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2018 Georgia Code 47-3-120 | Car Wreck Lawyer

TITLE 47 RETIREMENT AND PENSIONS

Section 3. Teachers Retirement System of Georgia, 47-3-1 through 47-3-142.

ARTICLE 7 RETIREMENT ALLOWANCES, DISABILITY BENEFITS, AND SPOUSES' BENEFITS

47-3-120. Allowance on service retirement; minimum retirement allowance; reduced allowance; increase; computation of average compensation.

  1. Upon service retirement, a member shall receive an allowance which shall consist of:
    1. An annuity which shall be the actuarial equivalent of the member's accumulated contributions at the time of retirement; and
    2. An annual pension which, together with the annuity set forth in paragraph (1) of this subsection, shall provide a total allowance equal to 2 percent of the member's average compensation over the two consecutive years of membership service producing the highest such average, multiplied by the number of the member's years of creditable service, not to exceed 40. The computation of average compensation for the purposes of this paragraph shall be subject to the requirements of subsection (d) of this Code section.
  2. In the case of any member who has less than 30 years of creditable service and if such member has not reached the age of 60 years upon retirement, the service allowance set forth in subsection (a) of this Code section shall be reduced by the lesser of one-twelfth of 7 percent for each month by which his age at the time of retirement is below 60 years or by 7 percent for each year or fraction of a year by which the member has less than 30 years of creditable service at the time of retirement. This reduction shall not apply in calculating the service allowance for disability retirement or death.Any member who retired with 30 or more years of creditable service and whose retirement benefits were reduced because such member retired at an age below the normal retirement age in effect at the time such member retired shall be entitled to an adjusted retirement benefit based upon a calculation made without the application of the age reduction factor. Any member retiring with less than 30 years of creditable service or who has not obtained the age of 60 at the time of retirement shall not become eligible for postretirement benefit adjustments as provided in Code Section 47-3-126 until such time as the member reaches the age of 60 or would have obtained 30 years of creditable service, whichever occurs earlier.
  3. To the extent that the necessary funds are appropriated for such purpose by the General Assembly, the board of trustees shall increase the retirement benefits of beneficiaries under this chapter when the retirement benefit formula provided for in paragraph (2) of subsection (a) of this Code section is changed to result in an increase in retirement benefits. The basis for such increase shall be the average percentage of increase in retirement benefits which results from the change in the retirement benefit formula. This subsection shall apply to all changes in the retirement benefit formula which have become effective since June 30, 1975, and those which may become effective at any time after June 30, 1977, for all beneficiaries under this chapter who retired on or before June 30, 1977. Any member who retires at any time after June 30, 1977, shall receive the benefit adjustment provided for in this subsection only for those changes in the retirement benefit formula which become effective after his retirement. If the General Assembly at any time appropriates some but not all of the funds necessary to fund the benefit adjustments provided for in this subsection, then the benefit adjustment otherwise payable under this subsection shall be reduced pro rata by the board of trustees in accordance with the funds actually appropriated by the General Assembly for such purpose.
  4. No more than two increases in compensation granted during the two consecutive years on which average compensation is based under paragraph (2) of subsection (a) of this Code section shall be considered in the computation of such average compensation. For those members who are not employees of the Board of Regents of the University System of Georgia, that part of any such increase in compensation which exceeds a percentage equal to the average annual increase in compensation granted to classroom teachers by appropriations of the General Assembly, plus 2 1/2 percent of compensation received at the time the annual increase granted by appropriations becomes effective, shall not be considered in the computation of average compensation. For those members who are employees of the Board of Regents of the University System of Georgia, that part of any such increase in compensation which exceeds a percentage equal to the average annual increase in compensation granted to academic personnel employed by said board of regents by appropriations of the General Assembly, plus 2 1/2 percent of compensation received at the time the annual increase granted by appropriations becomes effective, shall not be considered in the computation of average compensation.

(a.1)The minimum allowance to be received by any member upon retirement shall not be less than $17.00 per month for each year of creditable service, not to exceed 40 years of creditable service.

