What makes up an accidental disability retirement allowance?

An accidental disability allowance consists of two parts: an annuity and a pension. The allowance is payable on the last day of each month.

How is my annuity calculated?

• Annuity
  Your annuity is based upon your total accumulated deductions, with related interest, and your age on the date of retirement.

How is my pension calculated?

• Pension
  Your yearly pension is equal to 72% of the annual rate of regular compensation that you were earning on the date your injury was sustained, or 72% of the average annual rate of regular compensation for the twelve month period for which you last received regular compensation, whichever amount is greater.

Is there an additional pension benefit to which I am entitled if my children are eligible?

• Systems That Have Not Accepted G. L. c. 32, § 7(2)(a)(iii)
  In systems that have not elected to accept the provisions of G. L. c. 32, § 7(2)(a)(iii), you will receive a yearly amount of additional pension of $312.00 for each of your surviving, unmarried children who are under the age of 18, or who are over said age but physically or mentally incapacitated from earning on the date of your retirement, or who are over age 18 but under age 22 and a full-time student at an accredited educational institution.
  
  
• Systems That Have Accepted G. L. c. 32, § 7(2)(a)(iii)
  After July 1, 1988, if you were a member of the State Retirement System, the Teachers' Retirement System, or any other system electing to accept the provisions of G. L. c. 32, § 7(2)(a)(iii), the yearly amount of additional pension you received on account of each of your eligible children was $450.00. However, this amount has been increased by an amount equal to the percentage increase of the cost-of-living each year, as determined by the General Court for retirement allowances, pensions, and annuities. As of July 1, 2006, the additional annual pension for eligible children was $648.48.

How long will I continue to receive an additional pension on account of my children?

• Duration of Payments
  Payments will continue as long as a child remains a full-time student at an accredited educational institution and is under 22 years of age. If a child is physically or mentally incapacitated from earning, payments would continue for the duration of the child’s incapacity.

Is there a limitation on the retirement allowance payable to an accidental disability retiree?

There is a limitation on the allowance of any Group 1, 2, or 4 retiree, regardless of classification, who became a member-in-service after January 1, 1988, or who has not been a member-in-service continuously since January 1, 1988.

The annual retirement allowance (the sum of pension and annuity, exclusive of payments made for eligible children) of such retirees cannot exceed 75% of the annual rate of regular compensation used to calculate the allowance.

I was a member-in-service on or before January 1, 1988. Is my accidental disability retirement allowance subject to this limitation?

• Exception
  No, provided your member-in-service status has been continuous since that date. However, if your service has not been continuous since January 1, 1988, your allowance will be subject to the limitation.

Am I required by law to file for the Workers’ Compensation benefits to which I am entitled?

• Filing Requirement
  If the injury for which you seek accidental disability benefits is also covered by Workers’ Compensation benefits, you must, as a condition to filing for disability retirement, also file for Workers’ Compensation benefits. If you neglect to file, your retirement board will file on your behalf. Failure to cooperate with your retirement board will result in suspension of your right to receive a disability retirement allowance.

Does my receipt of Workers’ Compensation payments affect my accidental disability retirement allowance?

• Possible Reduction of Pension Portion
  If the payments that you receive under Workers’ Compensation are based on the same injury for which you retired, your Workers’ Compensation benefit will be offset against your retirement allowance, and will reduce the pension portion of your allowance, leaving the annuity portion unaffected. Workers’ Compensation payments that are based on a different injury will not affect your retirement allowance.

Must recovery be sought from “third parties” that cause the accidental disability or death of public employees?

• Impact of Offset
  Members or their beneficiaries who are entitled to accidental disability or death benefits must exercise their right to recover lost wages from such third parties. Amounts recovered on account of lost wages are offset against the pension benefit and, therefore, reduce the pension portion of the retirement allowance.

What steps must a retirement board take if a member or beneficiary fails to fully prosecute such rights?

• Importance of Prosecuting Rights
  Retirement boards may prosecute such rights on a member’s behalf. If a member or beneficiary fails to cooperate, the board may, during the period of such failure, suspend the right of the member or beneficiary to further payment.

How is an ordinary disability allowance for a non-veteran calculated?

• Non-Veterans
  An ordinary disability retirement allowance is calculated as though the non-veteran is being retired for superannuation at age 55 if under age 55, or at the actual age if over 55, with the amount of creditable service the member has actually achieved.

How is a veteran’s ordinary disability allowance calculated?

• Veterans
  A veteran retired for ordinary disability will receive an allowance consisting of an annuity based on age and accumulated deductions, plus related interest, and a pension equal to 50% of the annual rate of regular compensation for the last year immediately preceding retirement for which he/she received regular compensation.

Is there a special provision that applies to veterans who are 55 or older?

The allowance of a veteran retired for ordinary disability after becoming age 55 will not be less than the allowance he/she would receive if retired for superannuation.

Does my receipt of Workers’ Compensation payments affect my ordinary disability retirement allowance?

• Impact of Offset
  If the payments you receive under Workers’ Compensation are based on the same injury for which you retired, your Workers’ Compensation benefit will be offset against your retirement allowance, and will reduce the pension portion of your allowance, leaving the annuity portion unaffected. Workers’ Compensation payments that are based on a different injury will not affect your retirement allowance.

Must recovery be sought from “third parties” that cause the ordinary disability of public employees?

• Lost Wages
  Members or their beneficiaries who are entitled to ordinary disability must exercise their right to recover lost wages from such third parties. Amounts recovered on account of lost wages are offset against the pension benefit and, therefore, reduce the pension portion of the retirement allowance.

What steps must a retirement board take if a member or beneficiary fails to fully prosecute such rights?

• Importance of Prosecuting Rights
  Retirement boards may prosecute such rights on a member’s behalf. If a member or beneficiary fails to cooperate, the board may, during the period of such failure, suspend the right of the member or beneficiary to further payment.