement their post-retirement income from
Social Security, employer sponsored pension plans,
and personal savings.
Your contributions, plus earnings, are not taxed until
you withdraw the funds, allowing for even greater
savings through tax-deferred growth. Usually this will
be during your retirement, when your income may fall
within a lower tax bracket.
Voluntary Savings Plan Types:
There are two different types of voluntary savings
plans available to SUNY employees, each type being
authorized under a different section of IRS Code.

SUNY Voluntary 403(b) Tax-Deferred

Annuity Program - Section 403(b) taxdeferred annuity* investment retirement savings
plan administered by and available to employees
of SUNY State-operated or community college
campuses. Some of the key features of this plan
include:
o

offered to employees at public schools and certain

501c(3) tax-exempt organizations. Intended to
supplement retirement income from a state plan or act
as a stand-alone plan. Both tax-deferred plans and
after-tax Roth plans are available.
457 Deferred Compensation Plan
Retirement savings plan that allows employees to
defer receiving a portion of earnings until retirement.
Intended to supplement retirement income from

o
o
o
o
o
o

a state plan or act as a stand-alone plan

o
sVoluntary Savings Plan Overview:
o

Wide variety of taxdeferred annuity fund investment options

representing key asset classes.
Choice of Authorized Investment
Provider(s) to invest with.
Payroll deduction and remittance of
desired contributions to the Investment
Provider of your choice.
Flexible and convenient distribution
options.
Lifetime income stream annuity option
availability.
Loan and Hardship Withdrawal
availability.
Free individual investment fund
selection, asset allocation, and financial
planning assistance are available at your
campus or by appointment.
In depth investment and wealth
management services may also be
available. Additional fees may apply,
consult Providers for details.
Investment educational programs and
related services in partnership with SUNY
to help employees achieve their retirement
savings goals.

The New York State Deferred

Compensation Plan Section 457(b) taxdeferred mutual fund** investment retirement
savings plan administered by the NYS Deferred
Compensation Board and available to all NYS
employees and employees of participating
community colleges and localities. The Plan
provides a wide array of investment options
selected by the Board. Some of the key features
of this plan include:
o
o
o
o
o
o

Wide variety of tax-deferred mutual

fund investment options representing key
asset classes.
Payroll deduction and remittance of
desired contributions.
Flexible and convenient distribution
options.
Loan and Hardship Withdrawal
availability.
Investment educational programs and
related services to help employees achieve
their retirement savings goals.
Post-tax Roth IRA option.

Both plans function similarly, but there are a few

important key differences between the two different
plan types that you should be aware. The following
chart provides additional information about each plan
so that you can see how the plans function, and how
they differ.

2016 403b v 457 Comparison - This chart

provides a summary containing further details
about some of the key features and differences
between 403(b) and 457(b) plans to help you
better decide which one is right for you.

E. Efficient and Transparent Administration.

The system should be administered by a
governmental agency or by private, non-profit
institutions that are efficient, transparent, and
governed by boards of trustees that include
employer,
employee,
and
retiree
representatives.
Government should be
transparent. Transparency promotes

accountability and provides information for

citizens about what their Government is doing.
Information maintained by the Federal
Government is a national asset. My
Administration will take appropriate action,
consistent with law and policy, to disclose
information rapidly in forms that the public can
readily find and use. Executive departments
and agencies should harness new
technologies to put information about their
operations and decisions online and readily
available to the public. Executive departments
and agencies should also solicit public
feedback to identify information of greatest
use to the public.
Government should be participatory. Public
engagement enhances the Government's
effectiveness and improves the quality of its
decisions. Knowledge is widely dispersed in
society, and public officials benefit from having
access to that dispersed
knowledge. Executive departments
and agencies should offer Americans
increased opportunities to participate in
policymaking and to provide their Government
with the benefits of their collective expertise
and information. Executive departments
and agencies should also solicit public input
on how we can increase and improve
opportunities for public participation
in Government.
Government should be
collaborative. Collaboration actively
engages Americans in the work of their
Government. Executive departments and
agencies should use innovative tools,
methods, and systems to cooperateamong
themselves, across all levels of Government,
and with nonprofit organizations, businesses,
and individuals in the private sector.
Executive departments and agencies should
solicit public feedback to assess and improve
their level of collaboration and to identify new
opportunities for cooperation.
I direct the Chief Technology Officer, in
coordination with the Director of the Office of
Management and Budget (OMB) and the

Administrator of General Services, to

coordinate the development by appropriate
executive departments and agencies, within
120 days, of recommendations for an Open
Government Directive, to be issued by the
Director of OMB, that instructs executive
departments and agencies to take specific
actions implementing the principles set forth in
this memorandum. The independent agencies
should comply with the Open Government
Directive.
This memorandum is not intended to, and
does not, create any right or benefit,
substantive or procedural, enforceable at
law or in equity by a party against the
United States, its departments, agencies, or
entities, its officers, employees, or agents, or
any other person.
F. Effective Oversight. Oversight of the new
system should be by a single government
regulator dedicated solely to promoting
retirement security.
The new IRS 403(b) regulations have been
touted as the most significant piece of
legislation in the last 40 years for 501(c)(3)
organizations. They have radically changed
how employers must interact with the

retirement plan they offer to their employees.

When the new IRS 403(b) regulations were
announced in 2007, the objective of the
regulations was to reduce the extent to which
403(b) plans differ from other salary reduction
arrangements, such as 401(k) plans. One key
theme of the new regulations is Oversight.
A Plan Sponsor must know what is happening
in their retirement plan. They must be able to
demonstrate that they provide supervision,
control and administration. Do you know what
is happening with your plan? Are there
adequate controls in place to assure that your
plan is being administered within the
framework of your plan and the law? For
example,
are
there
any
participants
contributing more to the plan annually than
what the law allows?
A Retirement Plan Oversight Committee is a
wise and effective way to help ensure that the
legally mandated oversight requirements are
being met. To learn more about how to
establish
and
operate
an
Oversight
Committee for your plan, click the links below.
As you bring people onto your Committee,
use this page as a resource to help educate
them about their role and how the Committee
functions.