The 2023 Pension Omnibus Budget Bill (SF3162/HF3100) authorized a one-time payment to eligible MSRS pension benefit recipients.

Who is eligible for the one-time payment?
To be eligible, you must be collecting a monthly benefit from a MSRS pension plan for at least 12 full months as of June 30, 2023.

When and how will the extra payment be made?
Payment were issued on February 14, 2024, using the same method you receive your regular MSRS monthly pension payments (direct deposit or paper check).

If I qualify for the extra payment, how much will I receive?
The one-time payment is a percentage of your 2024 gross annual pension benefit.

Pension plan

One-time payment

General Employees Retirement Plan
Correctional Retirement Plan
Judges Retirement Plan
Unclassified Retirement Plan
Legislators Retirement Plan

1% of your 2024 gross annual pension benefit

Example of how the one-time extra payment is calculated
assuming a monthly gross benefit of $1,000

$12,000 (annual benefit) x 1% = $120 one-time payment

State Patrol Retirement Plan

The legislature authorized a larger increase for this plan because members are not covered by Social Security and the fixed rate has been in place since 2010.

3% of your 2024 gross annual pension benefit

Example of how the one-time extra payment is calculated
assuming a monthly gross benefit of $1,000

$12,000 (annual benefit) x 3% = $360 one-time payment


Is the extra payment taxable income?
Yes. Federal and state taxes will be withheld at the same rate as your MSRS monthly pension benefit. The tax selections on file for your current benefit will be applied to this one-time payment.The payment and tax withholding will be reported on a Form-1099R mailed to you by January 31, 2025.

Questions?
For more information about the one-time payment, contact the MSRS Service Center at 1-800-657-5757.