Section 20.23. Adjusting annuities for equity after reentry into service.

 

(1)  Pursuant to s. 40.03 (1) (a) , Stats., in determining the monthly amount of a recomputed annuity in the normal form under s. 40.26 (3) , Stats., the applicant's estimated social security benefit shall not be greater than the amount determined by:

(a) Dividing the creditable service earned prior to the effective date of the prior annuity by the participant's total creditable service.

(b) Dividing the final average earnings determined for the new annuity computation by the final average earnings determined in computing the prior annuity.

(c) Multiplying the result in par. (a) times the result in par. (b) times the social security benefit amount used in determining the amount of the prior annuity.

(d) Dividing the creditable service earned since the effective date of the prior annuity by the participant's total creditable service.

(e) Multiplying the result in par. (d) times the social security benefit amount determined under s. ETF 20.03 (2) based on the participant's total service and earnings.

(f) Adding the amounts determined in pars. (c) and (e) .

(2)  Pursuant to s. 40.03 (1) (a) , Stats., the monthly amount of a recomputed annuity in the normal form under s. 40.26 (3) , Stats., excluding any portion which on either the original or recomputed annuity was a variable annuity, shall not be less than the monthly amount of the original core annuity in the normal form increased by any dividends granted prior to termination of the original annuity.

(3)  The board may review adjustments made under this section and may make other adjustments as necessary to prevent any inequity.

Cr. Register, February, 1984, No. 338 , eff. 3-1-84; CR 09-057 : am. (2) Register May 2010 No. 653 , eff. 6-1-10.