How do I change my name on my account?
To change your name, complete the Name/Address Change Form (Form 1239) and provide a copy of one of the following documents verifying your name change: your marriage license; your divorce decree; a filed court order; your driver's license or state-issued identification card; your Social Security card; or your valid U.S. passport. Mail the completed form and documentation to:
S.C. PEBA
Attention: Enrollment Department
202 Arbor Lake Drive
Columbia, SC 29223
How do I update my address?
To change your address, log in to Member Access and select the Change Address option. You can also complete a Name/Address Change Form (Form 1239). Mail the completed form to:
S.C. PEBA
Attention: Enrollment Department
202 Arbor Lake Drive
Columbia, SC 29223
How do I set up direct deposit or make a change to my current direct deposit bank account?
Having your benefit directly deposited into your bank account is the most efficient and secure method for you to receive retirement benefits. To set up direct deposit or change an existing direct deposit, complete a Direct Deposit Authorization (Form 7204) and mail it to:
S.C. PEBA
Attention: Benefit Payments Department
202 Arbor Lake Drive
Columbia, SC 29223
You can designate up to two bank accounts for direct deposit of your monthly retirement benefit. However, you cannot designate a portion of your benefit to be deposited into a bank account and the remainder of your benefit to be issued on a prepaid debit card.
How do I change the income tax withholding on my monthly retirement benefit?
Complete a Withholding Certificate for Monthly Benefit Payments (Form 7202) to change your South Carolina state income tax withholding designations. Dollar amounts might change annually because of changes to the required withholding tables. However, the changes you make for marital status and exemptions will remain in effect until you make further changes or revoke them. Mail the completed form to:
S.C. PEBA
Attention: Benefit Payments Department
202 Arbor Lake Drive
Columbia, SC 29223
To change your federal tax withholdings, log in to Member Access or complete IRS Form W-4P, Withholding Certificate for Pension or Annuity Payments, and mail it to PEBA. If you make no withholding elections, federal regulations require PEBA to withhold federal income tax based on a status of single with no exemptions.
When will I receive IRS Form 1099-R to file my income tax return?
Most benefit payments are reported on IRS Form 1099-R and benefits paid under a Qualified Excess Benefit Arrangement are reported on Form W-2. PEBA mails tax forms via the United States Postal Service no later than the last business day each January for benefits paid during the previous year. Once 1099-R forms have been issued, you can also access current or prior year forms by logging into Member Access and selecting the 1099-R Tax Documents option or by calling Customer Service.
I am a disability retiree. Why does Form 1099-R from PEBA show a Code 7 in Box 7?
In accordance with guidelines set forth by the Internal Revenue Service, disability benefits paid from a PEBA-administered retirement plan are reported annually on Form 1099-R as normal distributions for income tax purposes. Code “7” in Box 7 of your form means you are not subject to the 10% tax penalty for early withdrawal because you receive your retirement benefits via a monthly benefit. Code “3” is not applicable to Box 7, because the disability program administered by PEBA is an occupational or job-related disability program rather than a total and permanent disability program as described in Section 72(m)(7) of the Internal Revenue Code.
These benefits should be included as ordinary income for tax purposes. Although Form 1099-R you received from PEBA correctly contains a Code “7” in Box 7, if you also receive monthly benefits from the Social Security Administration and are considered totally and permanently disabled for Social Security purposes, you might qualify for the federal Credit for the Elderly or the Disabled. Refer to IRS Schedule R when completing your tax return. You must keep a copy of your physician’s statement for your records, which certifies you were permanently and totally disabled on the date you retired. Tax laws are complex and change frequently; therefore, you should consult a tax advisor if you have questions about your individual federal or state tax return.
What does Box 5 represent on Form 1099-R?
On Form 1099-R, Box 5 is not used to indicate health insurance premiums, but rather the amount of retirement benefits you received during the tax year that were after-tax dollars. The amount shown in Box 5 represents the annual portion of the retirement benefit disbursed to you that is tax-free because of employee contributions you made prior to 1982 and/or any service purchase you made on an after-tax basis. Those after-tax contributions are spread out during your lifetime, thus resulting in your exclusion amount.
As a monthly benefit recipient, when am I eligible to receive a benefit adjustment?
Based on current law, you may be eligible for a benefit adjustment if your retirement was in effect the previous July 1. If you retired early as a Class Two member of SCRS, you are not eligible for a benefit adjustment until the second July 1 after you reach age 60 or the second July 1 after the date you would have reached 28 years of service credit had you not retired.
When will PEBA finalize my retirement benefit?
It generally takes from six to nine months following the date of your retirement for PEBA to finalize your account; however, it's our goal to ensure you begin receiving an estimated retirement benefit immediately. We will initial calculate your benefit payments as an estimated amount. After your employer submits all required information, we will finalize your retirement benefit. The final amount may be less than, or more than, your estimated benefit. PEBA will notify in writing upon finalization of your benefit and will retroactively apply any difference (positive or negative) between your estimated benefit and final benefit to your date of retirement.
Will Social Security affect my retirement?
The retirement benefit you receive from PEBA is not affected by any benefits you might receive from the Social Security Administration or through a workers' compensation program. If you are a disability retiree receiving long term disability benefits from Standard Insurance Company, contact The Standard about the effect of Social Security on its payments.
As a retiree, can I change my payment plan option?
After your monthly benefit payments begin, you cannot change your payment option unless you experience a qualifying event such as marriage, divorce or death of a spouse. You must make a request to change the form of your monthly benefit based upon a change in marital status within five years of the qualifying event. If you selected Option B or Option C, your benefit reverts to the maximum benefit (Option A) if all your designated beneficiaries predecease you. You cannot change your form of monthly benefit payment more than twice regardless of the number of qualifying events that occur.
What happens if I return to work after retiring?
If you began receiving a service retirement benefit before January 2, 2013, you can return to work for an employer covered by PEBA with no earnings limitation; however, you will be subject to the same contribution rate as active employees. PEBA will post these contributions to your retirement account, but as a retiree, you will not earn additional service credit or receive interest on your account. Effective January 2, 2013, if you retire before you reach age 62 (SCRS) or 57 (PORS) and return to covered employment, you will be subject to a $10,000 per year earnings limitation. This earnings limitation applies regardless of your age when you return to work.
If you are under age 65 for SCRS or 55 for PORS and are receiving a disability retirement benefit, there is a limit on the amount of income you can earn without impacting your retirement benefits. In February of each year, you will receive a letter from PEBA indicating the amount you can earn from gainful employment for that calendar year. Notify PEBA immediately if you return to employment and believe your earnings from that employment will exceed your earnings limitation for the year.
Can you help me with matters concerning my insurance?
If you have state-sponsored health insurance, contact PEBA at 803.737.6800 or 888.260.9430 for assistance. If you have other coverage, contact your former employer for assistance.