(Ga. L. 1943, p. 640, § 5; Ga. L. 1950, p. 261, § 4; Ga. L. 1961, p. 392, § 2; Ga. L. 1965, p. 208, § 1; Ga. L. 1966, p. 513, § 2; Ga. L. 1966, p. 562, § 1; Ga. L. 1969, p. 384, § 2; Ga. L. 1971, p. 620, § 1; Ga. L. 1972, p. 140, § 2; Ga. L. 1972, p. 896, § 2; Ga. L. 1973, p. 895, § 1; Ga. L. 1974, p. 1141, § 2; Ga. L. 1975, p. 357, §§ 2, 3; Ga. L. 1975, p. 1328, § 1; Ga. L. 1977, p. 599, § 1; Ga. L. 1978, p. 1913, § 1; Ga. L. 1979, p. 1004, § 1; Ga. L. 1980, p. 1562, § 1; Ga. L. 1981, p. 1892, § 1; Ga. L. 1981, p. 1894, § 3; Ga. L. 1982, p. 3, § 47; Ga. L. 1984, p. 1314, §§ 2, 3; Ga. L. 1985, p. 209, § 1; Ga. L. 1986, p. 620, § 1; Ga. L. 1986, p. 1262, § 1; Ga. L. 1989, p. 249, § 1; Ga. L. 1992, p. 2476, § 2; Ga. L. 1993, p. 86, § 1.)

OPINIONS OF THE ATTORNEY GENERAL

Accrued terminal annual leave not included within computation.

- Accrued terminal annual leave paid a teacher following the teacher's last day of service should not be included as salary within the teacher's highest five-year compensation computation for retirement allowance purposes. 1973 Op. Att'y Gen. No. 73-173.

Maximum allowance used in calculating whether retirement benefit greater than disability benefit.

- When a disabled member of the retirement system qualifies for either a service retirement or a disability retirement, the maximum allowance should be used in calculating whether the service retirement benefit is greater than the disability retirement benefit and, then, whichever retirement the member is entitled to, the member may subsequently elect any of the optional plans specified in Ga. L. 1943, p. 640, § 5 (see O.C.G.A. § 47-3-121). 1975 Op. Att'y Gen. No. 75-86.

Meaning of average compensation over two consecutive years in the statutory formula for computing a retirement allowance is intended to include only compensation received for service within two consecutive years which have been credited to the member as service years towards the member's retirement. 1984 Op. Att'y Gen. No. 84-49.

Teacher not allowed pension based on local retirement fund years.

- If a teacher has 13 years of accrued creditable service under the retirement system acquired before July 1, 1943 (now July 1, 1945), immediately prior to joining a local system, and that teacher applies ten of those years toward a local retirement fund, that retired teacher would have to serve five years of membership service under the retirement system at some time to be eligible for the normal retirement benefits payable on the three years not applied to the local system; also, if this teacher acquires the necessary five years of membership service in order to qualify for the creditation of prior service as a "regular member" of the retirement system, the teacher would be entitled to a benefit based on what would have been the annuity contributions during the ten transferred years had that teacher actually been paying contributions during that period; this teacher, however, would not be entitled to the pension amounts on these ten years applied to the local fund because those amounts must be paid to the local fund. 1950-51 Op. Att'y Gen. No. 75-113.

Former provision providing for minimum "floor" benefits, see 1975 Op. Att'y Gen. No. 75-27; 1975 Op. Att'y Gen. No. 75-113.

Cases Citing O.C.G.A. § 47-3-120

Total Results: 3  |  Sort by: Relevance  |  Newest First

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Tibbles v. Teachers Ret. Sys. of Georgia, 297 Ga. 557 (Ga. 2015).

Cited 69 times | Published | Supreme Court of Georgia | Jul 13, 2015 | 775 S.E.2d 527

