If the participant's benefit becomes effective prior to the alternate payee's benefit effective date, the present value of the benefit paid to the participant shall not exceed the maximum aggregate benefit calculated under this paragraph minus the present value of the benefit payable to the alternate payee as of the participant's annuity effective date.
ETF 20.35 History
Cr. Register, July, 1999, No. 523
, eff. 8-1-99; CR 07-062
: am. (3) (d) 2. Register June 2008 No. 630
, eff. 7-1-08; CR 11-040
: am. (2) (b) Register July 2012 No. 679
, eff. 8-1-12; CR 11-041
: am. (1) (b), (c), (2), (3) (a), (b), (c) 1. to 3., cr. (c) 5., am. (4) (c) 3., (5), (6), (7) (a), (8) (b), (c), cr. (8) (d), (9), (10) Register July 2012 No. 679
, eff. 8-1-12; CR 14-055
: am. (3) (d) 4., r. (9) Register May 2015 No. 713
, eff. 6-1-15; CR 19-126: r. and recr. Register May 2021 No. 785, eff. 6-1-21; correction in (1) (c) made under s. 35.17, Stats., and correction in (3) (b) made under s. 13.92 (4) (b) 7., Stats., Register May 2021 No. 785.
Termination prior to death.
If employment with a participating employer actually terminated prior to the death of the participant, then the participant may not be treated as a participating employee for purposes of s. 40.71
, Stats., regardless of when notice of the termination is filed with the department.
ETF 20.37 Note
If the termination of employment occurs on the last day on which the employee actually performs services for the employer, and the death occurs on the same day, the participant will be treated as an employee through the end of that day, as provided by s. 40.02 (25)
For purposes of applying s. 40.74 (6)
, Stats., when determining beneficiaries of a death benefit, reasonable efforts to locate a potential beneficiary of a participant shall consist of all of the following actions:
Search on the department's internal information technology systems for information regarding the participant and any potential beneficiary.
Utilize an appropriate Internet program for locating people.
Contact a person who may be a beneficiary, if the department learns the name of that person.
Contact the employer of a person who may be a beneficiary, if the department learns the name of the employer.
ETF 20.37 Note
Note: 2007 Wisconsin Act 131
created s. 40.74 (6)
, Stats. This provision allows the department, when determining beneficiaries of a death benefit, to presume that a beneficiary who cannot be located within 12 months actually died before the participant. The language in the statute is permissive. This rule (CR 09-057
) establishes what will be considered to be reasonable efforts by the department to locate the potential beneficiary.
Delinquent state tax obligations. ETF 20.39(1)(1)
Payments subject to attachment.
As provided by s. 40.08 (1r)
, Stats., in order to satisfy delinquent tax obligation of a person, the Wisconsin department of revenue may attach any one of the following types of payment being made by the Wisconsin retirement system to that person:
The continued monthly annuity payments of a joint-and-survivor annuity that are paid to a named survivor after the death of the annuitant, regardless of whether the annuity is a regular annuity under s. 40.23
, Stats., or a disability annuity under s. 40.63
Monthly payments of an annuity from the annuitant's additional contributions.
A lump sum paid in lieu of an annuity under s. 40.25
, Stats., regardless of whether the payment is required or is made at the request of the participant.
Limitations and WRS payments not subject to attachment. ETF 20.39(2)(a)(a)
Attachment under s. 40.08 (1r)
, Stats., and this section applies only to benefits in pay status. The department of revenue may not compel the payment of benefits for which a person has not applied or apply for benefits on behalf of any person.
Section 40.08 (1r)
, Stats., and sub. (1)
do not apply to lump sum payments of additional contributions made under s. 40.25 (4)
, Stats., or to death benefits paid under s. 40.73
, Stats., including but not limited to remaining guaranteed monthly annuity payments, regardless of whether the death benefits are paid in the form of an annuity.
Notice and continued withholding from annuities. ETF 20.39(3)(a)(a)
The department shall transmit amounts withheld under s. 40.08 (1r)
, Stats., to the department of revenue and notify the payee of the amount withheld.
The withholding from annuity payments subject to sub. (1)
shall continue until the earlier of the following:
The department has withheld the total amount the department of revenue identified as attached to satisfy a delinquent tax obligation.
The department is instructed otherwise by the department of revenue or a court of competent jurisdiction.
ETF 20.39 Note
Note: 2007 Wis. Act 131
moved the authorization for the department of revenue to attach benefits for delinquent state tax obligations from s. 40.08 (1)
, Stats., into a new s. 40.08 (1r)
, Stats. The authorization was also amended to limit the authority of the department of revenue to attaching only lump sum payments and annuities paid under ss. 40.23
, 40.25 (1)
, or 40.63
, Stats. This rule (CR 09-057
) therefore states that a tax attachment does apply to joint-and-survivor annuities being paid to a named survivor but does not apply to certain lump sum benefits and death benefits payable under statutes not cited in the new s. 40.08 (1r)
, Stats. The rule would also state that the attachment of an annuity will result in continued monthly withholding until the entire delinquent tax amount has been withheld, or the department is instructed to stop withholding. The rule also provides that the statutory authority to attach a payment does not confer any right for the department of revenue to ask the department of employee trust funds to pay out a benefit for which the person has not applied.
ETF 20.39 History
History: CR 09-057
: cr. Register May 2010 No. 653
, eff. 6-1-10; correction in numbering of (3) (b) made under s. 13.92 (1) (b) 1.
, Stats., Register May 2010 No. 653