Chapter 40, PUBLIC EMPLOYEE TRUST FUND

40.01 Creation and purpose. (1) CREATION. A “public employee trust fund” is created to aid public employees in protecting themselves and their beneficiaries against the financial hardships of old age, disability, death, illness and accident, thereby promoting economy and efficien…

40.015 Compliance with federal tax laws. (1) The Wisconsin retirement system is established as a governmental plan and as a qualified plan for federal income tax purposes under the Internal Revenue Code and shall be so maintained and administered. (2) No benefit plan authorized u…

40.02 Definitions. In this chapter, unless the context requires otherwise: (1d) “Abortion” has the meaning given in s. 253.10 (2) (a). (1m) “Accumulation” means the total employee required contributions or employer required contributions or additional contributions as increased o…

40.03 Powers and duties. (1) EMPLOYEE TRUST FUNDS BOARD. The board: (a) Shall authorize and terminate the payment of all annuities and death benefits, except disability annuities, in accordance with this chapter and may adjust the computation of the amount, as provided by this ch…

40.04 Accounts and reserves. 40.04(1)(1) The separate accounts and reserves under subs. (2) to (10) and any additional accounts and reserves determined by the department to be useful in achieving the fund’s purposes, or necessary to protect the interests of the participants or th…

40.05 Contributions and premiums. 40.05(1)(1) Employee retirement contributions. For Wisconsin retirement system purposes employee contributions on earnings for service credited as creditable service shall be subject to federal annual compensation limits and shall be made as foll…

40.06 Reports and payments. (1) (a) Except as otherwise provided by rule or statute, the employee contributions and premium payments specified in s. 40.05 shall be deducted from the earnings of each employee and from the annuity, if sufficient, of each insured retired employee an…

40.07 Records. (1) Notwithstanding any other statutory provision, individual personal information in the records of the department is not a public record and shall not be disclosed except as provided in this section. (1m) Individual personal information, other than medical record…

40.08 Benefit assignments and corrections. (1) EXEMPTIONS. The benefits payable to, or other rights and interests of, any member, beneficiary or distributee of any estate under any of the benefit plans administered by the department, including insurance payments, shall be exempt …

40.19 Rights preserved. (1) Rights exercised and benefits accrued to an employee under this chapter for service rendered shall be due as a contractual right and shall not be abrogated by any subsequent legislative act. The right of the state to amend or repeal, by enactment of st…

40.20 Creation. A Wisconsin retirement system is created, including the benefits provided by this subchapter, the disability annuities provided by s. 40.63 and the death benefits provided by ss. 40.71 and 40.73. For purposes of determining an employee’s eligibility for social sec…

40.21 Participating employers. (1) Any employer shall be included within and thereafter subject to the provisions of the Wisconsin retirement system by so electing, through adoption of a resolution by the governing body of the employer. (2) Any employer who elected or was require…

40.22 Participating employees. (1) Except as otherwise provided in sub. (2) and s. 40.26 (6), each employee currently in the service of, and receiving earnings from, a state agency or other participating employer shall be included within the provisions of the Wisconsin retirement…

40.23 Retirement annuities. (1) (a) Except as provided in par. (am), any participant who has attained age 55, and any protective occupation participant who has attained age 50, on or before the annuity effective date shall be entitled to a retirement annuity in accordance with th…

40.24 Annuity options. (1) Except as provided in subs. (2) to (4) and (7), any participant who is eligible to receive a retirement annuity in the normal form may elect to receive the actuarial equivalent of the normal form annuity in any of the following optional annuity forms: (…

40.25 Lump sum payments. (1) (a) If all other requirements for payment of a retirement annuity are met and if the retirement annuity in the normal form which could be provided under s. 40.23 is equal to or less than $100 monthly for a benefit with an effective date that is on or …

40.26 Reentry into service. (1) Except as provided in sub. (1m) and ss. 40.05 (2) (g) 2. and 40.23 (1) (am), if a participant receiving a retirement annuity, or a disability annuitant who has attained his or her normal retirement date, receives earnings that are subject to s. 40.…

40.27 Post-retirement adjustments. (1) SUPPLEMENTAL BENEFITS. Any person who received a supplemental benefit under s. 41.23, 1979 stats., s. 42.49 (10), 1979 stats., or s. 42.82, 1979 stats., is eligible to continue receiving a supplemental benefit in the amounts determined under…

40.28 Variable benefits. (1) Any annuity provided to a participant whose accounts include credits segregated for a variable annuity shall consist of a core annuity and a variable annuity. (a) The initial amount of the variable annuity shall be the amount which can be provided on …

40.285 Purchase of creditable service. (1) GENERAL REQUIREMENTS. (a) Deadline for purchase of creditable service. An application to purchase creditable service must be received by the department, on a form provided by the department, from an applicant who is a participating emplo…

40.29 Temporary disability; creditable service. (1) If a participating employee receives temporary disability compensation under s. 102.43 for any period prior to termination of employment with the participating employer which commences on or after April 30, 1980, the employee sh…

40.30 Intrastate retirement reciprocity. (1) This section shall be construed as an enactment of statewide concern to encourage career public service by employees of the state, 1st class cities and counties having a population of 750,000 or more but shall not be construed to affec…

40.31 Maximum benefit limitations. 40.31(1)(1) General limitation. The maximum retirement benefits payable to a participant in a calendar year, excluding benefits attributable to contributions subject to the limit under s. 40.32, may not exceed the maximum benefit limitation esta…

40.32 Limitations on contributions. (1) The sum of all employee post-tax contributions allocated to a participant’s account may not in any calendar year exceed the maximum contribution limitation established under section 415 (c) of the Internal Revenue Code, as adjusted under se…

