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161.650 Death of retired member -- Payment to beneficiaries -- Effect of divorce decree -- Failure to designate beneficiary.

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161.650 Death of retired member -- Payment to beneficiaries -- Effect of divorce decree -- Failure to designate beneficiary. (1) In the case of death of a member who has retired by reason of service or disability, any portion of the member's accumulated contributions, including member <br>contributions to the state accumulation fund and regular interest to the date of <br>retirement, that has not, and will not be paid as an allowance or benefit shall be paid <br>to the member's beneficiary in such manner as the board of trustees elects. (2) The member may designate a primary beneficiary or two (2) or more cobeneficiaries to receive any remaining accumulated member contributions payable under this <br>section. A contingent beneficiary may be designated in addition to the primary <br>beneficiary or the cobeneficiaries. The member may designate two (2) or more <br>contingent beneficiaries. To the extent permitted by the Internal Revenue Code, a <br>trust may be designated as beneficiary for receipt of any remaining accumulated <br>member contributions. Members may designate as beneficiaries only presently <br>identifiable and existing individuals, or trusts where otherwise permitted, without <br>contingency instructions, on forms prescribed by the retirement system. <br>Cobeneficiaries shall be composed of a single class of individuals, or trusts where <br>permitted, who will share in equal proportions in any payment that may become <br>available under this section. Any beneficiary designation made by the member shall <br>remain in effect until changed by the member on forms prescribed by the retirement <br>system, except in the event of subsequent divorce. A final divorce decree shall <br>terminate the beneficiary status of an ex-spouse unless, subsequent to divorce, the <br>member redesignates the former spouse as a beneficiary. A final divorce decree <br>shall not terminate the designation of a trust as beneficiary regardless of who is <br>designated as beneficiary of the trust. In the event that the member fails to designate <br>a beneficiary or all designated beneficiaries predecease the member, any remaining <br>accumulated member contributions shall be payable to the member's estate. Effective: July 1, 2008 <br>History: Amended 2008 Ky. Acts ch. 78, sec. 21, effective July 1, 2008. -- Amended 2004 Ky. Acts ch. 121, sec. 22, effective July 1, 2004. -- Repealed and reenacted <br>1990 Ky. Acts ch. 476, Pt. V, sec. 534, effective July 13, 1990. -- Amended 1976 <br>Ky. Acts ch. 35, sec. 20, effective July 1, 1976. -- Amended 1972 Ky. Acts ch. 82, <br>sec. 22. -- Amended 1962 Ky. Acts ch. 64, sec. 16. -- Recodified 1942 Ky. Acts <br>ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4506b-47.