Montana Administrative Code

2.44.412 NATIONAL GUARD, RESERVISTS, AND VETERANS CALLED TO ACTIVE DUTY Members of the TRS called to active duty for a period not to exceed five years and reemployed in accordance with the provisions of the Uniformed Services Employment and Reemployment Rights Act of 1994 shall b…

2.44.413 CREDITABLE SERVICE - ACTUARIAL COST The actuarial cost to purchase creditable service will vary by the member's compensation, age and years of service at the time they apply or are eligible to purchase the additional service. The total compensation reported to the TRS fo…

2.44.414 INSTALLMENT PURCHASE If a member signs an irrevocable payroll deduction authorization and subsequently terminates employment, the cost to purchase the balance of the remaining service will be recalculated at the time the member reapplies to purchase the balance of the se…

2.44.415 ROLLOVER OF OUT-OF-STATE CONTRIBUTIONS (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-20-201 MCA Implementing statute(s): Title 19, chapter 20, part 4 MCA History: NEW, 1995 MAR p. 2122, Eff. 10/13/95; REP, 1999 MAR p. 2243, Eff. 10/8/99.

2.44.416 SERVICE PURCHASE RESOLUTIONS The effective date of any resolution adopted for the purpose of allowing employees to purchase service with contributions on a picked-up, pre-tax basis, must be at least 2 months following the month in which the resolution is adopted. For exa…

2.44.417 LIMITATION ON AFTER-TAX PURCHASE OF PERMISSIVE SERVICE CREDIT The Teachers' Retirement System can accept after-tax contributions from a member during a limitation year only if: the voluntary additional contribution to be made by the member does not exceed the amount dete…

2.44.501 GENERAL ELIGIBILITY DATE (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): Sec. 19-4-801 through 19-4-804 MCA History: Eff. 12/31/72; REP, 1987 MAR p. 2233, Eff. 12/11/87.

2.44.502 ELIGIBILITY UNDER MID-TERM RETIREMENTS (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 and 19-20-201 MCA Implementing statute(s): Sec. 19-4-801 through 19-4-804 and 19-20-801 through 19-20-804 MCA History: Eff. 12/31/72; AMD, 1995 MAR p. 2122, Eff. 10/13/95; R…

2.44.503 ELIGIBILITY UNDER FULL SCHOOL-YEAR RETIREMENTS (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): Sec. 19-4-801 and 19-4-802 MCA History: Eff. 12/31/72; AMD, 1993 MAR p. 493, Eff. 6/11/93; REP, 1999 MAR p. 2243, Eff. 10/8/99.

2.44.504 ELIGIBILITY FOR DISABILITY BENEFITS (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): Sec. 19-4-901 MCA History: Eff. 12/31/72; AMD, 1981 MAR p. 1056, Eff. 9/18/81; REP, 1991 MAR p. 2596, Eff. 12/27/91.

2.44.505 ELIGIBILITY FOR SURVIVOR BENEFITS (REPEALED) Authorizing statute(s): 19 4 201, 19-20-201, MCA Implementing statute(s): 19-4-1001, 19-20-1001, MCA History: Eff. 12/31/72; AMD, 1987 MAR p. 2233, Eff. 12/11/87; AMD, 1993 MAR p. 493, Eff. 6/11/93; REP, 2007 MAR p. 2121, Eff.…

2.44.506 BENEFIT PAYMENTS The first benefit will be payable the last day of the month in which the benefit began and future benefits will be payable the last day of each succeeding month. Monthly benefits will be paid based upon information provided by the member and estimates pr…

2.44.507 PAYMENT OF MINOR CHILD BENEFITS A minor child's benefit will be last payable the month in which the child attains age 18. A birth certificate or some evidence of birth date is required for each child eligible to receive the minor child benefit. Authorizing statute(s): 19…

2.44.508 NON-AVAILABILITY OF DISABILITY BENEFITS (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): Sec. 19-4-801 and 19-4-901 MCA History: Eff. 12/31/72; REP, 1987 MAR p. 2233, Eff. 12/11/87.