40.40 State-federal agreement. The secretary may, upon receipt of a certified copy of a resolution adopted by the governing body of any employer in accordance with s. 40.41 execute on behalf of the state a modification of the state-federal agreement with the secretary of the fede…

40.41 Coverage. (1) Except as provided in sub. (6), all the employees of any employer shall be included under OASDHI through adoption of a resolution by the governing body of the employer providing for the coverage and stating the effective date of coverage. All groups covered by…

40.51 Health care coverage. (1) The procedures and provisions pertaining to enrollment, premium transmitted and coverage of eligible employees for health care benefits shall be established by contract or rule except as otherwise specifically provided by this chapter. (2) Except a…

40.513 Payment of stipend in lieu of health care coverage for state employees. (1) Subject to sub. (3), a state employee who is eligible to receive health care coverage under s. 40.51 (6) may elect not to receive that coverage and instead be paid an annual stipend equal to $2,000…

40.515 Health savings accounts; high-deductible health plan. (1) In addition to the health care coverage plans offered under s. 40.51 (6), beginning on January 1, 2015, the group insurance board shall offer to all state employees the option of receiving health care coverage throu…

40.52 Health care benefits. (1) The group insurance board shall establish by contract a standard health insurance plan in which all insured employees shall participate except as otherwise provided in this chapter. The standard plan shall provide: (a) A family coverage option for …

40.55 Long-term care coverage. (1) Except as provided in sub. (5), the state shall offer, through the group insurance board, to eligible employees under s. 40.02 (25) (bm) and to state annuitants long-term care insurance policies which have been filed with the office of the commi…

40.56 Abortion coverage prohibited. No abortion coverage or services, the performance of which is ineligible for funding under s. 20.927, may be provided in a health insurance plan or health care coverage plan offered under this subchapter. History: 2017 a. 191. SUBCHAPTER V DISA…

40.61 Income continuation coverage. (1) The procedures and provisions pertaining to enrollment, premium transmitted and coverage of eligible employees for income continuation benefits shall be established by contract or rule except as otherwise specifically provided by this chapt…

40.62 Income continuation insurance benefits. (1) The group insurance board shall establish an income continuation insurance plan providing for full or partial payment of the financial loss of earnings incurred as a result of injury or illness with separate provisions for short-t…

40.63 Disability annuities. (1) Any participating employee is entitled to a disability annuity from the Wisconsin retirement system, beginning on the date determined under sub. (8) if, prior to attaining his or her normal retirement date, all of the following apply: (a) The emplo…

40.65 Duty disability and death benefits; protective occupation participants. (2) (a) This paragraph applies to participants who first apply for benefits before May 3, 1988. Any person desiring a benefit under this section must apply to the department of workforce development, wh…

40.70 Life insurance coverage. (1) Except as provided in sub. (11), each eligible employee of an employer shall be insured under the group life insurance plan provided under this subchapter if all of the following apply: (a) The employer is a participating employer under the Wisc…

40.71 Death benefit eligibility. The following described persons are entitled to death benefits from the Wisconsin retirement system, in the form and at the times specified: (1) The beneficiary of any participant or of any annuitant on the date of death of the participant or annu…

40.72 Life insurance benefits. (1) Except as provided in sub. (2), (3), (3m), (8) or (10), the amount of group life insurance of an insured employee under age 70 shall be $1,000 of insurance for each $1,000 or part of $1,000 of the employee’s annual earnings during the prior cale…

40.73 Death benefits. (1) The amount of the Wisconsin retirement system death benefit shall be: (a) Upon the death of a participant, other than an annuitant or a participating employee, the sum of the additional and employee required contribution accumulations credited to the par…

40.74 Beneficiaries. (1) Payment to 2 or more persons as joint beneficiaries shall be equal unless the participant, employee or annuitant has designated otherwise in the written designation of beneficiary on file with the department. (2) A beneficiary of a deceased participant, a…

40.80 State deferred compensation plan. (1) The deferred compensation board shall select and contract with deferred compensation plan providers to be used by state agencies for providing deferred compensation plans to state employees. (2) The deferred compensation board shall: (a…

40.81 Deferred compensation plan authorization. (1) An employer other than the state or the University of Wisconsin Hospitals and Clinics Authority may provide for its employees the deferred compensation plan established under s. 40.80. Any employer, including this state and the …

40.82 General provisions. (1) Any part of gross compensation deferred under a deferred compensation plan established under this subchapter which would have been treated as current earnings or wages if paid immediately to the employee shall be treated as current earnings or wages …

40.85 Employee-funded reimbursement account plan. (1) The board shall select and contract with employeefunded reimbursement account plan providers to be used by state agencies. (2) The board shall do all of the following: (a) Determine the requirements for and the qualifications …

40.86 Covered expenses. An employee-funded reimbursement account plan may provide reimbursement to an employee for only the following expenses that are actually incurred and paid by an employee and that the board determines are consistent with the applicable requirements of the I…

40.87 Treatment of compensation. Any part of gross compensation that an employer places in a reimbursement account under an employee-funded reimbursement account plan established under this subchapter which would have been treated as current earnings or wages if paid immediately …

40.875 Administrative and contract costs. (1) The department shall do all of the following: (a) Beginning on January 1, 1990, collect, from each state agency with employees eligible to participate in an employeefunded reimbursement account plan, a fee in an amount determined by t…

40.95 Health insurance premium credits. (1) (a) Subject to sub. (2), the department shall administer a program that provides health insurance premium credits for the purchase of health insurance for a retired employee, or the retired employee’s surviving insured dependents; for a…