End-of-the-Year Information for Retirees and Benefit Recipients

During this time of year, the to-do list items seem to keep multiplying.

While there are few things to keep in mind as far as your SERS payments and benefits are concerned, we are here to help you keep it all straight with some end-of-the-year considerations.

 

January Reminders for ALL Retirees and Benefit Recipients

 

• Your payment for January 2024 will be deposited into your bank account on the first business day of month, which is Tuesday, January 2.
• SERS will send a 1099-R to the mailing address on file by January 31. This provides the pension amounts you received for the year, the amount of taxes withheld, and other tax information. The form will also be available through Account Login by January 31. If you haven’t already registered for an account, we encourage you to do so.

 

If You Notice a Change in Your January Payment

This change may be related to:
 

• Health Care Premiums

  With the exception of AultCare PPO, all other medical plan premiums remain the same. The AultCare premiums are increasing by 4%. Take a look at the 2024 Open Enrollment Guide or watch the 2024 Open Enrollment presentation for more information.

 

• Tax Withholding

  The Internal Revenue Service (IRS) has updated the income-tax withholding tables for 2024. The updated percentage method tables reflect changes in tax rates and tax brackets and will be effective on your January check. The withholding information is posted on www.irs.gov.

   

  How Does This Affect Me?

  Depending on your tax bracket and number of allowances you designated, your monthly payment may be more or less than previous months. Review your 2024 payment stub and compare it to a 2023 payment stub for the change. Both your state and federal tax withholding can be updated anytime using Account Login.

 

• Cost-of-Living Adjustment

  If you began receiving a payment or benefit prior to April 1, 2018, you will receive a 2.5% cost-of-living adjustment (COLA) on the anniversary of your benefit effective date. If your benefit effective date was on or after April 1, 2018, you will receive a COLA on the fourth anniversary of your allowance or benefit.

 

• Reporting Your COLA to Social Security

  If you are eligible to receive a COLA for your SERS service pension or disability allowance, and you also receive a Social Security benefit based on a spouse, ex-spouse, or deceased spouse’s work record, you must notify Social Security in the month that you receive a COLA, or if the Social Security Administration requests information.