2.44.509 COMPUTATION OF AVERAGE FINAL COMPENSATION The average final compensation of a member who retires or dies before they receive full service credit for the fiscal year, shall be determined by using the greater of: the equivalent of the final three consecutive years' contrac…

2.44.510 ADJUSTMENT OF BENEFITS (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 and 19-20-201 MCA Implementing statute(s): Sec. 19-4-804 and 19-20-804 MCA History: Eff. 12/31/72; AMD, 1987 MAR p. 2233, Eff. 12/11/87; AMD, 1988 MAR p. 2213, Eff. 10/14/88; AMD, 1995 MAR …

2.44.511 REINSTATEMENT OF BENEFITS (REPEALED) Authorizing statute(s): 19-4-201, 19-20-201, MCA Implementing statute(s): 19-4-302, 19 4 804, 19-20-302, 19-20-731,19-20-804, MCA History: Eff. 12/31/72; AMD, 1988 MAR p. 2213, Eff. 10/14/88; AMD, 1999 MAR p. 2243, Eff. 10/8/99; REP, …

2.44.512 CHANGE OF BENEFICIARY AND/OR CHANGE OF RETIREMENT OPTION (REPEALED) (REPEALED) Authorizing statute(s): 19-4-201, 19-4-702, MCA Implementing statute(s): 19-4-702, MCA History: NEW, 1985 MAR p. 1982, Eff. 12/27/85; REP, 2025 MAR, Notice No. 2025-107, Eff. 10/25/25.

2.44.513 WITHHOLDING OF GROUP INSURANCE PREMIUM FROM RETIREMENT BENEFIT (REPEALED) Authorizing statute(s): 19-4-201, 19-20-201, MCA Implementing statute(s): 19-4-1101, MCA History: NEW, 1987 MAR p. 2233, Eff. 12/11/87; REP, 2007 MAR p. 2120, Eff. 12/21/07.

2.44.514 LUMP SUM PAYMENTS AT THE END OF THE SCHOOL TERM (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): Sec. 19-4-101(8) MCA History: NEW, 1987 MAR p. 2233, Eff. 12/11/87; AMD, 1989 MAR p. 1276, Eff. 9/1/89; AMD, 1991 MAR p. 2596, Eff. 12/…

2.44.515 CORRECTION OF ERRORS ON CONTRIBUTIONS AND OVERPAYMENTS Corrections of errors may be made by the employer on subsequent monthly reports via a letter of explanation and credit taken or additional payment remitted.Corrections reducing an employee's contributions cannot be a…

2.44.516 REFUND OF EMPLOYER CONTRIBUTIONS MADE ON TERMINATION PAY (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): Sec. 19-4-101(5) and 19-4-208 MCA History: NEW, 1987 MAR p. 2233, Eff. 12/11/87; REP, 1999 MAR p. 2243, Eff. 10/8/99.

2.44.517 FORMULA FOR DETERMINING CONTRIBUTIONS DUE ON TERMINATION PAY Except as provided in (2) , the formula for determining contributions due under Option 1, 19-20-716, MCA shall be a percentage of the termination pay, based upon the member's age at the time of retirement, time…

2.44.517A REPORTING OF TERMINATION PAY A completed and signed Termination Pay Form together with the employee and employer contributions due must be received by the TRS by the 15th of the month, following the month in which the employee terminated employment.Only termination pay …

2.44.518 LIMIT ON EARNED COMPENSATION - 10% CAP Except as described in this rule, the earned compensation for each year used in calculating a member's average final compensation may not exceed either the member's actual earned compensation or earnings adjusted by this rule for th…

2.44.519 POST-RETIREMENT ADJUSTMENT (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): Sec. 19-4-711, 19-4-712 and 19-4-713 MCA History: NEW, 1989 MAR p. 1276, Eff. 9/1/89; AMD, 1993 MAR p. 493, Eff. 6/11/93; REP, 1999 MAR p. 2243, Eff. 10/8/9…

2.44.520 CALCULATION OF ANNUAL BENEFIT ADJUSTMENT (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): Sec. 19-15-102 MCA History: NEW, 1992 MAR p. 129, Eff. 1/31/92; AMD, 1993 MAR p. 494, Eff. 6/11/93; REP, 1995 MAR p. 2122, Eff. 10/13/95.

2.44.521 ELIGIBILITY FOR ANNUAL BENEFIT ADJUSTMENT (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): Sec. 19-15-102 MCA History: NEW, 1992 MAR p. 129, Eff. 1/31/92; AMD, 1993 MAR p. 494, Eff. 6/11/93; REP, 1995 MAR p. 2122, Eff. 10/13/95.

2.44.522 FAMILY LAW ORDER -- CONTENTS AND DURATION TRS will make available to the public model forms approved for use as a Family Law Order (FLO). A FLO may not provide for payments to an alternate payee prior to the date on which the member first becomes eligible for payment fro…

2.44.523 FAMILY LAW ORDERS -- APPROVAL AND IMPLEMENTATION A participant or alternate payee must submit a certified copy of the final court order, the FLO, to TRS for approval. A FLO is effective upon final approval by TRS and the terms of the FLO will be given effect: if benefits…

2.44.524 ADJUSTMENT OF DISABILITY ALLOWANCE FOR OUTSIDE EARNINGS A disabled member who is engaged in a gainful occupation must notify the Teachers' Retirement System within thirty days of being engaged in that occupation. Notification must include: name and address of employer, i…

