(a) The portion of each member's compensation deducted or to be deducted under this chapter and all rights of each member and of each survivor to receive benefits or other payments under this chapter: (1) Shall be exempt from the operation of any laws relating to bankruptcy or insolvency; and (2) shall not be subject to garnishment, attachment, execution, levy or any other similar legal process or order of any court, except such compensation shall be subject to a court-approved domestic relations order in favor of an alternate payee. No assignment of any right of a member or any other person to receive benefits or other payments from the system shall be valid. The funds of the system invested in personal property shall be exempt from taxation.
(b) A person selected by the court as an alternate payee under an approved domestic relations order may elect, at the time and in the manner prescribed by the board, to have any portion of an eligible rollover distribution or trustee-to-trustee transfer paid directly to an eligible retirement plan by way of a direct rollover. Taxable funds may be distributed as a rollover if elected by such person. For purposes of this subsection, “eligible rollover distribution” and “eligible retirement plan” have the same meanings as provided in Section 402 of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as amended from time to time, except (1) a qualified trust shall be deemed an eligible retirement plan only if it accepts such person's eligible rollover distribution; and (2) in the case of an eligible rollover distribution to a surviving spouse, an eligible retirement plan means an individual retirement account or an individual retirement annuity, as defined in said section of the Internal Revenue Code of 1986.
(P.A. 78-208, S. 16, 35; June Sp. Sess. P.A. 91-3, S. 95, 168; P.A. 22-118, S. 181.)
History: June Sp. Sess. P.A. 91-3 removed exemption from taxation, effective August 22, 1991, and applicable to taxable years of taxpayers commencing on or after January 1, 1991; P.A. 22-118 designated existing provisions as Subsec. (a) and amended same to designate provisions re exemption from laws relating to bankruptcy or insolvency as Subdiv. (1), designate provisions re garnishment, attachment, execution, levy and other similar legal process as Subdiv. (2) and to add to Subdiv. (2) “or order” and exception re court-approved domestic relations order, added Subsec. (b) re alternate payee and definition of “eligible rollover distribution”, and made technical changes, effective July 1, 2022.
Structure Connecticut General Statutes
Title 10 - Education and Culture
Chapter 167a - Teachers' Retirement System
Section 10-183aa. - Disability allowance.
Section 10-183b. - Definitions.
Section 10-183bb. - Suspension or reduction of retirement income payments during disability.
Section 10-183c. - Teachers' retirement system established. Benefits contractual.
Section 10-183cc. - Payments on behalf of minor or legally incapable payees.
Section 10-183d. - Members of association to become members of system.
Section 10-183dd. - Retirement contributions; quarterly allocations.
Section 10-183e. - Credited service.
Section 10-183ee. - Unclaimed contributions. Procedure for claiming.
Section 10-183f. - Benefit eligibility.
Section 10-183g. - Benefit rates. Commencing and ending dates.
Section 10-183gg. - Part-time service. Determination of benefits.
Section 10-183h. - Death benefits.
Section 10-183hh. - Credit for certain service as a school nurse.
Section 10-183i. - Member's voluntary contributions. Limitations.
Section 10-183ii. - Mailing date for benefit checks. Electronic transmission of benefit payments.
Section 10-183jj. - Retirement incentive plans for teachers.
Section 10-183k. - Termination of service prior to retirement.
Section 10-183kk. - Employer pick up of mandatory contributions commencing July 1, 1991.
Section 10-183l. - Teachers' Retirement Board. Valuation of fund.
Section 10-183m. - Custody of funds.
Section 10-183mm. - Continuation of membership during service as elected official.
Section 10-183n. - Duties of teachers' employers. Transmission of deductions.
Section 10-183o. - Payments to retirement board for persons in armed forces.
Section 10-183oo. - Subsidy for certain members.
Section 10-183pp. - Benefits readjusted for certain members.
Section 10-183q. - Funds not assignable and exempt from attachment. Alternate payee.
Section 10-183rr. - No credit for improperly certified teacher.
Section 10-183s. - Reimbursement of municipalities.
Section 10-183ss. - Electronic direct deposit of pension payments.
Section 10-183t. - Health insurance.
Section 10-183u. - Participation in hospital insurance benefits under Social Security Act.
Section 10-183v. - Reemployment of teachers.
Section 10-183w. - Retirement at age seventy. Exception.
Section 10-183x. - Benefits under prior law preserved.
Section 10-183y. - Appeal to board for reconsideration.
Section 10-183z. - Funding of system on actuarial reserve basis. Use of funds.