§2093 — Title 50 War and National Defense | U.S. Code

Summary

Explains how annuity payments are figured, when they start and stop, and rules for applying, waiving, and state tax withholding. Each annuity is shown as a yearly amount. The monthly payment is one-twelfth of that amount, rounded down to the next whole dollar, and paid on the first business day after the month it covers. Usually the annuity starts on the first day of the month after you leave the Agency or after your pay stops and you meet the age and service rules. There are special cases for people who were involuntarily separated, retired for disability under section 2051, or who worked 3 days or less in the month they retire. Annuities for other events start on the first day of the month after the event. A retired person’s annuity ends on the day they die or another ending event. A former spouse’s or survivor’s annuity ends on the last day of the month before death or another ending event. Survivors must apply and give proof before payment begins; if they do not apply while alive, no money goes to the estate. A person can refuse all or part of an annuity by signing a waiver and can cancel that waiver in writing at any time. You must apply for benefits before the 115th birthday of the participant. After a participant’s death, claims based on that service must be filed within 30 years of the death or other qualifying event. The Director must make a withholding agreement with any State within 120 days after the State asks. If an annuitant asks in writing, State income tax can be withheld from the monthly annuity. Money withheld for a calendar quarter is kept in the fund and sent to the State the month after that quarter ends. An annuitant may have only one withholding request at a time and no more than two in a calendar year. They may change the State or stop withholding; changes take effect the first day of the month after processing, but no later than the first day of the second month after the Director gets the request. The Director cannot accept pay from a State for doing the withholding. Any amounts withheld by mistake and sent to a State must be repaid by that State. “State” includes the District of Columbia and U.S. territories.

Title 50, §2093

War and National Defense — Source: USLM XML via OLRC

(a)Each annuity is stated as an annual amount, 1⁄12 of which, rounded to the next lowest dollar, constitutes the monthly rate payable on the first business day of the month after the month or other period for which it has accrued.

(b)(1)Except as otherwise provided in paragraph (2), the annuity of a participant who has met the eligibility requirements for an annuity shall commence on the first day of the month after separation from the Agency or after pay ceases and the service and age requirements for title to an annuity are met.

(2)The annuity of—

(A)a participant involuntarily separated from the Agency;

(B)a participant retiring under section 2051 of this title due to a disability; and

(C)a participant who serves 3 days or less in the month of retirement;

(3)Any other annuity payable from the fund commences on the first day of the month after the occurrence of the event on which payment thereof is based.

(c)An annuity payable from the fund shall terminate—

(1)in the case of a retired participant, on the day death or any other terminating event provided by this subchapter occurs; or

(2)in the case of a former spouse or a survivor, on the last day of the month before death or any other terminating event occurs.

(d)The annuity to a survivor shall become effective as otherwise specified but shall not be paid until the survivor submits an application for such annuity, supported by such proof of eligibility as the Director may require. If such application or proof of eligibility is not submitted during the lifetime of an otherwise eligible individual, no annuity shall be due or payable to the individual’s estate.

(e)An individual entitled to an annuity from the fund may decline to accept all or any part of the annuity by submitting a signed waiver to the Director. The waiver may be revoked in writing at any time. Payment of the annuity waived may not be made for the period during which the waiver is in effect.

(f)(1)No payment shall be made from the fund unless an application for benefits based on the service of the participant is received by the Director before the 115th anniversary of the participant’s birth.

(2)Notwithstanding paragraph (1), after the death of a participant or retired participant, no benefit based on that participant’s service may be paid from the fund unless an application for the benefit is received by the Director within 30 years after the death or other event which gives rise to eligibility for the benefit.

(g)(1)The Director shall, in accordance with this subsection, enter into an agreement with any State within 120 days of a request for agreement from the proper State official. The agreement shall provide that the Director shall withhold State income tax in the case of the monthly annuity of any annuitant who voluntarily requests, in writing, such withholding. The amounts withheld during any calendar quarter shall be held in the fund and disbursed to the States during the month following that calendar quarter.

(2)An annuitant may have in effect at any time only one request for withholding under this subsection, and an annuitant may not have more than two such requests during any one calendar year.

(3)Subject to paragraph (2), an annuitant may change the State designated by that annuitant for purposes of having withholdings made, and may request that the withholdings be remitted in accordance with such change. An annuitant also may revoke any request of that annuitant for withholding. Any change in the State designated or revocation is effective on the first day of the month after the month in which the request or the revocation is processed by the Director, but in no event later than on the first day of the second month beginning after the day on which such request or revocation is received by the Director.

(4)This subsection does not give the consent of the United States to the application of a statute which imposes more burdensome requirements of the United States than on employers generally, or which subjects the United States or any annuitant to a penalty or liability because of this subsection. The Director may not accept pay from a State for services performed in withholding State income taxes from annuities. Any amount erroneously withheld from an annuity and paid to a State by the Director shall be repaid by the State in accordance with regulations prescribed by the Director.

(5)For the purpose of this subsection, the term “State” includes the District of Columbia and any territory or possession of the United States.

Notes & Related Subsidiaries

Editorial Notes

Prior Provisions

A prior section 263 of Pub. L. 88–643, title II, Oct. 13, 1964, 78 Stat. 1052; Pub. L. 97–269, title VI, § 609, Sept. 27, 1982, 96 Stat. 1153; Pub. L. 99–335, title V, § 501(2), June 6, 1986, 100 Stat. 622, related to attachment of moneys and was set out as a note under section 403 of this title prior to the general amendment of Pub. L. 88–643 by section 802 of Pub. L. 102–496.

Amendments

2023—Subsec. (g)(1). Pub. L. 118–31 substituted “fund” for “Fund”.

Statutory Notes and Related Subsidiaries

Effective Date

Section effective on first day of fourth month beginning after Oct. 24, 1992, see section 805 of Pub. L. 102–496, set out as a note under section 2001 of this title.

§2093 Payment of benefits