2.44.525 CALCULATION OF AGE If a member applies for benefits which are based on the member's age, the whole age that the member is or will be closest to on the effective date of the benefit will be used. For example; if the member is age 55, 6 months, 1 day, age 56 will be used i…

2.44.526 VALUE OF HOUSING Effective March 10, 1995, the value of any housing included as part of a member's contract, that was not reported to TRS, must not be reported to the teachers' retirement system in the future. Members with the value of housing included in earned compensa…

2.44.527 PAYMENT FOR SERVICE -- CALCULATION OF RETIREMENT BENEFITS If the final payment due to purchase service credits is over 60 days past due, the member will be notified in writing that contributions, plus accrued interest, are due and payable, and that benefits will be recal…

2.44.528 EXTRA DUTY COMPENSATION (REPEALED) (REPEALED) Authorizing statute(s): 19-20-201, MCA Implementing statute(s): 19-20-602, 19-20-605, 19-20-715, MCA History: NEW, 2000 MAR p. 822, Eff. 3/31/00; REP, 2025 MAR, Notice No. 2025-107, Eff. 10/25/25.

2.44.529 LIMITATION ON ANNUAL BENEFIT For purposes of this rule, all defined benefit plans of the employer, whether or not terminated, are to be treated as a single defined benefit plan. For purposes of applying the limits under Internal Revenue Code (IRC) section 415(b), in no e…

2.44.530 DETERMINATION OF INCENTIVES AND BONUSES AS PART OF A SERIES OF ANNUAL PAYMENTS AND INCLUDED IN EARNED COMPENSATION An incentive or bonus payment paid to a member is part of a series of annual payments, and therefore included in earned compensation, only if: the incentive…

2.44.601 GENERALLY (IS HEREBY REPEALED) Authorizing statute(s): Sec. 19-4-201 MCA Implementing statute(s): 19-4-207 MCA History: Eff. 12/31/72; REP, 1991 MAR p. 2596, Eff. 12/27/91.

2.44.701 VESTING IN MEMBER CONTRIBUTIONS A member shall be 100% vested in his or her accumulated contributions at all times. Authorizing statute(s): 19-20-201, MCA Implementing statute(s): 19-20-106, MCA History: NEW, 2008 MAR p. 2619, Eff. 12/25/08.

2.44.702 GOOD FAITH COMPLIANCE WITH INTERNAL REVENUE CODE The Teachers' Retirement System will pay all benefits in accordance with a good faith interpretation of the requirements of IRC section 401(a)(9) and the regulations thereunder as applicable to a governmental plan, within …

2.44.703 TIMING OF DISTRIBUTION A member's entire benefit must be distributed: over the member's life or the lives of the member and a designated beneficiary; or over a period not extending beyond the life expectancy of the member or of the member and a designated beneficiary. If…

2.44.704 LIMITATION OF AMOUNT OF ANNUITY DISTRIBUTION TO BENEFICIARY The amount of an annuity paid to a member's beneficiary may not exceed the maximum determined under the incidental death benefit requirement in IRC section 401(a)(9)(G). Effective for any annuity commencing on o…

2.44.705 DEATH AND DISABILITY BENEFITS LIMITED BY INCIDENTAL BENEFIT RULE The death and disability benefits distributed by the Teachers' Retirement System will be limited by the incidental benefit rule set forth in IRC section 401(a)(9)(G) and Treasury Regulation section 1.401-1(…

2.44.706 GOOD FAITH CONTINUATION OF DISTRIBUTION OPTIONS Notwithstanding any other provision of this chapter or the Treasury Regulations, benefit distribution options may continue so long as the option satisfies IRC section 401(a)(9) based on a reasonable and good faith interpret…

2.44.707 DISTRIBUTION BY DIRECT ROLLOVER A participant may elect to have any portion of an eligible rollover distribution made as a direct rollover. An "eligible rollover distribution" means any allowed distribution of all or any portion of the accumulated contributions of a memb…

2.5.101 DEFINITIONS (IS HEREBY REPEALED) Authorizing statute(s): 18-4-101, MCA Implementing statute(s): Title 18, chapter 4, MCA History: NEW, 1978 MAR p. 717, Eff. 3/25/78; REP, 1983 MAR p. 1918, Eff. 12/30/83.

2.5.102 REQUISITION TIME SCHEDULE (IS HEREBY REPEALED) Authorizing statute(s): 18-4-101, MCA Implementing statute(s): Title 18, chapter 4, MCA History: NEW, 1978 MAR p. 717, Eff. 3/25/78; REP, 1983 MAR p. 1918, Eff. 12/30/83.