OAR 459-007-0330: Crediting Earnings for IAP Account Installment Payments

(1) For the purposes of this rule, “monthly change rate” means the monthly earnings rate for IAP account(s) invested in the retirement installments fund when a retiree elects installment payments. (2) When an IAP member retires and elects to receive installment payments under ORS 238A.400(2), earnings will be credited in the manner specified in this rule: (a) For the initial installment payment: (A) If earnings for the calendar year before the date of distribution have not been credited, earnings for that year shall be credited based on the member’s target date fund’s latest IAP year-to-date calculation available for that year. (B) Earnings credited for the calendar year of distribution will be credited based on the member’s target date fund’s latest IAP year-to-date calculation as of the first day of the calendar month of the initial date of distribution. (b) After the initial installment payment is made, the member’s IAP account balance(s) will be transferred to the retirement installments fund. Earnings will be credited monthly using the latest monthly change rate beginning with the first of the month after the initial date of distribution.