...equal to 2 percent of [her] average compensation over the two consecutive years of membership service producing the highest such average, multiplied by the number of [her] years of creditable service, not to exceed 40. OCGA § 47-3-120 (a) (2)....
...The trial court awarded summary judgment to the System, finding that the System adhered to 2 its own rules and policies in calculating the amount to which Tibbles is entitled, and concluding that those rules and policies comport with OCGA § 47-3-120 (a) (2). Tibbles appeals, and we affirm. 1. This case concerns the meaning of OCGA § 47-3-120 (a) (2), and so, we begin with the familiar and settled principles that inform our consideration of statutory meaning....
...871, 888-916 (III) (2012). 5 2778, 81 LE2d 694) (1984),2 as this Court recently acknowledged. See Cook, 295 Ga. at 500. With these principles in mind, we turn now to the questions of statutory meaning presented in this case. 2. According to OCGA § 47-3-120 (a) (2), the amount of an annual retirement allowance must be calculated with reference to “average compensation over the two consecutive years of membership service producing the highest such average,” OCGA § 47-3-120 (a) (2) (emphasis supplied), and the parties dispute what is meant by “two consecutive years.” As we noted 2 In Chevron, the United States Supreme Court described its approach in this way: When a court reviews...
...No party to this case contends that “two consecutive years” means two consecutive calendar years — that is, two years beginning on January 1 of the first year — and indeed, the context of the statutory reference suggests strongly that it means something other than calendar years. After all, OCGA § 47-3-120 (a) (2) speaks of “two consecutive years of membership service,” and 9 because academic years in the public schools of Georgia traditionally have commenced in August or September, many new te...
...City Mtg., No. 05-1499 SC, 2007 WL 4208336 at *4 (III) (B) (N.D. Cal. Nov. 27, 2007) (“year” may refer to “fiscal year, school year, tax year, lunar year, etc.”). Indeed, in this case, a reasonable person might argue from the text of OCGA § 47-3-120 (a) (2) alone that “two consecutive years of membership service” could refer to two consecutive academic years (commencing on the first day of class), two consecutive teacher-contract years (commencing on the effective date of a teacher contract), or two consecutive years of service as a teacher 10 (commencing on the anniversary of the date upon which the member first began to accrue “membership service”). Of course, no party to this case suggests that OCGA § 47-3-120 (a) (2) refers to any of these sorts of years. Nevertheless, the statutory reference to “two consecutive years” must be considered in a context broader than just the words of OCGA § 47-3-120 (a) (2). Looking to other sections of the statutory law concerning teacher retirement benefits, see May, 295 Ga....
...y benefits shall cease as of the end of the month in which the retired member died.”). Especially because the statutes require the remittance of contributions and payment of allowances on the basis of calendar months, the context of OCGA § 47-3-120 (a) (2) suggests that the statute means 24 consecutive calendar months when it speaks of “two consecutive years.” Indeed, a strong argument 12 can be made that this is the only natural and reasonable understanding of the statutory reference to “two consecutive years.” Moreover, we find almost nothing in OCGA § 47-3-120 (a) (2) or its context to suggest that “two consecutive years” ought to be understood in terms of days, as opposed to calendar months or some other measure of time.4 To the extent that the statute is unambiguous on this point, the...
...Statutory ambiguity would require as the next step 4 The best argument that can be made for measuring “two consecutive years” in days is the statutory direction to the System to identify “the two consecutive years of membership service producing the highest . . . average [compensation].” OCGA § 47-3-120 (a) (2) (emphasis supplied)....
...We cannot say that the System is unreasonable to understand “two consecutive years” to mean 24 consecutive calendar months. In the first place, as we explained in Division 2 (a), this understanding is, we think, a natural and reasonable understanding of the text of OCGA § 47-3-120 (a) (2) (considered in its proper context), and it arguably is the only natural and reasonable understanding....
...calculation of the amount to which a member is entitled is based on this information, the calculation necessarily would reflect compensation in terms of calendar months. In all, we conclude that the System was not unreasonable to understand OCGA § 47-3-120 (a) (2) to mean 24 consecutive calendar months when it speaks of “two consecutive years.” To the extent that the statutory reference to “two consecutive years” is ambiguous, we would defer to the understanding of the System. 3. At oral argument, counsel for Tibbles conceded that she had to prevail on both of her contentions about the meaning of OCGA § 47-3-120 (a) (2) to establish that the System miscalculated the amount of her annual retirement allowance....
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Plymel v. Teachers Ret. Sys., 637 S.E.2d 379 (Ga. 2006).

Cited 10 times | Published | Supreme Court of Georgia | Oct 30, 2006 | 281 Ga. 409, 2006 Fulton County D. Rep. 3290

...of issues such as whether any of the appellants' claims are barred by the applicable statute of limitations. [13] *384 Judgment reversed and case remanded with direction. All the Justices concur, except CARLEY, J., not participating. NOTES [1] OCGA § 47-3-120(a); OCGA § 47-3-121(a)....

Tibbles v. Teachers Ret. Sys. of Georgia (Ga. 2015).

