SECTION 715:10-11-1. Withdrawal from membership by an eligible person

  Any member who terminates employment in the public schools of Oklahoma may voluntarily withdraw from membership in TRS under the following conditions:

(1)   70 O.S. §17-105 provide that members who leave Oklahoma public education employment are eligible to withdraw the contributions made to their TRS account four (4) months after termination. A former employee may submit application for the proceeds of the account after the last day physically worked. There are no exceptions to this waiting period.

(2)   Written verification from the school's payroll department of a member's termination of employment and/or non-resumption of teaching contract must be on file before processing the Application for Withdrawal.

(3)   The years of membership shall be calculated as follows:

(A)   For withdrawal purposes - from the date of the first contribution of the current membership to the date of withdrawal, except that member accounts closed in compliance with OAC 715:10-7-3 will be from the date of the first contribution to the date the account is closed.

(B)   For payment of interest purposes - from the date of the first contribution of the current membership to the date of withdrawal, except that member accounts closed in compliance with OAC 715:10-7-3 will be from the date of the first contribution to the date the account is closed.

(4)   Interest rate on withdrawals shall be paid as follows:

(A)   July 1, 1968 through June 30, 1977 - four and one-half percent (4 1/2%), compounded annually.

(B)   July 1, 1977 through June 30, 1981 -seven percent (7%), compounded annually.

(C)   As of July 1, 1981 through June 30, 2019 - eight percent (8%), compounded annually.

(D)   As of July 1, 2019 to present - seven and one-half percent (7 1/2%), compounded annually.

(5)   Interest payment on withdrawals shall be paid as follows:

(A)   If termination occurs within sixteen (16) years from the date membership began, fifty (50) percent of the total accrued interest shall be paid.

(B)   With at least sixteen (16) but less than twenty-one (21) years of membership, sixty (60) percent of the total accrued interest shall be paid.

(C)   With at least twenty-one (21) but less than twenty-six (26) years of membership, seventy-five (75) percent of the total accrued interest shall be paid.

(D)   With at least twenty-six (26) years of membership, ninety (90) percent of the total accrued interest shall be paid.

(6)   A person whose membership has not terminated due to five (5) years of absence from Oklahoma public education employment, but who has applied to withdraw all accumulated contributions, shall not have membership terminated until the withdrawal payment has been processed.

(7)   Effective July 1, 1990, no member is eligible to withdraw contributions made on a pre-tax basis, unless the employee has terminated employment in the public schools for a period of four months.

[Source: Amended at 13 Ok Reg 3899, eff 8-5-96 through 7-14-97 (emergency); Amended at 14 Ok Reg 3216, eff 7-25-97; Amended at 19 Ok Reg 2729, eff 7-11-02; Amended at 21 Ok Reg 3091, eff 8-21-03 through 7-14-04 (emergency); Amended at 21 Ok Reg 3099, eff 8-12-04; Amended at 29 Ok Reg 854, eff 8-1-12; Amended at 36 Ok Reg 1255, eff 8-11-19]

Note

EDITOR’S NOTE: This emergency action expired before being superseded by a permanent action. Upon expiration of an emergency amendatory action, the last effective permanent text is reinstated. Therefore, on 7-15-97 (after the 7-14-97 expiration of the emergency action), the text of section 715:10-11-1 reverted back to the permanent text that was effective prior to enactment of the emergency action on 8-5-96, as last published in the 1996 Edition of the OAC, and remained as such until amended by permanent action on 7-25-97.

EDITOR’S NOTE: This emergency action expired before being superseded by a permanent action. Upon expiration of an emergency amendatory action, the last effective permanent text is reinstated. Therefore, on 7-15-04 (after the 7-14-04 expiration of the emergency action), the text of section 715:10-11-1 reverted back to the permanent text that became effective 7-11-02, as was last published in the 2003 OAC Supplement, and remained as such until amended by permanent action on 8-12-04.