Retirees can name any one person or multiple people as beneficiaries to receive pension payments from the New York state retirement system, reports the New York State & Local Retirement System. Retirees must designate the beneficiaries on the retirement option election form and choose a reduced payment pension option.Continue Reading
Retirees who choose the single life allowance pension option receive a higher amount in monthly payments but no after-death payments to beneficiaries. Other options provide for smaller lifetime payments, so payments continue to beneficiaries after the death of the pension holder, according to the New York State & Local Retirement System. When multiple beneficiaries are indicated, the funds are divided equally between them unless the pension holder designates a percentage distribution. Some pension options that provide for lifetime monthly payments after the pension holder's death allow only one beneficiary. Pension holders have until 30 days after pension payouts begin upon retirement to change beneficiaries.
The New York state retirement system also provides for lump sum death benefits payable upon the death of the employee, states the New York State & Local Retirement System. The beneficiaries can be any person, multiple persons, an organization, or a trust the employee designates. The employee normally designates primary and contingent beneficiaries and may change the beneficiaries at any time.Learn more about Financial Planning