Published | Supreme Court of Georgia | Jul 13, 2015 | 281 Ga. 409, 2006 Fulton County D. Rep. 3290

...equal to 2 percent of [her] average compensation over the two consecutive years of membership service producing the highest such average, multiplied by the number of [her] years of creditable service, not to exceed 40. OCGA § 47-3-120 (a) (2)....
...The trial court awarded summary judgment to the System, finding that the System adhered to its own rules and policies in calculating the amount to which Tibbles is entitled, 2 and concluding that those rules and policies comport with OCGA § 47-3-120 (a) (2). Tibbles appeals, and we affirm. 1. This case concerns the meaning of OCGA § 47-3-120 (a) (2), and so, we begin with the familiar and settled principles that inform our consideration of statutory meaning....
...administers, it is confronted with two questions. First, always, is the question 5 295 Ga. at 500. With these principles in mind, we turn now to the questions of statutory meaning presented in this case. 2. According to OCGA § 47-3-120 (a) (2), the amount of an annual retirement allowance must be calculated with reference to “average compensation over the two consecutive years of membership service producing the highest such average,” OCGA § 47-3-120 (a) (2) (emphasis supplied), and the parties dispute what is meant by “two consecutive years.” As we noted earlier, Tibbles says that “two consecutive years” means 730 consecutive calendar days, unless one is a leap day, in whi...
...No party to this case contends that “two consecutive years” means two consecutive calendar years — that is, two years beginning on January 1 of the first year — and indeed, the context of the statutory reference suggests strongly that it means something other than calendar years. After all, OCGA § 47-3-120 (a) (2) speaks of “two consecutive years of membership service,” and 9 because academic years in the public schools of Georgia traditionally have commenced in August or September, many new te...
...City Mtg., No. 05-1499 SC, 2007 WL 4208336 at *4 (III) (B) (N.D. Cal. Nov. 27, 2007) (“year” may refer to “fiscal year, school year, tax year, lunar year, etc.”). Indeed, in this case, a reasonable person might argue from the text of OCGA § 47-3-120 (a) (2) alone that “two consecutive years of membership service” could refer to two consecutive academic years (commencing on the first day of class), two consecutive teacher-contract years (commencing on the effective date of a teacher contract), or two consecutive years of service as a teacher 10 (commencing on the anniversary of the date upon which the member first began to accrue “membership service”). Of course, no party to this case suggests that OCGA § 47-3-120 (a) (2) refers to any of these sorts of years. Nevertheless, the statutory reference to “two consecutive years” must be considered in a context broader than just the words of OCGA § 47-3-120 (a) (2). Looking to other sections of the statutory law concerning teacher retirement benefits, see May, 295 Ga....
...y benefits shall cease as of the end of the month in which the retired member died.”). Especially because the statutes require the remittance of contributions and payment of allowances on the basis of calendar months, the context of OCGA § 47-3-120 (a) (2) suggests that the statute means 24 consecutive calendar months when it speaks of “two consecutive years.” Indeed, a strong argument 12 can be made that this is the only natural and reasonable understanding of the statutory reference to “two consecutive years.” Moreover, we find almost nothing in OCGA § 47-3-120 (a) (2) or its context to suggest that “two consecutive years” ought to be understood in terms of days, as opposed to calendar months or some other measure of time.4 To the extent that the statute is unambiguous on this point, the...
...Statutory ambiguity would require as the next step 4 The best argument that can be made for measuring “two consecutive years” in days is the statutory direction to the System to identify “the two consecutive years of membership service producing the highest . . . average [compensation].” OCGA § 47-3-120 (a) (2) (emphasis supplied)....
...We cannot say that the System is unreasonable to understand “two consecutive years” to mean 24 consecutive calendar months. In the first place, as we explained in Division 2 (a), this understanding is, we think, a natural and reasonable understanding of the text of OCGA § 47-3-120 (a) (2) (considered in its proper context), and it arguably is the only natural and reasonable understanding....
...calculation of the amount to which a member is entitled is based on this information, the calculation necessarily would reflect compensation in terms of calendar months. In all, we conclude that the System was not unreasonable to understand OCGA § 47-3-120 (a) (2) to mean 24 consecutive calendar months when it speaks of “two consecutive years.” To the extent that the statutory reference to “two consecutive years” is ambiguous, we would defer to the understanding of the System. 3. At oral argument, counsel for Tibbles conceded that she had to prevail on both of her contentions about the meaning of OCGA § 47-3-120 (a) (2) to establish that the System miscalculated the amount of her annual retirement allowance....